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Boeing touts supply chain improvements, progress in its “war on defects”

Boeing shares are climbing on Thursday, following comments made by one of the plane maker’s executives at a supplier conference on Wednesday evening.

The company says it’s now spending 40% fewer hours fixing issues arising from its supply chain compared to 2024 — a year marred by production and quality issues.

Defects from parts of the chain controlled by Spirit AeroSystems — a fuselage supplier Boeing acquired last year — have dropped by 60% from 2024.

The progress update comes amid the company’s self-declared “war on defects.” Following its 2024 door plug blowout incident, Boeing has worked to improve documentation, simplify instructions, and expand employee training. According to the National Transportation Safety Board, the share of Boeing employees with 10 or more years of experience halved from 50% to 25% over the past decade.

Defects from parts of the chain controlled by Spirit AeroSystems — a fuselage supplier Boeing acquired last year — have dropped by 60% from 2024.

The progress update comes amid the company’s self-declared “war on defects.” Following its 2024 door plug blowout incident, Boeing has worked to improve documentation, simplify instructions, and expand employee training. According to the National Transportation Safety Board, the share of Boeing employees with 10 or more years of experience halved from 50% to 25% over the past decade.

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SpaceX gets a wave of bullish ratings from Wall Street analysts

SpaceX received more than a dozen positive analyst calls on Tuesday — including from major Wall Street banks — as they initiate coverage on Elon Musk’s space and AI company.

SpaceX went public on June 12 at a $2.2 trillion valuation, the largest debut in history. While the company hasn’t yet posted a profit, it seems to have convinced Wall Street that it will get there and grow its valuation on the way.

Of the at least 17 analysts that gave a rating on Tuesday, all but one gave it a “buy” or “outperform” rating. MoffettNathanson was "neutral."

The ratings come as SpaceX joined the Nasdaq 100 index, a benchmark tech-heavy basket of companies that underpins millions of portfolios. The inclusion adds built-in demand for the stock from index funds and ETFs.

Still, SpaceX fell more than 5% on Tuesday amid a broader sell-off, and is currently effectively flat from its opening price of $150 a share.

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Nike sinks to lowest level since 2014 after warning of “challenged” sales environment in Q4 report

Did Nike do it?

Investors had a mixed reaction after the global sports apparel company reported its fourth quarter earnings on Tuesday after the bell. Shares initially rose 5% as Nike beat out Wall Street expectations amid a hefty tariff refund bonus. However, the stock then sank to its lowest level since August 2014 in postmarket trading.

Here are the Q4 numbers:

  • Revenue of $11.0 billion (estimate: $10.8 billion).

  • Adjusted earnings per share of $0.20 (estimate: $0.12).

Ahead of this report, Nike warned that results would be flattered by a one-time tariff refund (now estimated at roughly $0.52 per share for the bottom line). That gave the company an extra cushion in snapping its streak of seven quarters of year-over-year profit declines.

Over the past year, the company had been punished by tariffs on imported goods, stagnant consumer spending, and increasing competition from other footwear brands like New Balance, Adidas, and Hoka.

Outgoing CFO Matthew Friend deemed it an “increasingly challenging operating environment, where sell-through remains challenged.”

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