Boeing Rises After BofA Upgrades Stock, Sees It As Trump’s Preferred Trade Tool

Bank of America pointed to Boeing’s recent international deals, including agreements in the U.K., Qatar, the U.A.E., and China, as evidence that the company is playing a central role in global trade diplomacy.

Boeing (BA) shares rose as much as 1.5% in premarket trading Monday after Bank of America upgraded the stock and raised its price target, calling the company the Trump administration’s “favored trade mechanism” in tariff negotiations.

According to TheFly, BofA lifted its rating on Boeing to ‘Buy’ from ‘Neutral’ and increased its price target to $260 from $185–currently the highest price target on Boeing, according to Koyfin data, representing a potential upside of more than 25%. 

In contrast, the average price target for Boeing stock currently stands at $210, representing an upside of just 1.5% from Friday’s closing price. 

The brokerage pointed to a series of recent international deals, including agreements in the U.K., Qatar, the U.A.E., and China, as evidence that Boeing is playing a central role in global trade diplomacy. 

Those transactions, BofA said, could set a precedent for future negotiations, further enhancing Boeing’s strategic value.

While the company’s aircraft backlog has not been a primary driver of the bank’s valuation, BofA cited improving production stability, carve-outs easing free cash flow pressures, and renewed operational discipline across Boeing’s portfolio. 

Combined with its growing utility as a trade asset, the brokerage said, these developments present a compelling entry point for investors.

According to reports, additional deals may be on the horizon. Reuters reported on Sunday that Tata Group’s Air India is in talks with Boeing for a new aircraft order that could include as many as 200 additional single-aisle seats. 

The report added that Boeing is the front-runner in the competition against Airbus to sell more of its 777X jets. 

Boeing’s stock has rallied 16% this year and 20% over the past 12 months.

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