After weeks of sparking headlines over tariffs, President Donald Trump has now pivoted to jet-fueled diplomacy - with a headline-grabbing $1.2 trillion economic agreement inked alongside Qatar’s Emir Sheikh Tamim bin Hamad Al-Thani. The crown jewel is a $96 billion aircraft order from Qatar Airways - an apparent lifeline for Boeing (BA). The carrier will buy up to 210 widebody jets, the largest Boeing haul ever, marking record orders for the 787 Dreamliner and Boeing's new 777-9.

For Boeing - still emerging from the wreckage of 737 Max disasters, worker strikes, and a plunge in orders - this agreement suggests a possible return to form. But the skies remain turbulent. Tariffs threaten profit margins abroad; Trump’s entanglements with aviation, including a controversial offer to accept a  $400 million jet from Qatari government as an interim Air Force One, have drawn scrutiny; and even the valuation of the Boeing deal has raised eyebrows, with Trump touting $200 billion while the White House trimmed it to $96 billion.

Still, in a world where diplomacy fuels demand, is BA stock a boarding pass to more upside at current levels, or just another layover for investors?

About Boeing Stock

From jet age pioneers to today’s aerospace giants, Boeing has charted a course through the skies like a few others. Headquartered in Arlington, Virginia, Boeing (BA) builds iconic jets like the 737 and 787 Dreamliner while powering defense, space, and commercial missions across over 150 nations. Its clients include NASA and the U.S. Department of Defense. With a market cap of $154.4 billion, Boeing remains a global force shaping the future of flight and security.

Shares of the aerospace giant have taken flight after a turbulent 2024. BA stock soared 16.4% over the past 52 weeks, including a 47% surge in just the past six months. Over the past month, BA is up 32.5%, reaching a 52-week high of $209.66 earlier this week. 

Boeing still isn't particularly cheap, now trading at 1.84 times forward sales - a modest premium to both the industrial sector and its own historical average. It is not cheap, but investors seem willing to pay up for the shares, given that Boeing still maintains an effective duopoly in its industry.

Boeing Surges On Stellar Q1 Earnings

On April 23, the aerospace titan reported Q1 earnings results that jolted investor sentiment - shares climbed over 6% the day of the report, then rallied further over the following three trading sessions. Revenues soared 18% year over year to $19.5 billion, surpassing Wall Street’s forecasts, fueled by a resurgence in commercial jet deliveries. Losses narrowed dramatically, with non-GAAP EPS trimmed to just $0.49, versus the anticipated $1.54 per-share loss - a testament to improved execution amid complex supply chain hurdles.

At the heart of Boeing’s revival is its commercial airplanes division, where revenues grew 75% annually, led by a 57% spike in deliveries - up from 83 to 130 aircraft. The 737 program accelerated, and the promise of the 777X looms large. Still, margins remained a pain point, resting at a negative 6.6%, underscoring the unfinished nature of Boeing's turnaround story.

The Defense, Space & Security arm also faltered, with a 9% revenue slide to $6.3 billion. Although margins edged up to 2.5%, fixed-price contract charges still cast a shadow, and a new fighter jet contract awaits backlog inclusion. On firmer ground, Boeing's global services maintained its stalwart presence, with 18.6% margins and milestones like the 100th 767-300 Converted Freighter. Free cash flow stayed submerged at negative $2.3 billion, and cash reserves dipped to $23.7 billion. However, Boeing trimmed its debt to $53.6 billion.

Boeing is targeting 38 jets a month and banking on FAA green lights to boost 737 output. Management’s playbook aims to de-risk defense and meet customer specifications. While turbulence lingers in defense, strong jet demand fuels optimism. Investors should watch production pace, backlog clearance, and capital flow for signals.

Analysts tracking Boeing predict its losses to narrow by 90.3% year over year to $1.97 per share in fiscal 2025, before catapulting skyward to a $3.07 profit in fiscal 2026.

Boeing’s Qatar Win – Revival Amid Headwinds

Battered by safety scandals, labor strikes, and a double-digit decline in orders, Boeing may have found a breather in the Gulf amid the $96 billion agreement with Qatar Airways.

For Boeing, this is a signal flare in an industry eager for resilience. The deal promises scale and a long-term production runway, possibly offsetting tariff-driven cost pressures and restoring some market faith. However, it's worth pointing out that Qatar Airways previously canceled Airbus (EADSY) orders due to delivery delays and aircraft flaws; last year, Boeing faced a similar situation, highlighting that sovereign-backed deals can unravel if execution falters.

Boeing’s victory is significant, but it sits on a knife’s edge - caught between geopolitical momentum and the unforgiving demands of consistent performance. Investors may need to balance optimism with caution.

What Do Analysts Expect for Boeing Stock?

Boeing stock has a consensus “Moderate Buy” rating overall - a vote of confidence tempered with caution. Out of 26 analysts covering the aerospace stock, 18 recommend a "Strong Buy," one gives a "Moderate Buy," six analysts stay cautious with a "Hold" rating, and one has a "Strong Sell" rating.

Boeing’s stock currently trades almost flat with the mean Wall Street price target of $207.42, while the Street-high target price of $240 – set by Susquehanna analyst Charles Minervino – suggests a potential upside of 16.3%.