FAA Clears Boeing’s MAX 10 After Long Wait, But BA Traders Say Deliveries Will Drive The Stock

• The MAX 10 was originally expected to enter service around 2020.
• Most recently, the certification was delayed by a software glitch that surfaced in late September and prompted the FAA to pause the certification process.
• Boeing said on Tuesday that it will begin delivering the airplane in the coming months.

The Federal Aviation Administration (FAA) on Tuesday certified Boeing’s (BA) 737 MAX 10, clearing the largest version of the jet family for production and delivery after years of delays and safety concerns.

BA stock closed the regular trading session down 0.5% and edged up 0.33% after hours.

Approval Follows Long Delays

“After extensive safety reviews – including thousands of hours of test flights – the team at the FAA is ready to approve this critical aircraft for sale,” said U.S. Transportation Secretary Sean P. Duffy.

The MAX 10 was originally expected to enter service around 2020. Certification was repeatedly pushed back by the broader 737 MAX crisis, later technical issues with the engine anti-ice system, and a software glitch that surfaced in late September and prompted the FAA to pause the process. The agency later determined the issue was not a safety concern and did not require a fix before certification. The FAA also updated Boeing’s production authorization, allowing the company to build and deliver the aircraft to domestic and foreign carriers.

While the FAA concluded the software behavior did not pose an unacceptable safety risk, some carriers have previously reportedly said that they would not accept aircraft running the affected software version. More than 30 customers have ordered the MAX 10, including United Airlines, Ryanair, Alaska Airlines, among others.

Boeing said on Tuesday that it will begin delivering the airplane in the coming months. Canadian carrier WestJet is scheduled to be the launch customer and the first airline to receive and operate the Boeing 737 MAX 10. The jet is expected to enter service in early 2027.  

Why The Jet Matters For Boeing’s Finances

The Max 10 is the largest jet in Boeing’s best-selling single-aisle family and has been years behind schedule. Boeing said that as of June 30, it accounted for about 31% of 4,404 undelivered 737s, or roughly 1,365 jets. Starting deliveries would let Boeing begin converting a large slice of that backlog into cash.

The larger aircraft is also Boeing’s main response to the popular Airbus A321neo in the high-capacity single-aisle market.

How Did BA Retail Traders React?

On Stocktwits, retail sentiment around BA stock jumped from bearish to neutral territory over the past 24 hours, while message volume stayed at low levels.

A Stocktwits user opined that the company should play up the flight certification for the stock to move.

Another user said that the stock will move on higher deliveries, instead of merely certification.

BA stock has dropped 12% year-to-date. 

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