BOEING COBA

In FY2025, Boeing delivered a $4.3 billion^a operating profit after suffering an $11.8 billion net loss in FY2024, signaling a sharp pivot from prolonged production crises toward operational stability. The central investment thesis hinges on Boeing's ability to convert its massive aircraft order book into cash while integrating the recently acquired Spirit AeroSystems to stabilize a fractured manufacturing supply chain.

Top-line recovery anchors this trajectory, as total revenue climbed from $62.3 billion in FY2021 to $89.5 billion^b in FY2025. A 34.5% year-over-year revenue surge in FY2025 overcame severe operational headwinds, including earlier 737-9 groundings and a late FY2024 labor strike. Commercial demand pushed total backlog to $682.2 billion by the end of FY2025. To survive the cash burn leading up to this operational inflection, Boeing diluted shareholders by raising $18.2 billion via common stock in FY2024 and sold its Digital Aviation Solutions unit for $10.55 billion the following year.

While Boeing posted $2.2 billion^c in GAAP net earnings in FY2025, preferred stock dividends left common shareholders with a $1.89 billion net loss. Investors heavily priced in the realization of future cash flows; the stock traded at $217.12 per share with an 87.5x earnings multiple at the close of FY2025, valuing the aerospace manufacturer at a $219.8 billion market capitalization.