Renaissance Technologies, Two Sigma among funds that dumped Boeing in first quarter

By Thomson Reuters May 15, 2024 | 1:45 PM

By David Randall

NEW YORK (Reuters) – Renaissance Technologies, Two Sigma Investments and Arrowstreet Capital were among large firms that sold all their shares of embattled aircraft maker Boeing Co in the first quarter, according to securities filings released on Wednesday.

Renaissance Technologies sold 1,057,900 shares in Boeing over the first quarter, a position that was worth slightly more than $240 million at the end of the period and would be worth about $187 million now. Two Sigma Investments sold 108,423 shares, while Arrowstreet Capital sold 47,571 shares.

Shares of Boeing are down 32% for the year-to-date as the aircraft manufacturer battles a safety crisis exacerbated by a January mid-air panel blowout on a 737 MAX plane. Chief Executive Dave Calhoun said on March 25 that he will step down by the end of the year.

The U.S. Justice Department on Wednesday said Boeing breached its obligations under a 2021 agreement that kept the planemaker from criminal prosecution following fatal 737 MAX crashes in 2018 and 2019 that killed a total of 346 people.

The Justice Department finding raises the prospect that Boeing could face prosecution it had previously avoided, which could result in fresh penalties.

A refrigerator-sized panel tore off a Boeing 737 MAX 9 jet operated by Alaskan Airlines in January, forcing pilots to turn back and land safely with all 171 passengers and six crew on board.

Loomis Sayles and Wellington Management Co were among the largest buyers of Boeing stock in the first quarter, according to securities filings.

Quarterly disclosures of hedge fund and other institutional investors stock holdings in 13F filings with the U.S. Securities and Exchange Commission are one of the few public ways of tracking what hedge fund managers are selling and buying. The disclosures are made 45 days after the end of each quarter and may not reflect current positions.

(Reporting by David Randall; Editing by Leslie Adler)