US set to announce certification of Boeing 737 MAX 10 Tuesday, sources say
Summary
Industry sources indicate that American aviation regulators are preparing to issue the official certification for the Boeing 737 MAX 10 model. This expected announcement represents a significant regulatory milestone for the aerospace manufacturer's largest single-aisle aircraft variant.
Our Take
Certification of the 737 MAX 10 would clear one of Boeing's longest-running overhangs. The MAX 10 reportedly makes up about a third of the company's backlog, with United, Alaska, American and Delta among the biggest buyers, and the program has been stuck in certification for years.
The news would not change near-term numbers much. Deliveries of the MAX 7 and MAX 10 are not expected to start until 2027, and management has said low-margin deliveries will continue through the end of the decade. What it does is remove risk a week before Boeing's October 27 earnings.
BA closed Monday at $191.42 and was slightly higher after hours. We are watching whether it can hold above $190 and push through Monday's $192.54 high if the FAA confirms. Because the headline was already reported, a "sell the news" fade is also possible.
Not financial advice.
Opinion of Tech & Money Press. Not financial advice.
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