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Boeing shares dip after posting third consecutive annual loss, AT&T stock slides

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Yahoo Finance's Ines Ferre breaks down how Boeing and AT&T are trading after the companies reported earnings.

Video transcript

AKIKO FUJITA: Well, shares of Boeing are falling in the session, down nearly 4% as the company posts its third annual loss. Let's bring in Yahoo Finance's Ines Ferre, who's tracking that action for us today. And, Ines, Boeing getting hit in a big way from their Dreamliner.

INES FERRE: Yeah, that's right. And a lot of this has to do with the cost associated with that Dreamliner program. I'll get to that in just a second. But let's take a look at the results for the company's fourth quarter. Adjusted earnings per share coming in at $7.69. That was a miss. Revenue also coming in at $14.79 billion. That came in below estimates.

Now, the headline that we have with Boeing is that the company saw a jump in deliveries led by the 737 Max. That helped Boeing return to generating positive cash flow for the first time in almost three years in the fourth quarter. And that came in ahead of schedule, because Boeing had said that this would occur in 2022. But this has been overshadowed by those mounting costs when it comes to the 787 Dreamliner program, which has been delayed time and time again.

Those costs are now expected to come in at $5.5 billion. CEO David Calhoun saying in a statement after releasing the quarterly results that 2021 was a rebuilding year for us as we overcame hurdles and reached key milestones. So that positive cash flow-- but still, being overshadowed by those expenses with the 787 Dreamliner program, Akiko.

BRAD SMITH: Ines, I'll take it, as we have you here, we also want to check in on AT&T, because this is a stock that opened up higher on the day but has since moved lower. They also reported earnings. So what's going on there?

INES FERRE: Yeah, that's right. And basically, you've got Wall Street analysts that are not impressed with AT&T's result, particularly adjusted EBITDA, which came in at $11.3 billion, and the estimate was for $12.53 billion. So RBC Capital City noting that miss. Looking at their adjusted earnings per share, the company came in at $0.78, revenue coming in at $41 billion.

That came in above estimates. But as you can see, the stock is under pressure because of Wall Street analysts that weren't so impressed. Now, as far as the company highlighting its subscribers, this is something that they had highlighted previously that company added 4.5 million wireless subscribers in 2021, its fastest growth, actually, in 10 years.

Also, AT&T noting its HBO Max and HBO subscribers, which surpassed the high end of guidance with nearly 74 million total subscribers at the end of 2021. And AT&T CEO John Stankey noting in the earnings call that its rivals have been increasing their prices above HBO Max's price, saying that HBO Max doesn't have the pricing struggles of its rivals-- alluding to Netflix's recent hikes.

BRAD SMITH: All right, Yahoo Finance's own Ines Ferre tracking some of the big companies that have reported earnings here today, as well as the price action taking place and ensuing thereafter. Ines, appreciate the updates there.

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