The Federal Aviation Administration has cleared Boeing to begin commercial service for its 737 Max 7, ending a prolonged certification process and allowing the company to start delivering completed jets in inventory. Boeing shares have been choppy, with a 7-day share price return of 5.11% around the news, while the 1-year total shareholder return of 2.14% points to more muted longer-term progress. The company now trades near $232, with a most-followed narrative placing fair value at $160.01, suggesting it is 45.1% overvalued, though a Simply Wall St discounted cash flow model estimates a future cash flow value of $395.58. Boeing's Commercial Airplanes narrowed its operating margin from negative 5.1% to negative 2.7% on 171 deliveries against 150, and the 737 is transitioning to 47 per month from 38 a year ago, with a fourth Everett line activated in July and management targeting 52 next year. The FAA certified the MAX 7 after nearly a decade, with roughly 30 airframes in storage ready for retrofit.
The Boeing CompanyFAA approval clears 737 Max 7 for commercial service, enabling deliveries.
