Boeing Shares Drop Following Another Incident

Boeing’s (NYSE:BA) shares dipped more than 1% pre-market today following a Sunday report about a Southwest Airlines Boeing 737-800 losing an engine cowling during takeoff from Denver International Airport.

The engine covering struck a wing flap, prompting the Federal Aviation Administration (FAA) to initiate an investigation into the matter. The affected Southwest flight, en route to Houston’s William P. Hobby Airport, returned safely to Denver approximately 25 minutes post-takeoff, with no injuries reported. Southwest is currently conducting a thorough examination of the aircraft.

This incident adds to a series of issues for Boeing, including a fuselage panel detachment on an Alaska Airlines jet in January and a separate FAA probe into a Southwest flight that veered off its intended landing path in New York in March. Boeing has faced ongoing scrutiny over quality control and safety, impacting the delivery schedule of its new Max aircraft. Additionally, Boeing announced last month that CEO Dave Calhoun is slated to retire at the end of 2024.