Airbus Group NV (EPA:AIR)’s newest development, the A350, has finished its testing. The $15 billion investment to achieve the twin-engine A350-900, capable of carrying 315 passengers with a range of 7,750 nautical miles; and a later version the A350-1000 with 369 seats, that will enter service in 2017. The recently developed Airbus should, as mentioned in Bloomberg article, “ensure certification of Airbus’s answer to The Boeing Company (NYSE:BA)’s 787 Dreamliner within weeks”. The airplane manufacturing war, which Boeing was wining, has changed its course; Airbus’s new model should establish new revenue potential.
Flight testing has finished with the tour from Helsinki to all 14 other destinations, including Johannesburg, Sydney, Santiago, Doha and Moscow. Collecting 708 orders, the fuel-efficient Airbus Group NV (EPA:AIR) A350, two largest models, have proven to be on grate demand. On the other hand, the smaller model, A350-800 (276 seats) has shown a low demand, with only 34 orders so far. “It’s dead, but still valiantly holding on in its flight to remain undead” says Richard Aboulafia, an aerospace analyst with Teal Group. It is expected that the A350-800 should be replaced for the A330neo (neo standing for “new engine option”), which will make it more fuel efficient and provide 400 extra miles over the existing A330; therefore giving Airbus, the ultimate plain for over 315 and below the 300 passengers.
Airbus Group NV (AIR) is one of the leading Airplane manufacturing companies, based in Blagnac (France) and with its manufacturing facilities mainly in France, Germany, Spain and United Kingdom. The company has a market capital of $33.75 Billion. The company has a P/E ratio of 20.4 and dividend yield of 1.74%.
The Boeing Company (NYSE:BA) an American multinational corporationis, as well as Airbus, another leading Airplane manufacturing company. The Boeing Company (NYSE:BA) designs, manufactures and sells fixed-wing aircraft, rotocraft, rockets and satellites. Its market capital stands at $87.90 Billion, a price share of $121.98. The company has a P/E of 18.4 and the dividend yield of 2.4.
This article has been written by Alexander Scheller and edited by Serkan Ünal.