Boeing Company (BA): Initial Thoughts on 737 Software Story; Watching Max 7, 10

We're sharing some brief thoughts on this weekend's Wall Street Journal story about a flight control software flaw on the 737 MAX that can limit some autopilot functions in certain circumstances. Boeing is working on a fix but does not classify this as a flight safety issue. This seems unlikely to affect MAX 8 and 9 deliveries very much, as customers can choose an alternative software version. We're more focused on any 2027 delivery implications for the newly certified MAX 7 and nearly certified MAX 10, which are only available with the new software, though we emphasize that we draw no new conclusions now. The latest version of 737 MAX flight control software, developed by GE Aerospace (version 14, or U14), can lose some automated navigation features when pilots change their flight paths after a missed approach. US carriers Alaska, American, Southwest, and United do not have this version. Boeing has known of this flaw since Nov 2024 but determined it was not a safety issue. Customers c