Boeing's military division future outlook is getting better due to successive contract wins, despite potential pressure on crowded production lines and past delivery delays.

take a look at the chart showing Boeing's stock performance over the past year. It was a somewhat up- and-down trip. We are up today thanks to this latest news about the deal, although we are currently falling back from the session highs.

It may have something to do with the slight rise in oil prices, but we are focusing heavily on today's news because the company has won a new military contract.

we are seeing Boeing's stock rise. As I mentioned, the stock has lost some of its gains, but it is still up in today's session after the Navy selected Boeing to build its next generation of fighter jets.

This is the latest in a series of contracts won by Boeing's military division. Therefore, I see a future outlook that is getting better and better with regard to that unit. The deal is worth about $20 billion or slightly more, and under it Boeing will build the next generation of aircraft that will replace the aircraft carrier "Super Hornet" .

It is important to note here that Boeing beat out Northrop Grumman in this race to be the company chosen to build this aircraft. This deal makes Boeing the sole supplier of this sixth-generation tactical fighter to both the Navy and the Air Force.

This aircraft is likely to include more stealth features than its fifth-generation predecessor. It will be equipped with sensors that use artificial intelligence. It will also be armed with lasers and hypersonic weapons.

This is all according to the Congressional Research Service. It is also likely to have more advanced engines and to work in conjunction with drones.

Therefore, this contract represents a complete shift away from Lockheed Martin. Boeing won another contract last year to build the Air Force's next fleet of fighter jets. They currently call it the "F-47".

But this decision could put pressure on the company's already crowded production lines. Boeing has encountered some issues regarding delivery times here. So, it's definitely something we should keep an eye on here.

It is certainly something that investors will be watching.

Boeing also struggled a bit in building drones that could refuel other aircraft. That was another point of interest here. That drone was supposed to take its first flight in 2021.

But it only made its first flight in April of this year. Operations are not expected to begin before 2029. That means a delay of about four and a half years from the plan, Sam.

Therefore, it is likely to be air-ready and operational in time to deal with this sixth-generation fighter . But this is just one example of some of the problems Boeing has faced with its schedules and deliveries.

However, it is a very exciting day for Boeing thanks to this additional contract worth more than $20 billion . Of course, after outperforming Northrop Grumman in winning this contract.

Yes, I mean, this stock's performance really tells a lot of a story. As you know, this obviously comes on the heels of a Boeing software glitch that was reported just two days ago as well.

So, there are a lot of events happening. Some positive gains are here for the company.

You know, obviously we've had good news and not-so-good news here regarding Boeing, but from a technical point of view, this area around 187 is pretty much there's very strong support in that area.

So, what I'm going to do is go ahead for a few weeks and I'm just going to sell a simple "pot spread" here. I will sell a "Pot Spread" contract at 187 and 180. Those contracts expire on October 16th.

I'm looking to earn around $3 for that. Therefore, the break-even point on that Friday, October 16, would be 184 and a half.

I think it's a good opportunity to look at Boeing and say, "We may not get a big rebound after the drop we've seen , but the stock is starting to stabilize."