We're buying the dip in a stock after an expectations reset
We waited for the dust to settle after its earnings sell-off.
TL;DR
- Jim Cramer's Charitable Trust is buying 40 shares of Boeing at approximately $173.23.
- The purchase increases the trust's Boeing holdings to 660 shares, representing about 3% of the portfolio.
- The investment follows a 10% stock drop after a disappointing earnings report where CEO Kelly Ortberg provided a lower free cash flow outlook.
- Expectations reset is seen as positive, making future guidance achievable and beatable.
- Boeing is credited with providing multiyear cash flow visibility for the first time in years.
- The company has improved its culture, reduced supply chain risks, and restored trust under Ortberg's leadership.
- With FAA certification for the Max 7 and Max 10, Boeing will start delivering on its $612 billion commercial backlog next year.