Boeing Secures a Contract to Support F/A-18 E/F Aircraft Program

The Boeing Company BA recently clinched a contract involving the F/A-18 E/F aircraft. The award has been offered by the Naval Supply Systems Command Weapon Systems Support, Philadelphia, PA. Valued at $18.5 million, the contract is projected to be completed by January 2027. Per the terms of the deal, Boeing will provide for the repair of R2 trailing edge flaps used on the F/A-18 E/F aircraft. Work related to this deal will be carried out in Jacksonville, FL. What’s Favoring BA Stock?As nations are striving to enhance their aerial supremacy amid a volatile geopolitical landscape, the demand for military aircraft worldwide is rising rapidly. In addition, the introduction of advanced fighter jets equipped with sophisticated technologies, such as enhanced stealth, precision targeting, and electronic warfare capabilities, thus continues to fuel growth in the fighter aircraft market. To this end, the Mordor Intelligence firm projects the global fighter aircraft market to witness a CAGR of 3.7% from 2024 to 2029, underscoring significant opportunities for key jet makers like Boeing.Notably, Boeing plays a vital role in the fighter aircraft market through its research, development, production, and modification of manned and unmanned military aircraft and weapons systems. Its offerings span fighter and trainer aircraft, rotorcraft, tilt-rotor aircraft, and specialized commercial derivative aircraft, including anti-submarine and tanker platforms. Boeing’s portfolio features combat-proven jets like the F-15, P-8, T-7A Red Hawk, E/A-18G and C-17 Globemaster III.In particular, BA’s F/A-18 Super Hornet stands out for its versatility, capable of executing nearly every tactical mission, including air superiority, day/night precision strikes, fighter escort, close air support, suppression of enemy air defenses, maritime strikes, reconnaissance, forward air control and aerial refueling. The latest Block III model, currently in service with the U.S. military, is the most advanced F/A-18 iteration, offering unparalleled networked capabilities and survivability.With a robust product lineup and advanced technologies, Boeing is well-positioned to capitalize on the expanding fighter aircraft market, meeting the evolving needs of modern defense forces worldwide.Growth Opportunities for BA’s PeersOther aerospace manufacturers that are well established in the fighter aircraft market space and are thus expected to benefit from this market’s growth have been discussed below:Lockheed Martin Corporation LMT: Manufacturer of some of the most advanced military jets in the world, LMT’s key jet programs include the F-35 Lightning II, F-22 Raptor, F-16 Fighting Falcon and C-130 Hercules.Lockheed has a long-term (three to five years) earnings growth rate of 4.4%. The Zacks Consensus Estimate for 2025 sales indicates growth of 4.1% from 2024’s estimated figure.Northrop Grumman Corporation NOC: A leading provider of combat manned and unmanned air systems, NOC builds some of the world’s most advanced aircraft like the B-2 Spirit Stealth Bomber, A-10 Thunderbolt II and B-21 Raider.Northrop Grumman has a long-term earnings growth rate of 19%. The consensus estimate for 2025 sales indicates growth of 3.4% from 2024’s estimated figure.Embraer ERJ: A prominent combat aircraft manufacturer, ERJ’s product portfolio includes the A-29 Super Tucano light attack and advanced trainer and the C-390 Millennium military multi-mission aircraft.The Zacks Consensus Estimate for ERJ’s 2025 sales indicates growth of 18.3% from 2024’s projected figure. The stock boasts a four-quarter average earnings surprise of 127.28%.BA Stock’s Price PerformanceIn the past three months, shares of Boeing have gained 7% against the industry’s 7% decline.Image Source: Zacks Investment ResearchBA’s Zacks RankBoeing currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.Zacks Names #1 Semiconductor StockIt's only 1/9,000th the size of NVIDIA which skyrocketed more than +800% since we recommended it. NVIDIA is still strong, but our new top chip stock has much more room to boom.With strong earnings growth and an expanding customer base, it's positioned to feed the rampant demand for Artificial Intelligence, Machine Learning, and Internet of Things. Global semiconductor manufacturing is projected to explode from $452 billion in 2021 to $803 billion by 2028.See This Stock Now for Free >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report The Boeing Company (BA): Free Stock Analysis Report Lockheed Martin Corporation (LMT): Free Stock Analysis Report Northrop Grumman Corporation (NOC): Free Stock Analysis Report Embraer-Empresa Brasileira de Aeronautica (ERJ): Free Stock Analysis ReportTo read this article on Zacks.com click here.Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks