Boeing stock price eyes a 11% surge as fresh tailwinds emerge

Boeing stock price jumped by over 4% on Friday, and this trend may continue in the coming weeks as investors focus on Donald Trump's trip to China later this month.

BA jumped to $230, up substantially from the year-to-date low of $218.

China to make hundreds of orders 

Boeing share price jumped as investors reacted to a report that China was preparing to make hundreds of orders of 737 and other planes when Donald Trump visits Beijing to meet with Xi Jinping.

This is in line with what we predicted earlier this year, as you can read here.

Chinese orders are important for Boeing as the company races to bridge the gap with Airbus, which has the biggest backlog in the civil aviation industry.

For one, Chinese companies have resisted placing Boeing orders since Donald Trump’s first term, citing the deteriorating trade relations.

As such, it will be a welcome move for the second-biggest world economy and one of the top aviation markets to place orders with Boeing.

The other main beneficiary of all this will be General Electric Aerospace, a company that makes engines for most of the Boeing 737 planes.

It does that internally and through its joint venture with Safran, a giant French company.

Still, the upcoming orders from Beijing come with substantial risks, including the ongoing war in Iran, a top Chinese ally.

Another risk is that relations between the US and China could deteriorate before the orders are filled, pushing Chinese airlines to cancel them.

Boeing is making major milestones

One major bullish catalyst for the Boeing stock price is the fact that its aircraft have been safe in the past few years.

There have been no major accidents or incidents in this period, a sign that the company has improved its processes over time.

This view was seen in the last financial results, which showed that the company was doing well in terms of backlog, revenue growth, and margins.

READ MORE: Boeing stock forecast 2026: Here’s why BA shares will soar

Boeing’s revenue jumped to $23.9 billion in the fourth quarter from $15.2 billion in the same period in 2024. Its operating margin rose to 36.7%, while its free cash flow improved to $400 million.

The company had a free cash outflow of $4.1 billion in the fourth quarter of 2024.

Boeing has started to increase its production, with the company making 42 737 each month. 787 production stands at 8 a month.

The company ended the last quarter with a backlog of 6,100 planes worth over $567 billion.

Boeing’s defense business is also expected to do well as the ongoing war in Iran continues. Its defense revenue rose to $7.4 billion from $5.4 billion.

This growth will likely continue as Trump plans to boost defense spending to over $1.5 trillion. Its defense backlog rose to $85 billion.

Boeing stock price technical analysis 

The daily timeframe chart shows that Boeing share price has rebounded in the past few months, soaring from the December low of $176 to the current $232. 

It rebounded by over 4% on Friday after the media reported on the large Chinese orders. It has formed a bullish engulfing pattern, which is a common bullish reversal sign.

The stock has formed a bullish flag pattern, a common continuation sign in technical analysis.

It has also remained above the 100-day moving average.

Therefore, the stock will likely continue rising as bulls target the year-to-date high of $254, which is about 11% above the current level. A move above that level will point to more gains, potentially to $300.