Southwest Airlines orders 34 more 737 MAX aircraft from Boeing
08 Jun 2021
Boeing (NYSE:BA) Co is trading up 1.10% at 252.66
Southwest Airlines said on Tuesday it had ordered 34 new Boeing (NYSE:BA) Co 737 MAX 7 aircraft to receive in 2022, as the U.S. airline prepares for a vaccine-driven recovery in travel demand.
The move lifts the carrier’s firm orders for the MAX 7 aircraft in 2022 to 234 planes.
The mass rollout of COVID-19 vaccines and easing travel restrictions have bolstered hopes of a rebound in bookings for U.S. carriers after they suffered heavy losses in 2020.
Southwest on Tuesday also tightened its second-quarter average core cash burn forecast to between $1 million and $2 million per day, compared with the previous range of $1 million to $3 million per day.
Cash burn, a measure that U.S. airlines began providing in 2020 to measure liquidity in light of the pandemic, was about $2 million per day in May.
The company said it continues to expect revenue to improve in June from a month earlier, driven by higher leisure passenger traffic and fares.
On technical fronts Boeing (NYSE:BA) Co RSI stood at 62.02 and currently stock is trading above all Moving Average. So, BUY position can be taken with following target and stoploss:
TRADE SIGNAL – : Boeing (NYSE:BA) Co – BUY: 252.66, TARGET: 259.23, STOP LOSS : 245.20