Boeing's (BA) Rating Upgrade by Argus Reflects Stronger Cash Flow and Backlog
On August 11, Kristina Ruggeri from Argus upgraded Boeing’s stock rating to Buy from Hold due to the company's improving financial performance. The upgrade is based on a robust commercial aerospace backlog of $597 billion for airplanes alone, along with better cash flow generation in Q2 2026. Boeing reported $24.6 billion in revenue during the quarter and generated positive operating and free cash flows of $1.4 billion and $631 million respectively. The company’s full-year free cash flow guidance is between $1 billion to $3 billion, supported by delivery volumes and customer receipts. Despite these positives, Boeing still faces challenges including delayed 777X production and losses in its Defense segment due to fixed-price contracts. Its high leverage remains a concern with a debt-to-equity ratio of around 7.5x as of Q2.
Tickers: $BA
Topics: Argus Backlog Boeing Cash Flow Commercial Aerospace