Joby Aviation trades at 67% discount despite operational progress

Joby Aviation shares are trading approximately 67% below their 52-week high after losing more than half their value year to date. The NYSE-listed company has advanced significantly in its electric vertical takeoff and landing aircraft program, yet the stock remains depressed due to ongoing cash burn and the absence of commercial regulatory approval.

The company has demonstrated tangible progress in 2026, conducting flight demonstrations in New York and Texas. Joby also updated its manufacturing alliance with Toyota and agreed to acquire defense technology firm Resonant Sciences for approximately $500 million. These developments coincide with the company’s progression through the fifth and final stage of the Federal Aviation Administration’s Type Inspection Authorization process.

Financially, Joby generated about $36 million in revenue last quarter, primarily through its Blade passenger helicopter business. The company holds roughly $2.3 billion in cash and short-term investments. Management expects to deploy approximately $400 million in the second half of 2026. Despite this liquidity, Joby continues to burn through about $200 million each quarter. The firm still lacks the regulatory clearance required to operate its air taxi service commercially.

Analyst Steven Porrello of The Motley Fool notes that Joby is no longer a wildly speculative stock, as the company has advanced beyond earlier expectations. However, he advises against expecting significant returns over the next five years. Even after obtaining FAA type certification, Joby will require time to scale its eVTOL fleet and for consumers to integrate air taxis into their travel habits. Porrello argues that aviation constraints, including a four-passenger capacity limit and susceptibility to weather and maintenance interruptions, may impose a ceiling on growth. He also highlights that a single accident could delay consumer adoption for years.

Porrello concludes that Joby stock at $7 per share is an opportunity only for investors with the time and appetite for the unknown. He suggests that those seeking reliable growth should look elsewhere. The Motley Fool’s Stock Advisor team did not include Joby Aviation in its recent list of top ten stock picks.