Spirit AeroSystems on conviction list at Goldman Sachs following IAM agreement

Goldman Sachs analysts said the firm expects little disruption to Boeing (NYSE:) and Airbus (EPA:) deliveries after Spirit AeroSystems (NYSE:) announced the ratification of a new four-year agreement with members of the International Association of Machinists and Aerospace Workers (IAM).

As a result of the agreement, SPR will begin to restore its Wichita plant operations today and fully resume production on Wednesday, July 5th.

In addition, Goldman Sachs said they have a Buy rating and $45 per share price target on SPR and have added it to its Conviction List.

Elsewhere Friday, BofA analysts maintained an Underperform rating $25 price target on SPR, although they view the resolution as “critical for both Spirit and Boeing as they work to ramp up 737 MAX production to 38 per month in the second half of the year.”

Even so, BofA “continues to see operational challenges ahead and downside risks to cash conversion targets” for SPR.