BA stock is surging: Is Boeing finally figuring it out or is the market too optimistic?

Boeing's stock has surged to a two-year high of $248.75, indicating potential recovery after years of disappointments and executive shake-ups. Bernstein has raised its price target to $298, forecasting free cash flow to ramp up to $9-10 billion annually. Susquehanna set the target at $300, emphasizing Boeing's strong market position amid limited competitors. Analysts are keen on the company's ability to generate reliable cash flow, forecasting $2.3 billion in 2026, $6.8 billion in 2027, $10.5 billion in 2028, and $14 billion in 2029. The stock has seen a 36% increase in the past seven weeks, driven by a growing backlog, including Delta's recent order for 60 Dreamliners. However, the stock's current valuation raises concerns about whether the market has overly discounted its recovery potential. Questions remain about Boeing's ability to execute on its backlog and manage its high leverage.