Boeing stock tumbles over 7% in pre-market following Air India crash

The stock now trading at $197.58 in pre-market deals — a steep drop from Wednesday’s close of $214.00
The Boeing 787 Dreamliner has been a key product in Boeing's  commercial aircraft portfolio.
The Boeing 787 Dreamliner has been a key product in Boeing's commercial aircraft portfolio.File Photo
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CHENNAI: Shares of Boeing Co., listed on New York Stock Exchange, fell sharply in pre-market trading on Thursday, June 12, 2025, declining more than 7% amid news of a fatal crash involving a Boeing 787 Dreamliner operated by Air India. The incident triggered a wave of concern among investors, casting a shadow over Boeing’s recent stock rally and reinforcing long-standing safety and regulatory scrutiny surrounding its aircraft models.

Boeing’s share price was down 7.67%, trading at $197.58 in pre-market deals — a steep drop from Wednesday’s close of $214.00. The decline marks the third consecutive session of losses for the aerospace giant, although the stock had previously gained 24% over the past three months amid recovery hopes in the commercial aviation sector.

The Air India Flight AI 171 — a Boeing 787 Dreamliner — to London took off from Ahmedabad with 242 passengers on board crashed shortly after takeoff from Ahmedabad Airport at 2 pm on Thursday. The pilot, though reportedly issued a Mayday call, no subsequent communication was received.

In the crash, all the passengers are feared dead, according to police. More details are yet to come from the officials.

India’s Directorate General of Civil Aviation (DGCA) is investigating the incident.

Meanwhile, Boeing said in a statement that it is aware of the initial reports and is working to gather more information. The company is expected to provide a more detailed response as the investigation progresses.

Investor Concerns

The crash of Air India’s Boeing 787 has once again put a spotlight on Boeing’s safety record and investor confidence. While the causes remain under investigation, the market's immediate reaction reflects deep unease. Future stock performance will likely hinge on transparency in investigation outcomes, the absence of systemic technical faults, and Boeing’s crisis management response.

The Boeing 787 Dreamliner has been a key product in Boeing's commercial aircraft portfolio. Although the model has had fewer issues compared to the 737 MAX, any fatal incident — especially involving a wide-body international flight — raises investor concerns over potential regulatory reviews and flight groundings.

As an industry implication many airlines could even cancel pending orders or deferrals in the wake of the incident.

In addition, the aircraft maker may face reputational damage.

The market reaction reflects heightened sensitivity due to Boeing’s troubled history with safety oversight, most notably the twin crashes of the 737 MAX in 2018 and 2019, which led to a global grounding of the model and cost the company billions.

Despite recent gains, today’s sharp fall may disrupt Boeing’s bullish momentum. A close below the psychologically significant $200 level could invite further selling pressure. Analysts will closely watch updates from the investigation and any announcements from aviation regulators or airline partners.

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