Latest news with #Joby
Yahoo
14 hours ago
- Business
- Yahoo
Down 20%! This ex-penny stock just got stung by a short report
Archer Aviation (NYSE: ACHR) is a former penny stock that has been on my mind recently. I sold shares of this flying taxi start-up about a year ago, just before they went on to surge by more than 200%. Cue Homer Simpson's famous catchphrase… Rubbing salt in the wounds was rival Joby Aviation (NYSE: JOBY), the stock I doubled down on with the cash from that Archer sale. Until recently, it was 'only' up about 40% over this period. So I was beginning to think I might have backed the wrong horse, especially after Archer signed a deal with Palantir earlier this year to 'build artificial intelligence (AI) for the future of next-gen aviation technologies'. However, two pieces of news have recently sent the Archer and Joby share prices on divergent flight paths. Here's what has happened. Archer Aviation is aiming to launch an air taxi service in Abu Dhabi by the end of 2025 with its Midnight electric vertical take-off and landing (eVTOL) aircraft. In Q1, it said everything had gone splendidly, and it had more than $1bn on the balance sheet. Founder and CEO Adam Goldstein commented: 'Archer's pushing the boundaries of what's possible and reshaping the future of aviation for years to come.' The stock jumped 23% after this bullish update. However, it plummeted 20% a couple of weeks ago when short-seller Culper Research released a report accusing Archer of misleading investors. It said the firm's Midnight eVTOL isn't as far along as management has claimed, while also highlighting design changes that might suggest aircraft stability problems. In response, Archer called the claims 'baseless', and said Culper is 'not a credible research institution'. By contrast, Joby stock surged 27% this week following the closure of a $250m investment from partner Toyota. This funding supports the firm's progress toward FAA certification and commercial production of its electric air taxis. Founder and CEO JoeBen Bevirt commented: 'We're already seeing the benefit of working with Toyota in streamlining manufacturing processes and optimising design.' Joby remains on track to launch its service in Dubai later this year, but there could always be regulatory setbacks. Meanwhile, flying passengers safely from Manchester Airport to Leeds in just 15 minutes — instead of one hour+ by car or train — is still unproven. In my experience, reports from short-sellers need to be taken seriously, even though they have a financial incentive to see the stock in question fall. It definitely adds risk to the investment case because Archer hasn't addressed any of the specific accusations yet. That said, you can normally gauge how seriously other investors take the claims by the severity of the share price reaction. In Archer's case, it's 20% lower than before the report, but still up 27% in the past month and 230% over a year. Heavyweight partners like United Airlines and Stellantis add weight to its technology. For investors looking to invest in this exciting space, I think Joby is worth a look at $8. But both these stocks are high risk because eVTOLS haven't been approved by the FAA yet, meaning each firm is pre-revenue and therefore loss-making. Still, at least recent developments have eased my concern that I backed the wrong horse. The post Down 20%! This ex-penny stock just got stung by a short report appeared first on The Motley Fool UK. More reading 5 Stocks For Trying To Build Wealth After 50 One Top Growth Stock from the Motley Fool Ben McPoland has positions in Joby Aviation. The Motley Fool UK has no position in any of the shares mentioned. Views expressed on the companies mentioned in this article are those of the writer and therefore may differ from the official recommendations we make in our subscription services such as Share Advisor, Hidden Winners and Pro. Here at The Motley Fool we believe that considering a diverse range of insights makes us better investors. Motley Fool UK 2025 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
The Star
3 days ago
- Business
- The Star
Toyota becomes top shareholder in Joby Aviation
The latest tranche raises Toyota's stake to 15.3%. — Bloomberg TOKYO: Toyota Motor Corp has invested US$250mil in Joby Aviation Inc, completing the first half of a previously announced US$500mil commitment and becoming the air taxi maker's largest shareholder. The investment, originally expected to close in 2024, is part of Toyota's pledge to boost its total funding in the Santa Cruz, California-based company to US$894mil. The latest tranche raises Toyota's stake to 15.3%, surpassing that of Joby chief executive officer (CEO) JoeBen Bevirt. A US spokesman for Toyota confirmed the payment. Joby has said it expects the second tranche from Toyota to close later this year. The stock had closed regular trading Tuesday down about 15% for the year. Joby is among a handful of companies developing eVTOL aircraft – electric vertical takeoff and landing vehicles – that plan to fly customers on short commuter journeys via battery-powered air taxis. 'This milestone further cements the collaboration and alignment between our two companies,' Tetsuo 'Ted' Ogawa, CEO of Toyota North America, said in a statement Tuesday. Joby said recently it now aims to start commercial services in Dubai by early 2026 after having previously targeted the end of this year. Certification for flight operations by the US Federal Aviation Administration and regulators in other countries is still pending. Toyota began financing Joby in 2020, two years after its venture capital arm participated in a funding round. — Bloomberg Trading ideas: Samaiden, Pestech, Jati, Paradigm REIT, Bursa, MPI, THB, HLB, TM, Axiata, MISC, Genting Plantations, IOIProp, SimeProp, Kerjaya, AAX, 7-Eleven
Yahoo
3 days ago
- Business
- Yahoo
Air Taxi Maker Joby's Stock Soars on $250M Toyota Investment
Joby Aviation stock rocketed higher Wednesday after the air taxi developer said it closed a $250 million investment from Toyota Motor. The investment is part of a larger $500 million commitment from the Japanese automaker announced in October. Joby has partnered with Delta Air Lines and Uber to bring its commercial air taxis to U.S. of Joby Aviation (JOBY) popped over 25% on Wednesday after the commercial air taxi developer said it closed a $250 million investment from Toyota Motor (TM). The funds represent the first tranche of a previously announced $500 million investment from Toyota, intended to support the production of Joby's electric vertical takeoff and landing aircraft. Wednesday's significant share gain brought Joby's stock back into positive territory for the first time since late January. 'We're already seeing the benefit of working with Toyota in streamlining manufacturing processes and optimizing design,' Joby CEO JoeBen Bevirt said. Earlier this month, Joby announced that it flew two of its air taxis simultaneously during a test flight. The Santa Cruz, California-based company has partnered with Delta Air Lines (DAL) and Uber Technologies (UBER) to bring the aircraft to the U.S. and is targeting New York and Los Angeles as launch markets, pending certification from the Federal Aviation Administration. Recently Wednesday, Joby stock had gained 29% to $8.90. Read the original article on Investopedia 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
3 days ago
- Automotive
- Yahoo
Why Joby Aviation Stock Is Climbing Today
May 28 Joby Aviation (NYSE:JOBY) shares jumped more than 20% on Wednesday morning after the electric air taxi developer closed a $250 million tranche from Toyota (NYSE:TM). The payment is the first half of a previously arranged $500 million investment designed to support certification and commercial production of Joby's electric vertical takeoff and landing (eVTOL) aircraft, which operate like helicopters but run on electric motors. Warning! GuruFocus has detected 3 Warning Signs with JOBY. CEO JoeBen Bevirt said the partnership has already helped streamline manufacturing and optimize design. He added that the latest funds will accelerate scaling and bring next-generation air taxis closer to market. Joby also noted the deal reinforces its mutual commitment to deepening integration with Toyota, leveraging the automaker's production expertise. Investors will watch how the alliance impacts Joby's path to profitability as it readies its aircraft for commercial service in urban settings. This article first appeared on GuruFocus.
Daily Express
4 days ago
- Automotive
- Daily Express
Toyota becomes top shareholder in air taxi maker Joby
Published on: Wednesday, May 28, 2025 Published on: Wed, May 28, 2025 By: Bloomberg Text Size: Toyota Motor Corp invested US$250 million in Joby Aviation, completing half of its previously announced commitment. (Joby Aviation pic) TOKYO: Toyota Motor Corp has invested US$250 million in Joby Aviation Inc, completing the first half of a previously announced US$500 million commitment and becoming the air taxi maker's largest shareholder. The investment, originally expected to close in 2024, is part of Toyota's pledge to boost its total funding in the Santa Cruz, California-based company to US$894 million. The latest tranche raises Toyota's stake to 15.3%, surpassing that of Joby Chief Executive Officer JoeBen Bevirt. A US spokesman for Toyota confirmed the payment. Joby has said it expects the second tranche from Toyota to close later this year. Joby shares rose 3.5% to US$7.12 as of 6.20pm in extended trading in New York. The stock had closed regular trading Tuesday down about 15% for the year. Joby is among a handful of companies developing eVTOL aircraft — electric vertical takeoff and landing vehicles — that plan to fly customers on short commuter journeys via battery-powered air taxis. 'This milestone further cements the collaboration and alignment between our two companies,' Tetsuo 'Ted' Ogawa, CEO of Toyota North America, said in a statement Tuesday. Advertisement Joby said recently it now aims to start commercial services in Dubai by early 2026 after having previously targeted the end of this year. Certification for flight operations by the US Federal Aviation Administration and regulators in other countries is still pending. Toyota began financing Joby in 2020, two years after its venture capital arm participated in a funding round.
