ZNH - Boeing cuts loss after Morgan Stanley says grounding risk to earnings is not significant

Boeing (BA -3.7%) pared its loss from earlier in the day after analysts say regulatory risk from a crash early in the day in China may not be as great as initially feared. Morgan Stanley noted that the Boeing 737 NG does not have the Maneuvering Characteristics Augmentation System software issues that the Boeing 737 MAX aircraft faced. That makes the two previous 737 MAX crashes that occurred unrelated to today's 737-800 crash of a China Eastern Airlines (CEA -6.3%) jet. Furthermore, the 737-800 is pointed out to be out of production already as Boeing transitioned to the production of the 737 MAX. Analyst Kristine Liwag: "Considering the historical positive safety record of the Boeing 737 NG family and since the aircraft is out of production, we do not see significant risk to Boeing numbers. However, the China Eastern Airlines crash underscores the regulatory risks facing Boeing. A grounding of

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Boeing cuts loss after Morgan Stanley says grounding risk to earnings is not significant