Middle Eastern Carriers Should Not Delay Jet Orders
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 2 days ago
0mins
Source: Newsfilter
- Order Decision Making: IATA's VP Kamil Al-Awadhi stated that deferring jet orders due to rising fuel prices from the Iran war is unwise for Middle Eastern carriers, as it could lead to increased long-term costs, especially with waiting times extending to years.
- Sustained Market Demand: Despite uncertainties, Middle Eastern airlines remain major customers for Boeing and Airbus, with Al-Awadhi emphasizing that airlines plan to continue aircraft purchases to ensure operational capacity for the future, despite current fluctuations.
- Flight Reductions and Fare Increases: Global airlines are cutting flights and raising fares to cope with rising operational costs, even as Middle Eastern airports face threats from airstrikes linked to the Iran war, which Al-Awadhi expressed concern over.
- Kuwait Airport Damage: Al-Awadhi voiced concerns over the attack on Kuwait airport, estimating that repairs to the damaged terminal used by foreign carriers could take at least a year, potentially impacting other airlines' operations in Kuwait and forcing urgent measures to resolve flight arrangements.
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Analyst Views on BA
Wall Street analysts forecast BA stock price to rise
16 Analyst Rating
14 Buy
1 Hold
1 Sell
Strong Buy
Current: 215.920
Low
150.00
Averages
269.14
High
298.00
Current: 215.920
Low
150.00
Averages
269.14
High
298.00
About BA
The Boeing Company is an aerospace company. Its segments include Commercial Airplanes (BCA), Defense, Space & Security (BDS), and Global Services (BGS). Its BCA segment develops, produces and markets commercial jet aircraft principally for the commercial airline industry worldwide. Its family of commercial jet aircraft in production includes the 737 narrow-body model and the 767, 777 and 787 wide-body models. Its BDS segment is engaged in the research, development, production and modification of manned and unmanned military aircraft and weapons systems for strike, surveillance and mobility. Its BGS segment provides services to its commercial and defense customers worldwide. It sustains aerospace platforms and systems with a range of products and services, including supply chain and logistics management, engineering, maintenance and modifications, upgrades and conversions, spare parts, pilot and maintenance training systems and services, technical and maintenance documents, and others.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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