(Recasts; adds details, share movement)
Sept 25 (Reuters) - Goldman Sachs cut its price target on Boeing Co (BA.N) shares to $56 from $60, saying the aircraft maker’s customers could have difficulty financing purchases, given a challenging credit environment following the recent financial market fallout.
“We believe that the amount of funding from traditional aircraft financing sources is shrinking and that Boeing’s customers may face near-term challenges financing aircraft purchases,” Goldman Sachs said in a note to clients.
Boeing will have to either provide the financing to its airline customers or face delays in planned 2009 deliveries, Goldman said, adding that the current credit crisis is likely to translate into higher funding costs for the aircraft maker.
However, Boeing would not have to meaningfully reduce its 2009 delivery target as it is overbooked by about 10 percent for the year, Goldman said.
Goldman maintained its “sell” rating on the stock.
Shares of Boeing were up 65 cents at $58.01 in morning trade on the New York Stock Exchange. (Reporting by A.Ananthalakshmi in Bangalore; Editing by Himani Sarkar)