Why I'm NOT Worried About Boeing

First off let me get this off the bat, I don't particularly enjoy flying on a Boeing aircraft. I find them just "fine" to mediocre depending which model I'm flying. If I'm on a 787 Dreamliner I'm "fine", If I'm on their 737 series (NG or MAX) or 777-300's (including the ER's), I find them unfit and mediocre for travel. I actively avoid where possible flying on a Boeing craft simply for comfort reasons.

So why am I putting my thoughts on the whole Boeing thing? Quite simply I'm a new shareholder. I love travel, I have an interest in aviation, I find it an marvel that such heavy things can get in the air. Since every outlet wants to find a wannabe expert I'm putting in my 2 pence while I can.

So as most people will know, Boeing its in the news for all the wrong reasons, whistleblowers mysteriously taking their own lives, plug panels coming off, wheels coming, inside panels coming off, captains chair disrupting electrics and a plane losing its digital instruments for a moment. If you're a traveler its all concerning to read but the fact of the matter is, aviation is still the safest form of travel out there and we need Boeing as travelers and airlines need Boeing to stand up and be counted for.

Without further a due, let's delve into my thoughts why I'm not worried;

The Customer Need

Air travel prices hinges on 2 major things, cost of fuel and seat availability and the ability to fill those seats. The longer this Boeing thing goes off, the less planes are available, the lets seats that are available, which means we pay through the roof to go on holiday because airlines will have to pay for the airport slots regardless.

I want cheaper air fare travel, YOU want cheaper air travel, Boeing doesn't want to keep bleeding cash. We all need this company to sort their shit out, which they will do once it get back to basics.

The Airline Need & Still Selling Slots

Most Airlines want a more efficient aircraft to a point where some jets such as the massive Airbus A380, the 747, etc are all being retired. Airlines can't just retire old jets on a whim, they need to replace them.

Airlines aren't shunning Boeing over this, they're actually backing them. Example, Emirates while cautious have a massive commitment to the new 777-X plane, a plane which is so heavily delayed they could have easily dropped this and gone and got an A350-1000 (I wish they did just for the sake of comfort but whatever). Another example is Ryan Air. They have an entire fleet of Boeing Aircraft, they are eagerly wanting more new efficient craft. They are not going to go anywhere (sadly).

Rolls Royce relationship aside, Thai Airways just placed a massive order for Boeing Dreamliners. They could have gone A350's (wish they did) but they opted for Dreamliners.

I'd only be concerned if Boeing literally couldn't sell planes but the industry has literally backed Boeing and as a passenger and shareholder I'm not concerned as a result.

The "Chinese" Option

People who follow aviation will know of the COMAC C919 and COMAC in general. I'm putting "Chinese" in quotes here because whilst It's made in China, the parts are still from the west.

Let's be frank, we're not going to see this plane in the west. You may see it in Africa but its going to be more prominent in China domestically and maybe very close China friendly Asian countries. It's not going to outsell the 737 series or the A32x from Airbus. It's just going to be "there". It's not as efficient either so its non starter.

The Airbus Delivery & Lead Time

So this is one of the main reasons airlines are still buying Boeing. There only other option, Airbus (who I'm also a shareholder of), has massive lead times on their orders for the A32x planes. So much so they will go into the 2030's now.

Whilst Airbus battles with this, they don't have the factories like Boeing do to put our aircraft (quality issues aside). If an airline did order Airbus, they'd be waiting to beyond 2030 for some models and that's hoping supplier constrains clear up. Pratt & Whitney 2 years on are still sorting out their engine mess.

I'm An Investor: Is Boeing Worth It?

With the disclaimer of me saying I'm not an financial expert and all that, I'd say they still are. Airlines are either going to buy Boeing or Airbus. Airbus has big delays and Airlines aren't known for patience. Boeing will be about for years to come. Yes anyone who has substantial cash invested in Boeing stock will either panic and sell or will just ignore and hold.

I personally don't have a big stock of Boeing, its like £100 or so at most as I'm fairly new to investing but I'm not concerned at all. Boeing are still selling planes and until that changes I'm confident they are a solid bet to invest in. If anything, I'd probably purchase more stock at the moment in them!

Concluding Thoughts

We need Boeing to sort their shit out. The Media spotlight will continue to be on them so we're going to see more issues pop up.

As an aviation passenger, I need Boeing to get back on track so I see lower airfares.

As a shareholder, I'm not concerned. Delivery slots are still selling and the company will be about for many years to come.

Ultimately Boeing is too big a company to fail. Airlines have a huge backlog with them, their existing portfolio of planes is a huge presence in the industry, the American economy relies on Boeing which means its government and congress won't let it fail. I'm not worried.

Sooner we see drastic measures from Boeing such as 3 phase quality checks and just a single plant output or something so its all back to basics, the better.