Boeing Is Officially Tracked Here -- July 24, 2019

The debacle is tracked here 'cause I think this ends badly for Boeing. 

Updates

 

December 16, 2019: Boeing's 737 MAX production line stands down just weeks before Christmas. Boeing announced today it will suspend production; no re-start date given. Company running out of storage room. FAA, who must certify the aircraft, shows no sense of urgency. Boeing removes Boeing 737 MAX from schedule until April, 2020.

October 14, 2019: Pilots for Southwest Airlines predict the 737 MAX will be delayed beyond 4Q19.  On a bank holiday, Boeing was down half a percent today.

September 1, 2019:  the FAA says it needs a few more weeks to complete the review.

July 31, 2019; GE cash flow: hit by 737 MAX groundings. Link here. 

July 29, 2019:

July 29, 2019:

July 26, 2019: Southwest Airlines exits Newark, NJ, due to 737 MAX grounding;

Later, 1:10 p.m. CT: My hunch is that Boeing execs realize that even if the MAX 737 is certified 100% safe, "no one" will believe them. This is a trial balloon. By the end of the year, BA will end production of the MAX 737.

Later, 10:02 a.m. CT: take out Boeing, CAT, and Apple today and the Dow would be up 30 points, maybe more, depending on the algos.

Original Post

Not unexpected:

Yet to come: investor lawsuits. 

Disclaimer: this is not an investment site. Do not make any investment, financial, job, travel, career, job, or relationship decisions based on what you read here or think you may have read here.

Wow, look at this huge miss: link to Investor's Business Daily -- Zacks actually thought BA would report an EPS of almost $2.00/share, from a prior view for a loss of 56 cents/share. They should have stuck with their original estimate. Actual results: a loss of almost $6/share.

Boeing Earnings:

Estimates: Zacks changed its forecast to EPS of $1.85, implying analysts are excluding Boeing 737 Max charges, from a prior view for a loss of 56 cents per share. Revenue was seen falling 26% to $17.98 billion.

Results: Loss of $5.82 a share, including Boeing 737 Max charges, on revenue of $15.75 billion, down 35 %. Free cash flow was negative at $1.01 billion. Commercial aircraft revenue sank 66% to $4.72 billion. Defense and space revenue rose 8% to $6.61 billion. Global service revenue grew 11% to $4.54 billion.

More from Boeing:

• Commercial aircraft revenue: sunk 66% to $5 billion (rounded).
•  Non-commercial aircraft revenue: $7 billion (rounded). 
• Negative cash flow. Wow.

Again, just a reminder, the disclaimer: this is not an investment site. This site is mobile entertainment, simply stated.

Williston Economy -- From The Williston Wire Last Week -- July 24, 2019

Williston airport on track for October opening. Cement shortage resolved. Someone deserves a medal for solving this one.

Enplanements: statewide up 10%; Williston? Up 20%. Looks like the city needed a new airport -- or at least more parking.

Taxable sales, 1Q19: Williston led the state's largest cities. Previously posted. The state's largest two cities, Fargo and Bismarck saw no growth.

• Williston: +15%
• Fargo: a decrease of just less than 1%
• Bismarck: a decrease of 0.5%
• Grand Forks: decreased almost 2%

Recession? One could argue that based on the above figures, had it not been for the western part of the state, North Dakota could be in a recession. 

Grace and Glam: opens on Main Street, Williston; next to Cooks on Main

Brewery: Busted Knuckle Brewery, out of Glasgow, MT, coming to Williams County

Number Of Active Rigs In North Dakota Back To 57; WTI Right In Sweet Spot; RBN Energy On The Bakken -- July 24, 2019

Dis-Royal Navy, can't defeat speedboats: link here --

Get out the popcorn: can't wait to watch San Francisco and NYC take over "ownership" of their power grid. 

Disclaimer: this is not an investment site. Do not make any investment, financial, job, travel, career, or relationship decisions based on what you read here or what you think you may have read here.

2Q19: all we heard going into the current earnings season was how bad things were going to be. The exact word used was "ugly," I believe. Now, story after story of great earnings. And so we move on.

Reporting today, a huge day -- 231 companies to report, including: ATT (T); BAC; Boeing (BA); F; CAT (missed); TSLA (after close);

Oil rally? It is being reported that hedge funds have "unexpectedly" set the stage for an oil rally. We'll see. Hope springs eternal.

EIA weekly US crude oil inventory data to be released today. Yesterday's API data was staggering -- largest decline in memory. At 10 million bbls greatly exceeded forecasts of 4 million bbls. What wasn't said in all of that: even the forecast of a four-million-bbl draw was "huge." Oilprice.com headline said that oil spiked after the API report. In fact, WTI was flat, unless one considers a 30-cent move a spike. LOL.

Look at this: Apple, Inc., you know, the computer company, about to buy Intel's 5G modem unit.

And this: UPS adding Sunday delivery next year, joining rival FedEx.

Back to all that hand-wringing about 2Q19 earnings. Today's headlines:

• Visa tops earnings expectations; raises full-year outlook
• Beyond Meat soars above $200 as pre-earnings bid continues
• time to buy Micron stock again
• why Roku stock may surge sky-high
• Kimberly-Clark Price: sales boost and earnings beat 
• United Technologies: strong earnings
• Teradyne surges more than 10" on earnings beat
• Biogen earnings crush forecasts
• Apple stock will rise on improving iPhone demand in China
• Philip Morris stock rally; growth is "best in class"
• Lockheed hints at big skunks works deal; earnings beat
• KO: all-time high

And finally this: "the Dow jumped 177 points because everything coming up roses"

Dividends? Nice article here.

Tesla: it is being reported that the tax-break cut is likely to "sink" Tesla. Tesla reports today. Expectations: earnings to be a loss of 40 cents/share. At least I recall that was the number but I wasn't paying close enough attention. But forecasts all across the board, from a loss of $1.84/share to a profit of 95 cents/share.

Germany: manufacturing sector struggling. Doesn't surprise me a bit. Merkel's swan song. Next up: Annegret Kramp-Karrenbauer. AKK for short.

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Back to the Bakken

Wells coming off the confidential list today --&nbspWednesday, July 24, 2019: 42 for the month; 42 for the quarter;

• 35960, 1,796, Newfield, Goliath 150-98-5-8-8HLWR, 59 stages; 6.8 million lbs, Siverston (and it lives p to its name), 5/19; cum 43K 5/19; :

Date	Oil Runs	MCF Sold
5-2019	41486	87136
4-2019	1338	785

• 35272, IA/3,376, CLR, Carson Peak 4-35HSL, middle Bakken, 40 stages; 16 million lbs (huge), Oakdale, t6/19; cum --;

Active rigs:

$57.09	7/24/2019	07/24/2018	07/24/2017	07/24/2016	07/24/2015
Active Rigs	57	66	59	32	73

RBN Energy: takeaway constraints spur another round of crude pipeline projects. Archived.

Crude oil production in Western Canada and the Bakken is ratcheting up ­— in the Niobrara too — but pipeline takeaway capacity to key markets south of there is an issue.

For a couple of years now, egress ou of Alberta has been problematic, due in large part to delays in the development of the Enbridge Line 3 replacement, the Trans Mountain Expansion (TMX) and Keystone XL. Things got so bad last winter that Alberta’s provincial government ordered production cutbacks, though they are now easing. Rising Bakken production is quickly filling any remaining space on the Dakota Access Pipeline, and pipes out of the Niobrara’s Powder River and Denver-Julesburg (D-J) basins are approaching their capacities as well. In response, midstream companies have proposed a number of fixes, some very incremental in nature and others big and impactful. As typically happens, though, too much capacity may be on the drawing board. Today, we consider the ongoing competition to build new capacity down the eastern side of the Rockies.

By the way, there's another story that native Americans in Minnesota have sued Enbridge over yet another section of pipeline -- the recurring theme -- pipelines along the northern tier of the US are in disarray; the real action is in Texas. 

Nothing About The Bakken Except For The Flood Update -- Just Idle Rambling -- Lots Of Free Time This Evening -- July 23, 2019

This is pretty funny: Alfalfa suggesting that Saudi Arabia will no longer be a refiner in the future, but rather a global leader in renewable energy. LOL.

I don't know if Alfalfa has actually said that in so many words, but after reading this article over at oilprice.com my hunch he has said enough along this line to make folks roll their eyes.

For what it's worth, the linked article is something for the archives. The data point to watch: the amount of fossil fuel Saudi Arabia is importing.  We've been talking about this for several years.

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The Sports Entertainment Page

I assume every major television outlet (is that the right word? I'm blocking on this) in the country has a station devoted to the local baseball team: NYC (Mets and Yankees); Los Angeles (Dodgers); Boston (Red Sox); Minneapolis (the Twins); St Louis (Cardinals); Chicago (whatever). But, it seems it would be hard to beat what Channel 36, FSSWD, has in the DFW area: the Texas Rangers coverage. Tonight, the Rangers are in Seattle, so a late game for us here in Texas. Wow, the network does a great job. Pre-game. The game. Post-game. Even the commercials are awesome.

Cable gets more and more expensive, but here I am, watching the Rangers in Seattle. Whatever cable is costing me, it's a lot less than what it would cost to fly there, take an Uber, and then purchase stadium tickets, T-Mobile Park.

By the way, in a different time, and a different place, I would be watching the St Louis Cardinals tonight with a most wonderful woman.

Wow, wow, wow .. first pitch of the game -- solo home run -- of course it's "solo" -- it was the first pitch of the game. Shin-Soo Choo. Coincidentally, Shin-Soo Choo, now playing for the Texas Rangers, has also played for the Seattle Mariners, who they are playing against tonight. Why didn't the announcers mention that? I bet they didn't know that. LOL.

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Betsy Ross Flat T-Shirt

I'm on the fence whether to buy one. But talk about a huge marketing coup.

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Flood Update In The Bakken

Link here. What a mess.

Two Words: John Svedrup -- July 23, 2019

See these two links:

• July 21, 2019, top ten countries, fossil fuel production;
• John Svedrup

From the first link:

Other surprises, re: production:

• crude oil: China, #5; ahead of every middle Eastern country except Saudi Arabia
• natural gas: #7, Norway; the latter did not meet the top ten list for crude oil
• coal: among the top, Germany which is thought to be (one of) the "greenest" countries in the western world, among the countries that signed the Kyoto Protocol; China produces 46% of the world's total