Boeing faces 32% drop in Dow amid crises, production issues, and strikes, while Airbus and S&P 500 gain.
Boeing is set to be the biggest loser in the Dow Jones Index for 2024, with a 32% decline in stock value.
In contrast, rival Airbus has seen an increase of over 11%, while the S&P 500 gained more than 23%.
Boeing’s shares began 2024 at $257.50, but a cabin panel blowout incident involving a 737 MAX in January led to investigations and the temporary grounding of the aircraft.
The U.S. Federal Aviation Administration (FAA) responded to safety concerns by restricting 737 production to 38 planes per month, causing shares to drop to around $211.
Production has faced additional challenges due to supply-chain issues, quality concerns, and a significant strike that stalled most commercial aircraft production.
Boeing has reported substantial losses across its commercial, military, and space divisions throughout the year.
In July, the company made a $4.7 billion acquisition of supplier Spirit AeroSystems, which has also struggled with production quality.
In August, Kelly Ortberg was appointed as CEO, succeeding Dave Calhoun.
However, Ortberg faced immediate challenges as around 33,000 production workers went on strike in September over a contract dispute, which extended into November.
During the strike, Ortberg announced plans to cut the workforce by 10% and indicated that Boeing anticipates continued cash losses into 2025.
