NEW YORK (TheStreet) -- Shares of Boeing Co. (BA) are down 0.42% to $131.06 in pre-market trade after it was reported that Airbus Group (EADSY) is close to winning an order from Delta Air Lines (DAL) for as many as 50 wide-body jets valued at about $13 billion, beating competing planes from Boeing, sources told Bloomberg.
The sale would be a mix of Airbus's A330neo and A350-900 planes, sources added. The purchase with Atlanta-based Delta is still being negotiated and may be announced as early as next week, a source said.
A deal would build on earlier Airbus successes at Delta, including a 40-plane order in 2013 with a list value of $5.6 billion. Delta had favored models from Chicago-based Boeing over Airbus until acquiring Northwest Airlines in 2008. Boeing supported Delta's bankruptcy restructuring plan in 2007 in the face of a hostile takeover bid by US Airways (LCC) , Bloomberg said.
TheStreet Ratings team rates BOEING CO as a Buy with a ratings score of A-. TheStreet Ratings Team has this to say about their recommendation:
"We rate BOEING CO (BA) a BUY. This is based on the convergence of positive investment measures, which should help this stock outperform the majority of stocks that we rate. The company's strengths can be seen in multiple areas, such as its revenue growth, impressive record of earnings per share growth, compelling growth in net income and notable return on equity. We feel these strengths outweigh the fact that the company shows low profit margins."