Stock Performance and Investor Sentiment - Shares of Serve Robotics surged 55.2% in December, driven by investor interest in speculative investments [1] - The company's stock price increase in December facilitated additional fundraising efforts, which are crucial for its growth plans [9] Key Investors and Strategic Backing - Serve Robotics is backed by two major investors, Nvidia and Uber Technologies, which lends credibility and optimism to its future prospects [2] Financial Performance and Funding Needs - Serve Robotics generated less than $2 million in trailing-12-month revenue and reported a net loss of $33 million during the same period [3] - The company raised $86 million in December 2024, bringing its total funding for the year to $167 million, and announced plans to raise an additional $80 million in January 2025 [4] Share Dilution and Capital Raising - Serve Robotics increased its outstanding shares from 36.5 million in June 2024 to 51.5 million by the end of the year, representing a 53% increase in share count [5] - A shareholder who owned 10% of the company in June 2024 would now own less than 7% due to the significant share dilution [6] Business Model and Growth Strategy - Serve Robotics focuses on last-mile delivery services, particularly for the restaurant industry, with 59 daily active robots deployed as of Q3 2024 [7] - The company has a deal with Uber for 2,000 robots and aims to deploy this number by the end of 2025, requiring substantial capital to scale its operations [7][8] Market Position and Speculative Nature - Serve Robotics is considered a speculative investment due to its early-stage business model, limited revenue, and high cash burn rate [3][9] - Despite its speculative nature, the company's ability to raise funds and its strategic partnerships position it for potential growth in 2025 [4][9]

Funding and Capital Allocation - Serve Robotics raised $80 million through a direct offering of 4.2 million shares of common stock [1] - The company previously raised $86 million in gross proceeds in December 2024 through a combination of an at-the-market facility and warrant exercises [1] - The $80 million offering is expected to close on Tuesday, subject to certain closing conditions [2] - The $86 million raised in December will extend Serve's operational runway through the end of 2026 [3] Use of Proceeds - Serve Robotics did not specify the exact use of the $80 million gross proceeds, only noting it would go towards working capital [2] - The $86 million raised in December will be used to self-fund equipment investments, eliminating the need for equipment financing and associated servicing costs [3] Company Background - Serve Robotics is a sidewalk delivery robot company that went public earlier this year via a reverse merger [2]

SAN FRANCISCO, Jan. 07, 2025 (GLOBE NEWSWIRE) -- Serve Robotics Inc. ("Serve" or the "Company") (NASDAQ:SERV), a leading autonomous sidewalk delivery company, announced today that the Company has entered into securities purchase agreements with certain institutional investors for the purchase and sale of 4,210,525 shares of common stock, pursuant to a registered direct offering, expected to result in gross proceeds of approximately $80.0 million, before deducting placement agent fees and other offering expe ...

Fundraising and Financial Position - Serve Robotics raised $86 million in December 2024, bringing total gross proceeds for 2024 to $167 million [1] - Since its spinout from Uber in 2021, the company has secured approximately $220 million in total funding [1] - The December 2024 funding includes proceeds from the ATM facility and warrant exercises [1] - As of December 31, 2024, Serve had approximately 51.5 million shares of common stock issued and outstanding [1] - The capital infusion extends the company's operational runway through the end of 2026 [2] - Serve can now self-fund equipment investments, eliminating the need for near-term equipment financing and associated servicing costs [2] Strategic Initiatives and Market Expansion - The successful fundraising underscores Serve's leadership in transforming last-mile delivery [3] - The company aims to ramp up production of its third-generation robots and enter several new markets [3] - Serve has scalable multi-year contracts, including an agreement to deploy up to 2,000 delivery robots on the Uber Eats platform across multiple U.S. markets [4] Technology and Business Model - Serve Robotics develops AI-powered, low-emissions sidewalk delivery robots to make delivery sustainable and economical [4] - The company has completed tens of thousands of deliveries for enterprise partners such as Uber Eats and 7-Eleven [4] Leadership and Vision - The CFO expressed strong confidence in the company's vision and market potential, stating that Serve is well-positioned to scale operations and enter new markets in 2025 and beyond [3]

Parkev Tatevosian, CFA has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Serve Robotics. The Motley Fool has a disclosure policy. Parkev Tatevosian is an affiliate of The Motley Fool and may be compensated for promoting its services. If you choose to subscribe through his link, he will earn some extra money that supports his channel. His opinions remain his own and are unaffected by The Motley Fool. ...

Serve Robotics (SERV -4.04%) is expanding into new geographies and made an acquisition to facilitate growth with restaurants.*Stock prices used were the afternoon prices of Nov. 30, 2024. The video was published on Dec. 2, 2024. ...

Serve Robotics (SERV 5.86%) products are working more effectively as it ramps up the supply of its delivery robots.*Stock prices used were the afternoon prices of Nov. 28, 2024. The video was published on Nov. 30, 2024. ...

This little delivery robot maker could still have plenty of room to grow.Nvidia's (NVDA -3.22%) stock soared 2,630% over the past five years, boosting its market cap to roughly $3.5 trillion and making it the most valuable company in the world. Most of that rally was driven by its brisk sales of AI-oriented GPUs for data centers.From fiscal 2019 to fiscal 2024 (which ended this January), Nvidia's revenue grew at a compound annual growth rate (CAGR) of 39%. But from fiscal 2024 to fiscal 2027, analysts expec ...

SAN FRANCISCO, Nov. 18, 2024 (GLOBE NEWSWIRE) -- Serve Robotics Inc. ("Serve") (Nasdaq: SERV), a leading autonomous sidewalk delivery company, today announced the appointment of former Postmates and GM executive Anthony Armenta as Chief Software and Data Officer. In the newly created role, Armenta will lead the development and strengthening of Serve's software, AI, and autonomy stack, enhancing the robots’ reliability, performance, and ability to scale nation-wide. Armenta re-joins Serve after previously sp ...

Serve Robotics (SERV) shares have surged 179.9% in the past 6 months, outperforming the Zacks Computer & Technology sector’s return of 15.2% and the Zacks IT Services industry’s rally of 19.2%.The rise in shares can be attributed to SERV’s strong revenue growth on increased core delivery and branding revenues.SERV’s Quarter DetailsRevenues increased to $0.22 million from $0.06 million in the year-ago quarter. The increase resulted primarily from $0.04 million in revenues from Serve Robotics’ software servic ...