Bernstein Reaffirms 'Outperform' Rating Amid Boeing Labor Uncertainty

The Bernstein SocGen Group has reaffirmed its 'Outperform' rating on Boeing stock amidst growing labor uncertainty.

The engineering and technical labor union SPEEA, which represents Boeing workers, voted to reject the company's proposal on August 21. The union also authorized a strike, which could begin as early as October 7 if no resolution is reached.

Boeing management has stated that money previously intended for one-time payments upon acceptance will now be used for a strike fund. A strike could impact design work, such as the certification of the 737MAX-10 and 777X aircraft.