Jim Cramer Talked About These 6 Airline Stocks

3. The Boeing Company (NYSE:BA)

Number of Hedge Fund Holders: 52

Cramer mentioned that a bottleneck has emerged because of The Boeing Company’s (NYSE:BA) production pace.

“Boeing’s inability to consistently produce new planes, well, that’s created another major supply bottleneck that we didn’t see coming.”

Boeing (NYSE:BA) is a leading aerospace company and faced several challenges in the year, including supply chain disruptions and a work stoppage involving the International Association of Machinists (IAM), which impacted operational efficiency. As a result, the company experienced a significant increase in core loss per share in the third quarter, rising to $10.44 from $3.26 year-over-year.

The company also faced significant production issues, including the forced slowdown of its manufacturing processes due to a series of safety incidents at the start of the year. This was followed by a nearly two-month strike at its Washington plants, which ended in November. Despite these setbacks, the company made strides in addressing its production challenges.

On December 9, Reuters reported that Boeing (NYSE:BA) resumed production of its best-selling 737 MAX jetliner, approximately one month after the conclusion of the seven-week strike involving 33,000 factory workers. The resumption of the 737 MAX production line is critical for Boeing, as the heavily debt-laden company works towards recovery. With around 4,200 orders for the 737 MAX, the company is responding to a growing global demand for air travel.

Additionally, on December 12, the company announced plans to invest $1 billion to expand its facilities in South Carolina to increase the production of the 787 Dreamliner. It aims to ramp up production to 10 Dreamliner aircraft per month by 2026, with facility upgrades expected to be completed by early 2027.