Latest news with #Joby
Yahoo
2 days ago
- Automotive
- Yahoo
At Paris Air Show, eVTOL Industry Preps for Takeoff
It's a bird … it's a plane … it's an … electric vertical takeoff and landing vehicle, or eVTOL (neither of which exactly rolls off the tongue, if you ask us). As Airbus lands major sales and Boeing tries to regain its credibility at this year's Paris Air Show, the upstart not-quite-a-plane, not-quite-a-helicopter, not-quite-cleared-for-liftoff eVTOL industry is climbing closer and closer to achieving its sky-high ambitions. For key US players Joby Aviation and Archer Aviation, the show comes at a critical moment. READ ALSO: US Flexes Golden Share in Nippon Merger With US Steel and AmEx Platinum, Chase Sapphire Reserve Battle for Points in Upgrade Grudge Match Both Archer and Joby went public in 2020 during the SPAC craze. Like a lot of SPAC companies, their appeal to investors was largely speculative — and, five years later, remains somewhat speculative (neither has completed a commercial flight yet). But promises of a Jetsons-esque future of battery-powered flying taxis are starting to look a little more real, especially after a slew of developments in just the past couple of weeks. At the end of May, Joby announced it received $250 million from Toyota, the second tranche of a $500 million investment from the major automaker announced in October (which itself followed a previous $394 million investment from Toyota). Then, last week, came the big news: As part of a broader initiative to promote domestic drone production, the White House issued an executive order to launch a pilot program for the nascent industry. The announcement brought renewed interest to the pair of eVTOL firms, which showed both companies may have climbed a little too close to the sun: Shares of Joby had spiked more than 30% in the days immediately following the announcement of the Toyota cash infusion. That led analysts at Cantor Fitzgerald to quell some of the excitement, downgrading the stock from overweight to neutral while highlighting the company's high cash-burn rate and lack of near-term upside. Archer, meanwhile, seized the opportunity presented by the White House's encouraging executive orders to sell $850 million of stock on Friday, which dragged its share price down 15%. It did recover nearly 4% on Monday, however. Cleared for Takeoff: But what about the question that may matter the most: When will these birds finally fly? It's tough to say. Both companies have scored deals to launch air taxi services in the United Arab Emirates, with Archer saying industry standards in the country should be finalized by next month and Joby saying service could start as soon as early next year. Both companies have also struck deals with major US airlines — Archer with United and Joby with Delta — to eventually ferry passengers to and from major US airports. Archer has also struck a deal to become the official air taxi partner of the 2028 Los Angeles Summer Olympics, which shows the lengths to which Angelenos will go to avoid their infamous traffic jams. This post first appeared on The Daily Upside. To receive delivering razor sharp analysis and perspective on all things finance, economics, and markets, subscribe to our free The Daily Upside newsletter. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Business Insider
5 days ago
- Business
- Business Insider
Cantor Downgrades Joby Aviation Stock (JOBY) Due to Lack of Near-Term Upside
Cantor Fitzgerald downgraded electric vertical takeoff and landing (eVTOL) aircraft maker Joby Aviation (JOBY) to Hold from Buy with a price target of $9 due to a lack of near-term upside in the stock. While JOBY stock plunged about 8% on Thursday due to the rating downgrade, it has rallied 26.5% over the past month. As a result, the stock is up 9.1% year-to-date, thanks to a favorable executive order signed by U.S. President Donald Trump and the announcement of new deals. Confident Investing Starts Here: Indeed, the executive order would direct the Transportation Department to develop a program to accelerate eVTOL operations in the U.S., which is expected to benefit players like Joby Aviation and Archer Aviation (ACHR). This comes after Joby Aviation signed a Memorandum of Understanding (MoU) earlier this month with Abdul Latif Jameel to explore establishing a distribution agreement in Saudi Arabia for the company's electric aircraft. The agreement involves the potential delivery of up to 200 Joby aircraft and related services that are valued at about $1 billion. Cantor Moves to the Sidelines on JOBY Stock Interestingly, Cantor analyst Andres Sheppard admitted that Joby Aviation remains one of the best-positioned companies in the eVTOL sector, given its partnerships with Toyota (TM), Delta Air Lines (DAL), and the U.S. Department of Defense. However, the 4-star analyst finds JOBY stocks' valuation to be stretched, following a 60% rally over the past three months and an almost 90% gain in the past year. 'We don't see current levels as a good entry point for investors,' said Sheppard. The analyst noted that while Joby Aviation has solid liquidity, it also has one of the highest cash burn rates in the sector. In fact, the company ended Q1 2025 with about $1.3 billion in total liquidity, including Toyota's $250 million funding, but expects to spend between $500 million and $540 million in 2025. Additionally, Sheppard cautioned about delays in U.S. certification and doesn't expect Joby Aviation to secure full FAA Type Certification until at least the second half of 2026. Finally, Sheppard pointed out persistent uncertainty around the company's unit economics, such as pricing and deployment costs of its air taxi service. Is Joby Stock a Good Buy? Wall Street has a Moderate Buy consensus rating on Joby Aviation stock based on three Buys, three Holds, and one Sell recommendation. Furthermore, the average JOBY stock price target of $8.86 indicates that the stock is trading close to fair value.
Yahoo
7 days ago
- Business
- Yahoo
Oklo, Voyager IPO gains, Joby downgraded: Trending Tickers
Yahoo Finance Senior Reporter Allie Canal goes over some of the top stories of the day. Oklo (OKLO) plans to raise $400 million in a secondary share offering. The news comes as the startup announces a possible government contract with the US Department of Defense. Voyager Technologies (VOYG) stock continues to climb after its initial public offering (IPO), surging almost 80% on its first trading day. Joby (JOBY) was downgraded by Cantor Fitzgerald to Neutral from Overweight, citing the company's recent stock rally. To watch more expert insights and analysis on the latest market action, check out more Wealth here. Now time for some of today's trending tickers. We're watching Oklo Voyager Technologies and Joby. First stop Nuclear Energy startup, Oklo, is seeking to raise $400 million in a secondary share offering with the option for an additional $60 million. The news comes as the firm announced a likely contract with the Department of Defense. Wedbush has raised its price target on shares seeing about 10% upside for the stock. Next Voyager Technologies is extending gains after its public debut with shares surging more than 80% on its first day of trading. That follows a $383 million IPO. The Denver-based defense contractor serves both government and commercial clients in the space and national security sectors. Key partners include Palantier, NASA, Lockheed Martin, and the US Air Force. Finally, shares of Joby are falling after a downgrade from Cantor Fitzgerald. The firm cutting its rating to neutral from overweight, saying that while they remain bullish on the electric air taxi industry over the medium to long term, they are more conservative on Joby in the near term due to the recent share price rally. Joby shares have surged 80% from their April lows. You can scan the QR code below to track the best and worst performing stocks of the session with Yahoo Finance's trending tickers page. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
11-06-2025
- Business
- Yahoo
Joby Aviation Stock (JOBY) Takes Flight Upon Donald Trump's Executive Order
On Friday, June 6th, President Trump signed an Executive Order to 'unleash American drone dominance,' which included directing the Transportation Department to develop an Electric Vertical Takeoff and Landing (eVTOL) program to accelerate eVTOL operations in the U.S. Easily unpack a company's performance with TipRanks' new KPI Data for smart investment decisions Receive undervalued, market resilient stocks right to your inbox with TipRanks' Smart Value Newsletter Aside from confirming the specter of space-age technology making its way onto American streets, as foreshadowed by content creators for generations, leading electric aircraft manufacturer Joby Aviation (JOBY) stands well-positioned to capitalize fully on the evolving opportunity. The company has been making headlines with major partnership announcements and impressive funding rounds. After analyzing recent developments and financial performance, I am bullish on the space and Joby Aviation's potential. Joby Aviation is playing a leading role in the transformation of the aviation industry through the development of electric vertical takeoff and landing (eVTOL) aircraft. The global eVTOL market was valued at approximately $760 million in 2024 and is projected to grow significantly, reaching an estimated $17.34 billion by 2035. Beyond aircraft manufacturing, Joby is building a comprehensive ecosystem that includes pilot training initiatives and proprietary dispatch software. This vertically integrated approach may offer substantial competitive advantages if executed effectively. While the company operates in a competitive landscape with peers such as Archer Aviation (ACHR) and EHang (EH), strategic partnerships—including a manufacturing collaboration with Toyota and operational agreements with Delta Air Lines—enhance its credibility. Additionally, contracts with the U.S. Department of Defense further diversify potential revenue streams and support the broader validation of its technology across both commercial and government sectors. Joby has been on a notable run lately, with shares climbing over 22% in the past month, thanks to several major announcements that have investors excited. One of the most significant catalysts came in May when Toyota made a substantial $250 million investment in the company, becoming Joby's largest shareholder in the process. Toyota's involvement brings decades of production expertise and operational know-how that could prove invaluable as Joby scales from prototype to mass production. Following that, Joby signed a memorandum of understanding with Saudi Arabia's Abdul Latif Jameel to explore a potentially massive $1 billion distribution deal. If finalized, this could represent a significant international expansion opportunity, with up to 200 Joby aircraft potentially deployed across Saudi Arabia. Perhaps most importantly for long-term prospects, Joby has been making steady progress through the complex Federal Aviation Administration certification process. The company recently advanced to the final phase of FAA type certification. It became the first electric vertical takeoff and landing (eVTOL) company to conduct routine pilot-on-board transition flights. This regulatory progress is crucial because it directly impacts when Joby can begin commercial operations and start generating meaningful revenue. The recent White House directive may be enough to help get these birds airborne even sooner. Joby's first-quarter net loss narrowed to $82 million from $95 million in the prior year, and the company beat earnings expectations by $0.07 per share. While cash burn continues, the trajectory suggests management is making progress on cost control as the company approaches its commercial launch. Further, its robust balance sheet is a key selling point. The company ended the first quarter of 2025 with $813 million in cash and short-term investments. The recent Toyota investment, combined with an additional $500 million commitment from the automaker, significantly strengthens this position. This financial cushion is particularly important given that Joby is still in the pre-revenue phase of its development. The company is projecting a cash burn of $500 million to $540 million in 2025, highlighting the significant capital requirements of introducing an entirely new form of transportation to the market. The current war chest provides roughly 1.5 years of operational runway at current spending levels. Even better, Joby carries zero debt, giving it tremendous financial flexibility as it works toward commercialization. The market opportunity, while potentially massive, remains largely theoretical. Consumer acceptance of air taxi services remains unproven, and regulatory frameworks for urban air mobility are still evolving. Yet, analysts following the company remain cautiously optimistic. Joby Aviation is rated a Moderate Buy overall, based on the most recent recommendations of seven analysts. Their 12-month average price target for JOBY stock is $8.86, representing a 4% downside from current levels over the next 12 months. However, various analysts are likely to shift their positions towards a more bullish stance once the full impact of Donald Trump's executive order is assimilated by market participants. Cantor analyst Andres Sheppard remains optimistic, recently reiterating an Overweight rating for JOBY stock with a $9 price target. He notes the company's strong liquidity and strategic partnerships with Toyota, Delta Air Lines, and the Department of Defense, which position JOBY as a leading contender in commercializing eVTOL technology. H.C. Wainwright's Amit Dayal shares a similar positive outlook, particularly following Toyota's significant $250 million investment aimed at supporting Joby's development efforts. Dayal anticipates a pivotal year in 2025 for the eVTOL industry, with milestones expected in certifications and piloted flights. The expectation is for Joby to produce 25–30 eVTOL units by the end of next year, with substantial revenue growth projected, reaching over $1 billion by 2029. Dayal also maintains a Buy rating with a $9 price target. Joby Aviation is a compelling investment opportunity in an embryonic industry poised to commercialize urban air transportation. The promise of flying cars, envisioned by countless visionaries over the past 100 years, is now becoming a reality, albeit gradually. JOBY has secured impressive partnerships, maintains a strong balance sheet, and is making meaningful progress toward commercialization. The company is poised to transition from an ambitious startup to a commercial aviation company. Key milestones to watch include progress on FAA certification, formalization of the Saudi Arabia partnership, and updates on manufacturing scale-up. The future of flight is here, and I am pretty bullish on the eVTOL space and the current market leaders, such as Joby, who are making it a reality. Disclaimer & DisclosureReport an Issue Sign in to access your portfolio
Yahoo
09-06-2025
- Business
- Yahoo
Why Joby Stock Is Flying High Today
Joby and its peers are rallying on a White House executive order designed to accelerate the development of eVTOL technology. The company appears to be a leader in the race to market, but investors should understand there are risks that come with pre-revenue companies. 10 stocks we like better than Joby Aviation › So-called "flying taxis" are going mainstream, and investors are rushing into shares of the early market leaders. Joby Aviation (NYSE: JOBY) stock traded up as much as 14.9% at the market open and were up 8.6% as of 10:30 a.m. ET after President Donald Trump signed an executive order aiming to "unleash" development of the company's new flying machines. Joby is one of a handful of aerospace companies racing to bring electric aircraft capable of vertical takeoffs and landings, or eVTOLs, to market. It takes time for new designs to win Federal Aviation Administration (FAA) approval, but if all goes well, Joby and rival Archer Aviation could have air taxis in the air as soon as next year. Late Friday, investors got a look at the potential market for the eVTOLs once they are approved for takeoff. President Trump signed an executive order aimed at "unleashing American drone dominance," which included a mandate that the Department of Transportation advance eVTOLs. Within 180 days, according to the order, Transportation is to select "at least" five pilot projects that plan to begin eVTOL operations, including advanced air mobility, medical response, cargo transport, and rural access. There is still a lot that must go right for Joby, including winning FAA certification and proving it can manufacture its aircraft at scale. And Joby already had several customers lined up, including a high-profile deal announced last week with Saudi Arabia to distribute its aircraft there. Still, the executive order points to the potential of these aircraft to disrupt existing technologies. Joby carries a market capitalization of more than $7 billion, a lot for a pre-revenue company. But the potential is there. For investors excited about the technology and willing to carry some risk in a diversified portfolio, Joby looks like the leader of the eVTOL pack. Before you buy stock in Joby Aviation, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the for investors to buy now… and Joby Aviation wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $669,517!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $868,615!* Now, it's worth noting Stock Advisor's total average return is 792% — a market-crushing outperformance compared to 173% for the S&P 500. Don't miss out on the latest top 10 list, available when you join . See the 10 stocks » *Stock Advisor returns as of June 9, 2025 Lou Whiteman has positions in Joby Aviation. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. Why Joby Stock Is Flying High Today was originally published by The Motley Fool Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
