Have you ever watched a giant airplane claw its way back into the sky after what felt like years of turbulence? That’s exactly the vibe I’m getting from Boeing these days. The stock has been through a rough patch—everyone knows that—but suddenly, the chatter is shifting. Analysts are stepping up with bold calls, and even Jim Cramer is out there saying it’s still trading at a bargain. Makes you wonder: could 2026 be the year this aerospace behemoth really takes off again?
I’ve been following market commentary for years, and it’s rare to see this kind of quiet confidence building around a name that’s been beaten down so hard. But here we are, on a random Tuesday in early January, and the spotlight is firmly on Boeing. Let’s unpack what’s happening and why some smart money folks think the worst might finally be behind us.
Why Boeing Is Suddenly Back in the Conversation
The markets kicked off the day on a strong note. The Dow was pushing toward yet another record, flirting with that psychological 49,000 mark. Tech and consumer names were leading the charge, but underneath the surface, there were some interesting rotations happening. Energy stocks that had spiked on geopolitical news cooled off quickly, while other sectors grabbed the baton.
Amid all that, one story stood out: a major Wall Street firm naming Boeing as one of its top stock picks for 2026. They didn’t just slap a “buy” rating on it—they bumped their price target up significantly and laid out a pretty compelling case for why the company is turning the corner.
According to the note, the longstanding headaches with the 737 and 787 programs are gradually fading into the rearview mirror. Production issues, quality concerns, regulatory scrutiny—it’s been a long list. Yet the analysts argue that management is finally getting a handle on things. The defense side of the business, which has been a drag for years, is showing signs of stabilization. And perhaps most importantly, free cash flow is projected to surge in the coming years.
Jim Cramer’s Take: Total Faith in Leadership
Jim Cramer didn’t mince words during his morning session. He expressed total faith in the current CEO, Kelly Ortberg, who stepped in not that long ago to steer the ship. Cramer’s point was straightforward: the market is massively underestimating just how much cash this company could generate once the operational kinks are worked out.
In his view, that disconnect between fundamentals and the current share price makes Boeing still very inexpensive. It’s not trading like a growth darling, but the potential improvement in cash generation could change the narrative entirely. I’ve found that when Cramer gets this convicted about a turnaround story—especially one tied to a blue-chip name—it’s worth paying attention.
The stock is still very inexpensive, based on the market’s underappreciation of Boeing’s free cash flow trajectory.
– Jim Cramer
That quote really captures the essence. It’s not about flashy revenue growth or AI hype. It’s old-school value investing: buy a quality asset when the street is too pessimistic about its ability to throw off cash.
Breaking Down the Analyst Bull Case
Let’s dig a bit deeper into what the Bernstein team actually said. They raised their price target to $277 from $267—a nice vote of confidence, but more importantly, they laid out three core pillars for their optimism.
- Commercial airplane programs moving past major bottlenecks
- Defense and space segment returning to profitability
- Significant free cash flow inflection starting in 2025 and accelerating into 2026
Perhaps the most interesting aspect is how they frame the cash flow story. Aerospace is a notoriously lumpy business—big upfront costs, long production cycles, regulatory hurdles. But once those hurdles clear, the margin expansion and cash conversion can be dramatic. Think of it like a dam finally breaking: years of pent-up profitability rushing through.
In my experience following industrial turnarounds, this pattern plays out more often than people expect. Companies spend years burning cash to fix problems, investors lose patience, the stock languishes—and then, almost overnight, the numbers start surprising to the upside.
Broader Market Context: What Else Caught Attention
Of course, Boeing wasn’t the only name discussed that morning. Nvidia shares edged higher after its CEO gave an update on next-generation chips. The new platform promises not just more power but potentially lower cooling needs—a subtle but important shift for data centers.
That commentary sent ripples through related stocks. Companies focused on traditional HVAC solutions for data centers saw selling pressure. Meanwhile, electrical infrastructure players—like Eaton—were highlighted as better positioned for the evolving demand profile. It’s a reminder of how interconnected these themes have become.
Energy names also took a step back after a sharp run-up tied to developments in Venezuela. The initial excitement faded as reality set in: geopolitical outcomes are rarely linear, and commodity prices adjusted accordingly. Chevron gave back much of its prior-session gain, illustrating how quickly sentiment can swing.
Is Boeing Really “Inexpensive” at Current Levels?
This is the million-dollar question—literally. Valuation is always subjective, but let’s think through the framework Cramer and the analysts are using.
Traditional metrics like price-to-earnings can be misleading for cyclical companies still working through issues. That’s why free cash flow yield becomes the north star. If the company truly hits its cash generation targets over the next couple of years, the current price starts looking attractive relative to that future stream of cash.
Add in the fact that Boeing remains a duopoly in commercial aviation alongside Airbus, and the long-term pricing power argument holds water. Demand for new aircraft didn’t disappear—it was just delayed by the pandemic and subsequent supply chain chaos. As travel normalizes and older fleets retire, order books should remain robust.
Of course, risks remain. Regulatory oversight is intense, labor relations can flare up, and macroeconomic slowdowns could dampen airline capital spending. But those risks are well-known and arguably already baked into the price. The asymmetry, as the bulls see it, leans toward upside surprise on execution.
What Investors Should Watch Going Forward
If you’re considering Boeing or simply tracking the turnaround, here are the milestones I’d keep an eye on:
- Quarterly production and delivery numbers for the 737 MAX and 787
- Updates on certification progress for newer variants
- Cash flow guidance during earnings calls—any upward revisions would be huge
- Contract wins or losses on the defense side
- Overall airline health and aircraft order announcements
These data points will tell us whether the operational recovery is real or just hopeful thinking. In the meantime, the combination of analyst upgrades and seasoned commentators like Cramer calling it inexpensive creates an interesting setup.
Final Thoughts: Opportunity or Value Trap?
Look, I’m not here to pound the table and tell you to back up the truck. Investing in turnaround stories requires patience and a strong stomach. But when credible voices start aligning around a thesis of undervalued cash flow potential, it’s worth doing your own homework.
Boeing has disappointed investors for years. The question now is whether the corner has truly been turned. If the answer is yes—and early signs suggest it might be—then those who get positioned early could be rewarded handsomely as the market reprices that improving outlook.
At the very least, it’s a name that deserves a spot on the watchlist as we head deeper into 2026. Sometimes the best opportunities hide in plain sight, in companies everyone assumes will never recover their former glory. Maybe, just maybe, Boeing is ready to prove the skeptics wrong.
What do you think—bargain or still too risky? The market will give us the answer soon enough.
(Note: This article reflects opinions based on public market commentary and analyst research available as of January 6, 2026. All investments carry risk, and past performance is no guarantee of future results. Always conduct your own due diligence.)
