Boeing Stock Price Falls on Engine Failure in 777 Model Jet.
Boeing Stock Price Falls on Engine Failure in 777 Model Jet. Skittish investors simply won't give Boeing the benefit of the doubt. Boeing (ticker: BA) stock was down about 3 % in premarket trading after an engine failure on a United Airlines 777 jet. Investors are still scarred by the near-two year saga which grounded […]

Boeing Stock Price Falls on Engine Failure in 777 Model Jet.

Skittish investors simply won't give Boeing the benefit of the doubt.

Boeing (ticker: BA) stock was down about 3 % in premarket trading after an engine failure on a United Airlines 777 jet. Investors are still scarred by the near-two year saga which grounded the 737-MAX jet, thus they sell Boeing shares on any hints of safety trouble.

The response in Boeing stock, if understandable, still feels a little odd. Boeing doesn't make or even maintain the engines. The 777 which experienced the failure had Pratt & Whitney 4000 112 engines. Pratt is a division of Raytheon Technologies (RTX).

The flight in question, United 328, was leaving Denver for Hawaii when the right engine suffered an uncontained failure. Engine parts left their housing, the nacelle, and hit the ground. Fortunately, the plane made it back to the airport without any injuries.

Boeing Stock Price Falls on Engine Failure in 777 Model Jet.

Boeing is actively monitoring recent events related to United Airlines Flight 328. Although the NTSB investigation is ongoing, we recommended suspending operations of the 69 in service and 59 in-storage 777s driven by Whitney and Pratt 4000 112 engines until the FAA identifies the appropriate inspection protocol, reads a statement from Boeing available Sunday.

Whitney and Pratt have also put out a quick statement that reads, in part: Pratt & Whitney is positively coordinating with operators and regulators to support the revised inspection interval of the Pratt & Whitney PW4000 engines that power Boeing 777 aircraft.

Raytheon did not immediately respond to an additional request for comment about engine-maintenance methods or possible triggers of the failure. United Airlines told Barron's in an emailed statement it'd grounded 24 of its 777 jets with the similar Pratt engine out of a great deal of caution adding the airline is actually working closely with aviation authorities.

After the accident, the Japan Civil Aviation Bureau as well as the Federal Aviation Administration suspended operations of 777 jets powered by Whitney and Pratt 4000-112 engines. Boeing supports the move, which feels like the appropriate decision.

Initial FAA findings point to 2 fractured fan blades, wrote Vertical Research Partners aerospace analyst Rob Stallard in a Monday research note, pointing out that former NTSB Chairman Jim Hall said this's another example of cracks in our culture in aviation safety (that) need to be addressed.

Raytheon stock was down about two % in premarket trading. United Airlines shares, nevertheless, are up about 1.5 % according to FintechZoom.

Boeing Stock Price Falls on Motor Problem in 777 Model Jet.
Boeing Stock Price Falls on Engine Problem in 777 Model Jet.

S&P 500 and Dow Jones Industrial Average futures had been down about 0.5 % and 0.7 %, respectively, on Monday morning.

Boeing shares are actually up aproximatelly 2 % year to date, but shares are actually down nearly 50 % since early March 2019, when a second 737 MAX crash in a situation of months led to the worldwide ground of Boeing's newest-model, single aisle aircraft.

Boeing Stock Price Falls on Engine Failure in 777-Model Jet.

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