Joby Aviation (NYSE:JOBY) presents an exciting opportunity among flying car stocks. Over the last year, JOBY stock has outperformed many of its peers and broader aviation stocks, surging more than 40% on a string of positive developments.
The company supplied its first eVTOL aircraft to the US Air Force under a $131 million contract, with more deliveries scheduled for 2024. Joby’s manufacturing facility, capable of producing 500 aircraft each year, will open in 2025, marking a pivotal step in their expansion. JOBY stock is a slam dunk.
JOBY Stock Tailwinds
I have written a lot about JOBY recently, and one thing is for sure, every time I look at this stock, it appears there’s another reason to be bullish about its prospects.
Of course, there’s always room to digest the bull and bear case on any company, and I did just that in my last piece. However, I do think that there are more pros than cons when it comes to this name, and I understand the generally bullish momentum underpinning JOBY stock right now.
Investors have largely focused on Joby Aviation’s long-term potential, notably the company’s vision of providing widespread flying taxi services by 2025.
In August, Joby achieved a milestone with a hydrogen-powered flight. For eVTOL investments, Joby stands out with plans for a large production facility in Ohio.
Governor Gavin Newsom signed SB 800, propelling the eVTOL industry, benefiting JOBY Aviation. The bill forms a panel to assess laws for electrification and infrastructure progress in California, supporting Advanced Air Mobility for efficient aerial transportation.
Strong Alliance in the U.S and South Korea
Joby Aviation achieved significant milestones in the U.S., earning a Special Airworthiness Certificate from the FAA, allowing flight testing of its first production prototype. The company also submitted its Certification Plans, progressing toward its goal of launching commercial aircraft service in 2025.
Moreover, Joby Aviation extended its partnership with South Korean firm SK Telecom, enabling participation in the K-UAM Grand Challenge. SK Telecom also made a $100 million equity investment in Joby Aviation.
Q3 Earnings Report Ahead
Joby Aviation announced that it would release its Q3 2023 earnings report on November 1 with a webcast at 5:00 pm ET. The report is eagerly anticipated by stakeholders. The company’s first-mover advantage sets a promising foundation for investors.
Joby’s partnership with automotive leader Toyota (NYSE:TM) has the potential to benefit JOBY stock in the long run. This year, they deepened their relationship with a supply agreement. I think partnering with the world’s largest automaker is a big deal. Indeed, the market appears to agree.
Invest in JOBY Stock Now
Joby Aviation solidifies its position in the eVTOL market with aerial ridesharing plans, major partnerships, and expansion goals. Key alliances with Toyota, Delta, and Uber enhance its standing and financial strength.
Accordingly, growth investors may want to do their own due diligence on this name. In my view, this is a sector worth exploring, and Joby is a eVTOL name that’s got some big upside potential from its current valuation.
On the date of publication, Chris MacDonald did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.