TXT - Why Shares of Boeing and Commercial Aerospace Suppliers Are Soaring Today
Shares of Boeing (NYSE: BA) jumped 19% at the open, and traded up more than 13% in late morning, on growing optimism for a government stimulus package that would provide some relief to the troubled commercial aerospace sector. CEO David Calhoun appeared on CNBC this morning to talk up the need to support the industry, and also said Boeing remains on track to get its troubled 737 MAX airborne again by mid-year.
The positive talk gave the entire commercial aerospace sector a lift, with shares of major Boeing supplier Spirit AeroSystems (NYSE: SPR) up 20% and shares of TransDigm Group (NYSE: TDG), United Technologies (NYSE: UTX), Heico (NYSE: HEI), and Textron (NYSE: TXT) all opening up double digits.
Shares of Raytheon (NYSE: RTN), a defense-focused company nearing an all-stock merger with United Technologies, traded up in tandem with UTX's gains.