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0 pointsafavour1y ago0 comments

> I don't think any investors are applauding the mismanagement at Boeing

Even with everything going on Boeing’s stock price is higher than it was ten years ago. Five years ago it was 4x, I’m sure it’ll recover a good amount from today’s number.

My cynical take is that a lot of investors don’t see what Boeing is doing as mismanagement. They’re in a hugely enviable market position: only one competitor that can’t scale quickly, customers are captive. Boeing management moved to reduce costs (i.e. get rid of expensive unionized workers) while still churning out a large number of planes: success. Some people have died as a result of that, sure, but did you see those profit and loss numbers? Wow-eee.

A year from now Boeing’s stock price will have rallied and they’ll continue on. Maybe an exec or two will take a golden parachute for PR purposes but it won’t mean anything.

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panick21_1y ago

The investors are simply seeing the reality of the situation.

But they do see the mismanagement and still want it to be better. Sure having a higher stock price is good, but an even higher one would be better.

colonwqbang1y ago

I can understand wanting the executives to be held accountable. But why is it important to punish the stock holders of Boeing? Do you feel that they had a hand in these disasters?

gravescale1y ago

If owning shares means having an, admittedly small when it comes to a firm the size of Boeing, part in the decision making process and a financial stake in the company, then yes, in principle. Shares aren't a vacuum-sealed number-go-up game, taking a share means an interest in supporting a company via investment or a desire to be involved in the decisions (which usually requires a substantial investment as a proof of stake).

It gets a bit murkier when it's all mashed and derived and packaged to death which results in things like the Church of England accidentally (or at least they divested when it was pointed out) having shares in things that it doesn't share philosophies with such as oil companies.

afavourOP1y ago

I never said they should be punished but it's an interesting thought exercise. A long-time stock holder in Boeing has indirectly profited from the death of innocent airplane passengers, I certainly wouldn't object to them losing that profit. And if punishing executives is permissible... well, those execs serve at the pleasure of the stockholders. There's surely _some_ responsibility there. But no, I'm not saying we should lock up the stockholders.

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