Joby Stock Falls on Weak Earnings-- $1B Saudi Deal Keeps Bulls in The Game

Aug 6 - Joby Aviation JOBY shares slipped 3% in premarket trading after the company missed Q2 earnings expectations by a wide margin. The electric air taxi maker reported an EPS loss of -$0.41, much worse than the -$0.19 forecast. Revenue came in at just $20,000 versus estimates of $1.57 million, deepening investor concerns about near-term monetization.

The net loss totaled $325 million for the quarter, though Joby trimmed its cash burn to $112 million, a 10% drop from Q1. Despite the weak top-line, JOBY remains one of the year's best performers, still up 133% year-to-date.

Joby isn't slowing down. The company is 70% through its own Stage 4 certification work and 50% complete on the FAA's side. It's preparing for TIA test flights with its pilots later this year, with FAA pilot testing expected in early 2025.

Meanwhile, Joby is expanding its international reach. It recently wrapped up flight testing in Dubai, signed a $1B aircraft sales agreement in Saudi Arabia, and launched a joint venture with Japan's ANA. A new partnership with L3Harris adds a defense edge through hybrid aircraft development.

Is JOBY Stock a Buy?