Boeing’s 777x Takes a Step Ahead, Report Says. What It Means for the Stock.

A Boeing 777X flight test aircraft, shown in 2024. (JENNIFER BUCHANAN/POOL/AFP via Getty Images)

Key Points

• The Federal Aviation Administration approved Boeing to proceed to the next stage of test flights for its 777X jet.
• Boeing’s 777X, a wide-body jet, can carry over 400 passengers and is projected for commercial service around 2027.
• Boeing took a $5 billion charge in the third quarter due to 777X certification delays and has 565 unfilled orders for the jet.

At this point for Boeing , any progress is positive.

Monday, the Air Current reported the Federal Aviation Administration had given Boeing the go-ahead to advance to the next stage of test flight for its huge 777x jet. The plane completed its first flight in 2020, but the certification process bogged down as Boeing faced more regulatory scrutiny because of problems with its 737 MAX jets.

The 777X, Boeing’s newest wide-body jet, can carry more than 400 passengers in certain cabin configurations. When ready for commercial service, it “will be the world’s largest and most efficient twin-engine jet, unmatched in every aspect of performance,” according to Boeing.

After much more flight testing and data review, the program launched in 2013, will be ready for commercial service. That date should be some time in 2027. It has been a long process for the company, and Boeing took a $5 billion charge in the third quarter to account for the certification delays.

“We continue to work under the oversight of the FAA to meet all certification requirements,” said Boeing in an emailed statement when asked about 777x progress.

Boeing has unfilled orders for 565 triple-seven-X jets.

Boeing stock edged higher on Tuesday, closing at 195.21, up 0.2%, while the S&P 500 and Dow Jones Industrial Average added 0.2% and 1.2%, respectively.

Boeing shares have been weak since the third-quarter earnings report, when the size of the 777x charge was disclosed. Coming into Tuesday trading, shares were down about 13% since the quarterly update, leaving Boeing stock up about 10% year to date.

Boeing shares had performed well heading into earnings. Investors have been encouraged by progress made producing and delivering more 737 MAX jets.

Boeing is expected to deliver about 600 jets in 2025, up from fewer than 350 in 2024.

Write to Al Root at allen.root@dowjones.com