Citi Calls the Aerospace Selloff a Gift, Raises Boeing Price Target to $260

"Citi raised its price target on Boeing to $260 from $256 and reiterated a Buy rating, with the firm telling clients the real opportunity lies in the dislocation itself. The call lands with BA stock trading at $218, well off the 52-week high of $254.35. For prudent investors, the analyst upgrade frames Boeing as a recovery story working through near-term geopolitical noise."

"The firm doesn't expect an immediate V-shaped rally absent a resolution to the Middle East conflict, but it sees clear buying opportunities after the selloffs. The sequencing matters. Citi expects aerospace names to rally first, with defense following, putting Boeing's commercial franchise at the front of the recovery trade. The modest $4 target increase is almost beside the point: the message is that the discount in the shares is the real gift."

"Boeing is executing a multi-quarter turnaround under CEO Kelly Ortberg. Q1 2026 revenue reached $22.22 billion, up 14% year over year, with 143 commercial deliveries and a 70% EPS beat versus consensus. The order book remains the crown jewel. Boeing closed the quarter with a record total backlog of $695 billion, while consolidated debt was reduced to $47.2 billion from $54.1 billion."

"The 737 program is running at 42 per month and the 787 is stabilizing at 8 per month, with Spirit AeroSystems now reintegrated. Boeing stock is flat year-to-date, even as Wall Street sentiment leans constructive. The consensus analyst target sits at $269.84, with 17 Buy and 4 Strong Buy ratings against 5 Holds."

Citi raised its Boeing price target to $260 from $256 and reiterated a Buy rating, viewing the recent aerospace selloff as an opportunity for patient investors. Boeing shares trade around $218, below the 52-week high, and the recovery is expected to unfold without an immediate V-shaped rally until Middle East conflict risks ease. Citi expects aerospace to rally first, followed by defense, placing Boeing’s commercial franchise at the front of the recovery trade. Boeing is executing a multi-quarter turnaround under CEO Kelly Ortberg, with Q1 2026 revenue of $22.22 billion, 143 commercial deliveries, and a 70% EPS beat versus consensus. The order book shows strength with record total backlog of $695 billion and reduced consolidated debt to $47.2 billion. Production rates include 737 at 42 per month and 787 stabilizing at 8 per month after Spirit AeroSystems reintegration.

Read at 24/7 Wall St.