Boeing Q1 earnings: CEO sees a path to $3B free cash flow in 2026

Boeing (NYSE: BA) opened comfortably in green on Apr. 22 after posting a significantly narrower-than-expected Q1 loss and revenue that showcased a stabilising production engine.

Investors are piling into the aerospace behemoth primarily because the quarterly release reinforced its ability to navigate geopolitical headwinds while maintaining an ambitious recovery timeline.

They were particularly uplifted after CEO Kelly Ortberg told CNBC in a “post-earnings” interview that BA’s free cash flow could hit as much as $3 billion this year, signaling the company’s “burn” era is finally nearing its end.

Versus its recent low, Boeing stock is now trading up roughly 18%.

Boeing stock to rally with growing free cash flow

On “Squawk Box”, Ortberg laid out a roadmap for a financial turnaround that hinges on consistency and volume.

Boeing has historically struggled with cash burn during its multi-year recovery. However, it’s right on track to deliver on its promise of $1 billion to $3 billion in free cash flow this year, the CEO confirmed.

“We’ve gotten off to a good start in Q1,” he noted, emphasizing that the results “exceeded” internal expectations.

Ortberg’s optimism is rooted in his commitment to stabilizing the production system and reducing the inventory of “glider” aircraft – planes built but awaiting parts or certifications.

Simply put, Boeing is effectively turning parked metal into liquid capital in 2026, which makes BA shares worth owning at current levels.

Improving supply and solid demand to drive BA shares higher

Beyond headline strength (just 20 cents per share loss and $22.22 billion revenue), the bull case for Boeing shares is shifting toward operational maturity.  

In the CNBC interview, CEO Ortberg agreed that the NYSE-listed firm is successfully pushing the 737 MAX production line.

It has stabilized at 42 aircraft a month and is already preparing suppliers for an increase to 47 this summer. “All systems are go for this next rate increase,” he added, indicating that the supply chain is finally synchronized with BA’s assembly goals.

Boeing remains worth owning also because of its surprising resilience in the face of Middle Eastern instability.

Despite concerns that regional conflict would lead to order deferrals, Ortberg revealed that demand remains so high that other global carriers are actively looking to “jump in line” should any delivery slots open up.

This exceptional demand suggests BA’s operational heavy lifting is now transitioning into financial harvesting.

How to play Boeing Co after Q1 earnings

The final pillar of the bull thesis for BA stock is Beijing.

Ortberg remains positive on an upcoming high-stakes meeting with President Trump and President Xi – which he believes will unlock the massive Chinese market for the first time in years.

“I’m confident that if the agreement is made at the country level, there’ll be some order opportunity for us,” Ortberg said, highlighting the “salesman in chief” role the US executive branch is playing.

A formal re-entry into China would not only provide a massive backlog boost but also serve as a geopolitical de-risking event for shareholders.

All in all, with a record $695 billion backlog already on the books and the potential for a “China tailwind,” Boeing is positioning itself as a primary beneficiary of the structural shift back toward global aviation growth.