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Boeing Plunges as Delta Sees `Bubble' of Used Wide-Body Jets

Boeing Co. tumbled the most in almost a year after Delta Air Lines Inc. Chief Executive Officer Richard Anderson said there was a surge of wide-body models coming off lease, creating investor concern that the planemaker faces pressure on pricing for new aircraft.

A used-jet glut would pinch Boeing on planes like the twin-aisle 777, one of the company’s biggest sources of profit, said George Ferguson, senior air transport analyst with Bloomberg Industries. Boeing may also find it tougher to generate 777 sales needed to sustain output at 8.3 jets per month as it transitions to an upgraded model known as the 777X, he said.

The situation is “causing concerns about new model pricing,” Ferguson said in an e-mail. The issues also heighten “the risk that Boeing has to cut 777...