Boeing’s problems impact these suppliers

Article Excerpt

Aircraft maker Boeing has had to slow production of some of its planes due to a strike by machinists at its main plants. That will probably slow earnings growth at both of these suppliers. Their high p/e’s also add risk. GENERAL ELECTRIC CO. $189 is a hold. The company (New York symbol GE; Conservative Growth Portfolio, Manufacturing sector; Shares o/s: 1.1 billion; Market cap: $207.9 billion; Price-to-sales ratio: 3.0; Dividend yield: 0.6%; TSINetwork Rating: Average; www.geaerospace.com) recently spun off subsidiaries GE HealthCare (X-ray equipment, MRIs and ultrasound scanners) and GE Vernova (equipment for power plants and renewable energy projects) as separate companies. The remaining firm now operates as GE Aerospace. It mainly makes and services jet engines and aircraft electronics. It has 44,000 commercial and 26,000 military aircraft engines in service worldwide. In the second quarter of 2024, GE Aerospace’s revenue rose 4.0%, to $8.22 billion from $7.91 billion a year earlier. That’s mainly due to rising demand for repair and maintenance services, which offset lower…