October 21st, 2009 by 
Large Airplane manufacturer Boeing (BA) reported a $1.6 billion loss today for it’s third quarter reporting period.
The stock started trading lower immediately after the results were released in pre-market trading this morning.
That’s not to say where it will end up by the time the end of the day comes around though. You never can tell with the stock market today.
Here’s a copy of a news release I read about Boeing today:
Boeing post $1.6B loss in 3Q, slashes outlook as 787, 747 plane charges undermine results
* By Daniel Lovering, AP Manufacturing Writer
* On 8:03 am EDT, Wednesday October 21, 2009Airplane maker Boeing said Wednesday it lost $1.6 billion in its third quarter as charges from its delayed 787 and a new version of its 747 jumbo jet weighed down results. It also slashed its profit forecast for 2009.
Shares of the Chicago-based airplane maker fell $1.29, or 2.5 percent, to $50.60 in pre-market trade.
Weak demand for air travel and cargo services has undermined demand for Boeing’s jetliners since the global economy deteriorated late last year. Some customers have been forced to cancel or delay plans to buy new aircraft.
But Boeing, the world’s second-largest commercial plane maker after Europe’s Airbus, has had its own problems, too: production setbacks have delayed its eagerly awaited 787 and 747-8 jets, resulting in hefty charges.
The company said its quarterly loss amounted to $2.23 per share. During the same period last year, Boeing earned $695 million, or 96 cents per share. A labor strike and problems with suppliers reduced year-earlier profit by 60 cents per share and revenue by an estimated $2.1 billion.
Revenue rose 9 percent to $16.69 billion.
Analysts surveyed by Thomson Reuters, on average, expected a loss of $2.12 per share on revenue of $17.16 billion. Wall Street estimates typically exclude one-time charges.
Boeing (BA) has been plagued with problems for quite a while now. As the article above mentions, manufacturing delays from production setbacks, labor disputes and the accompanying slowing economy hasn’t helped.
On top of that, there may be concerns that the new 787 Jumbo Jet weighs so much that it may affect fuel conservation goals set in place at potential customers.
Taking a look at a 2 year weekly chart of Boeing (BA) below, you can see the the stock is at a major resistance level just below $55.00. Barring a war outbreak requiring an increase in airplane and parts orders, it appears BA may be headed lower. Notice the recent rise on lower volume on the chart.
The next chart is a 6 month daily chart of Boeing (BA). Take note of the 50 day Moving Average which was at $50.27 at the close of yesterdays trading. So far this morning, BA appears to be bouncing off this level so this will be a key level to watch.
Also notice the recent lower high that was made earlier this week just below $54.00. If this level holds as a high, the trend for BA will have switched to down. Any move up through $54.00 would need to be re-evaluated for further upside potential.
