Boeing shares plunged nearly 8% in premarket trading on Thursday following the fatal crash of a Boeing 787 Dreamliner operated by Air India. The flight, bound for London, went down shortly after takeoff from Ahmedabad, killing all 242 people on board and striking a residential building.
The incident marks the first fatal accident involving the Boeing 787 since the aircraft entered commercial service in 2011. Investors reacted sharply, erasing weeks of recovery gains that had seen Boeing stock rise approximately 57% since early April. By mid-morning Thursday, Boeing shares were trading around $214, reflecting a loss of more than $17 per share.
Market analysts described the drop as a “knee-jerk reaction” to the crash, but noted that the tragedy could revive longer-term concerns over Boeing’s safety record. Shares of Boeing’s major suppliers, including GE Aerospace, also fell by about 4–5% in early trading.
The U.S. Federal Aviation Administration and the National Transportation Safety Board have joined India’s investigation into the crash, along with Boeing’s internal safety team. Boeing CEO Dave Calhoun has not yet issued a formal statement, but the company confirmed it is cooperating fully with authorities.
The sudden reversal highlights how fragile investor confidence remains following past controversies, including the two fatal crashes involving the 737 MAX between 2018 and 2019. Analysts warned that the incident may delay further upward momentum for the company’s stock and could result in renewed scrutiny from regulators and airline customers worldwide.
Illustrative image. AI-generated for editorial purposes only
