Boeing Shares Poised for Significant Upside as Analysts Cite Defense Wins and Recovery Prospects

Boeing's stock is approaching its strongest annual close in recent memory, trading within striking distance of its 52-week peak. This momentum is receiving fresh validation from Wall Street, with research firm Tigress Financial initiating coverage and projecting substantial gains for the aerospace and defense titan.

In a newly published analysis, Tigress Financial has assigned Boeing a "Buy" rating, setting a price target of $275 per share. This figure suggests an approximate 27% upside from current trading levels. The firm's analysts base their optimistic outlook on Boeing's entrenched role as a cornerstone of both global aerospace advancement and U.S. national security infrastructure.

Key catalysts identified for the stock include:
* An anticipated rebound in commercial aircraft delivery rates.
* A substantial order backlog expected to drive future revenue and cash flow generation.

This perspective aligns with a broader positive shift in analyst sentiment. Other major institutions, including Citigroup and J.P. Morgan, raised their own price targets for Boeing in December, reinforcing a constructive view on Wall Street.

Should investors sell immediately? Or is it worth buying Boeing?

Defense Segment Secures Multi-Billion Dollar Contract

The company's fundamental case is strengthened by a major operational achievement in its defense division. The U.S. Department of Defense recently awarded Boeing a contract valued at $2.04 billion. This award is for the Commercial Engine Replacement Program (CERP) pertaining to the iconic B-52 Stratofortress fleet. The agreement covers the integration of new systems and the installation of modern engines. Such a deal provides a stable revenue stream, insulating the company from some volatility in the commercial aircraft sector and reaffirming Boeing's strategic importance to American defense capabilities.

Persistent Challenges: Regulation and Geopolitics

Despite these tailwinds, significant challenges remain on the horizon. Within its commercial business, Boeing is currently seeking an exemption from the Federal Aviation Administration (FAA). The company aims to sell an additional 35 units of its 777F freighter model. As certification for newer, more fuel-efficient models faces delays, this special dispensation from updated emissions regulations is required to meet ongoing demand in the cargo market.

Furthermore, geopolitical tensions continue to cast a shadow. In response to U.S. arms sales to Taiwan, China has imposed new sanctions on several American defense contractors, including Boeing. While the direct financial impact on defense revenue may be limited due to existing restrictions on military technology exports to China, the move complicates diplomatic and commercial relations with one of the world's most critical aviation markets.

As investors look toward the end of 2025, they must balance these competing narratives. On one side sits robust analyst support and a fortified defense order book. On the other, regulatory hurdles and international friction persist. The $275 price target from Tigress Financial now serves as a key benchmark for gauging the stock's trajectory in the coming year.