Argus has upgraded Boeing (NYSE: BA) from a Hold to a Buy rating, setting a price target of $265, which implies an upside of roughly 14% from Monday's closing price.

Argus analyst Kristina Ruggeri highlighted that Boeing has achieved positive free cash flow this year, marking the first time since 2023. The analyst noted that with approval to relax monthly production caps and the long-awaited airworthiness certifications for two of its aircraft models, Boeing is well-positioned to significantly boost output.

Overall, Boeing has made solid progress this year in improving its production status and enhancing profitability. Ruggeri wrote, "In summary, strong market demand, a robust backlog, steadily increasing production capacity, and the shift of cash flow from negative to positive are expected to support the company's future earnings growth."