Serve Robotics Inc.(SERV)

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Serve Robotics Guides for 60-75% Delivery Surge in Q2: Too Bold?
ZACKS· 2025-07-24 16:25
Key Takeaways SERV guides for 60-75% Q2 delivery growth after expanding to cities like Miami, Dallas, and Los Angeles.Serve now serves over 1,500 restaurants and plans to deploy 2,000 robots by year-end 2025.Q1 revenue rose 150% to $440K, but losses persist and competition from Uber and DoorDash looms.Serve Robotics (SERV) is betting big on growth. Following a first quarter marked by rapid fleet expansion and entry into new markets, the autonomous delivery startup has guided for a 60% to 75% quarter-over-qu ...
An $860 Billion Opportunity: Is Serve Robotics Stock a Buy Based on This Forecast by Cathie Wood's Ark Invest?
The Motley Fool· 2025-07-17 08:11
Cathie Wood is one of the most vocal bulls on Wall Street when it comes to innovative technologies like artificial intelligence (AI), robotics, and autonomous vehicles. Her firm, Ark Invest, runs a set of exchange-traded funds (ETFs) that invest in companies operating in those industries.Earlier this year, Ark released the 2025 edition of its annual "Big Ideas" report, which featured updated forecasts for many of its favorite investing themes. In its look at the future of the logistics industry, the firm pr ...
SERV vs. UBER: Which Autonomous Delivery Play Offers More Upside Now?
ZACKS· 2025-07-15 15:06
Core Insights - Serve Robotics Inc. (SERV) and Uber Technologies, Inc. (UBER) are both engaging in the autonomous delivery market, but their strategies differ significantly [1][3] - The global autonomous last-mile delivery market is expected to reach $6.2 billion by 2030, driven by advancements in technology and increasing consumer demand for faster delivery options [2] Serve Robotics (SERV) - Serve Robotics is focusing on a vertically integrated sidewalk robot delivery platform, with a fleet expansion that added 250 new Gen 3 robots in Q1 2025, increasing total robots to over 300 [5][10] - The company reported a delivery volume growth of over 75% quarter-over-quarter and anticipates a growth range of 60-75% for Q2 [5] - SERV is beginning to generate recurring software revenues by licensing its autonomy and fleet management technology to partners, which could enhance margins and reduce reliance on single revenue streams [6][7] - As of Q1 2025, SERV has a strong balance sheet with $198 million in cash and has self-funded its fleet expansion, avoiding $20 million in potential financing costs [8] - Despite posting a $7.1 million adjusted EBITDA loss in Q1, the company’s operating leverage is expected to improve as utilization increases [8] Uber Technologies (UBER) - Uber is solidifying its position in the autonomous vehicle space through strategic partnerships with firms like Waymo and Aurora, allowing it to integrate AV capabilities into its existing mobility and delivery ecosystem [9][12] - In Q1 2025, Uber launched approximately 100 Waymo vehicles in Austin, receiving positive feedback [10][11] - The delivery segment of Uber is scaling profitably, reporting incremental margins of 9% in Q1, driven by advertising revenues and improved cost structures [11] - Uber is leveraging AI for dynamic pricing and safety enhancements, which supports profitable growth and improved service reliability [12] - The company is focused on expanding its reach into suburban and low-density markets, positioning itself well for long-term growth despite macro risks [13] Price Performance & Valuation - Serve Robotics stock has surged 97.3% in the past three months, significantly outperforming the S&P 500's rise of 18.7%, while Uber shares increased by 28.5% in the same period [14] - SERV is trading at a forward 12-month price-to-sales (P/S) multiple of 24.71, compared to UBER's 3.58, indicating a higher valuation for SERV [18] Conclusion - Uber Technologies is currently in a stronger position due to its mature operating model, global scale, and disciplined approach to AV integration, reflecting a high degree of execution maturity [21] - Serve Robotics, while gaining traction in sidewalk delivery, remains an early-stage player with execution risks as it expands into new markets [22] - Uber's diversified exposure across mobility, delivery, and logistics provides it with a more robust foundation to navigate the complexities of the autonomous delivery space [23]
Serve Robotics' Top Line Gains Traction: Can It Sustain the Momentum?
ZACKS· 2025-07-09 14:01
Core Insights - Serve Robotics Inc. is experiencing early revenue traction with its autonomous delivery model, posting revenues of $440,000 in Q1 2025, a 150% sequential increase [1][10] - The company has deployed 250 Gen 3 delivery robots in new markets like Miami and Dallas, leading to a 75% increase in delivery volume and a 50% rise in its restaurant partner network to over 1,500 [2][10] Revenue Breakdown - In Q1 2025, software services contributed $229,000, while fleet revenues (including delivery and branding) accounted for $212,000, reflecting a 20% quarter-over-quarter increase [3] - Gross margins improved by 40% quarter over quarter, although costs increased by $1 million due to fleet operations and market launches [4] Future Projections - Serve Robotics anticipates Q2 2025 revenues between $600,000 and $700,000, indicating a growth of 35%-60% quarter over quarter [5] - The company aims for an annualized run rate of $60 million to $80 million once its fleet of 2,000 robots is fully deployed, expected by 2026 [5] Competitive Positioning - Serve Robotics is drawing strategic inspiration from industry leaders like Uber and Amazon, employing similar growth tactics [6][7] - The company is focusing on regional scaling, fleet efficiency, and digital monetization, akin to Amazon's cost-optimized infrastructure strategy [8] Stock Performance and Valuation - Serve Robotics shares have surged 97.2% over the past three months, outperforming the industry growth of 16.1% [9] - The company trades at a forward price-to-sales ratio of 24.76, significantly higher than the industry average of 19.49 [12]
Serve Robotics (SERV) Earnings Call Presentation
2025-07-07 08:23
Market Opportunity & Solution - The robotic and drone delivery market is estimated to reach $450 billion by 2030 [12] - Serve robots are expected to achieve an average last-mile delivery cost of $1.00 with increased autonomy and adoption [14] - Serve robots aim to reduce reliance on cars, which caused approximately 10% of global energy-related CO2 emissions in 2022 [8, 10] Growth & Operations - Serve has signed a contract for 2,000 robots with Uber Eats, with full deployment expected by the end of 2025 [27] - The company has experienced over 40% quarter-over-quarter growth in deliveries on average since Q1 2022 [24] - Serve's delivery completion rate is up to 99.8% [24] Technology & Innovation - The Gen3 robot achieves a 65% cost reduction compared to previous generations [34, 35] - The Gen3 robot has 5x more brain power with Nvidia Jetson Orin and Ouster REV7 Lidar [34] - The Gen3 robot has 67% more battery capacity and 15% more cargo space [34] Financials - Serve has completed $259 million in financing since January 2024, including $91.5 million in Q1 2025 [60] - The company anticipates $20 million in cash savings over the next 2 years related to the 2,000 robot build [60] - Total Q2 2025 revenue is expected to be in the range of $600k - $700k, representing approximately 35-60% QoQ growth [60]
SERV Stock Slips 9% in a Month: Should Investors Buy the Dip or Wait?
ZACKS· 2025-07-03 15:35
Core Insights - Serve Robotics Inc. (SERV) shares have declined 9.1% over the past month, underperforming the Zacks Computers - IT Services industry's increase of 1.1% and the broader tech indices [1][8] - The stock's recent decline is attributed to profit-booking, supply chain challenges, rising tariff costs, and concerns over the company's cost structure and profitability path [2][8] Financial Performance - In Q1 2025, GAAP operating costs rose to $13.5 million from $12.9 million in Q4 2024 and $8.3 million year-over-year, driven by investments in R&D and market expansion [7] - Non-GAAP operating expenses nearly doubled year-over-year to $9.5 million, contributing to an adjusted EBITDA loss of $7.1 million [9] - The total cost of revenues increased by approximately $1 million due to startup expenses linked to fleet scale-up and new market launches [8] Market Position and Competition - Serve Robotics is expanding its Gen 3 robot fleet, with 250 new robots added in Q1 2025, leading to a 75% increase in delivery volume quarter-over-quarter [17] - The company is facing downward earnings estimate revisions, with 2025 loss per share estimates widening from 83 cents to 93 cents over the past 60 days [11] - In contrast, competitors like C3.ai, Evolv Technologies, and Cognizant are projected to see earnings growth of 9.8%, 32.4%, and 6.7% year-over-year, respectively, in 2025 [12] Valuation and Analyst Sentiment - SERV is currently trading at a forward 12-month price-to-sales (P/S) multiple of 26.63X, significantly above the industry average of 19.46X [13] - Analysts maintain a bullish outlook, with an average price target of $16.40, indicating a potential upside of 49.8% from the last closing price of $10.95 [20] - The average brokerage recommendation for SERV is 1.00, indicating unanimous support from covering firms [21] Strategic Initiatives - Serve Robotics is focused on autonomous delivery at scale, with plans to monetize its software and data platform, which is expected to generate recurring revenues starting in Q2 2025 [18][19] - The company has $198 million in cash and plans to self-fund its 2,000-robot rollout, aiming for $60–80 million in annualized revenue once the fleet reaches full utilization in 2026 [19]
Serve Robotics May Be The Next Big Thing In The Trillion-Dollar Robotics Market
Seeking Alpha· 2025-06-27 18:26
Core Insights - The article highlights the availability of high-quality analysis on Wall Street buying and selling ideas through a subscription service called Beyond the Wall Investing, which offers a free trial and a 10% discount [1]. Group 1 - Daniel Sereda is identified as the chief investment analyst at a family office, emphasizing his role in navigating extensive information across various asset classes [1]. - The investment group Beyond the Wall Investing provides access to critical information prioritized by institutional market participants, indicating a focus on high-quality data analysis [1]. - The article mentions that the analyst may initiate a beneficial long position in a specific stock (SERV) within the next 72 hours, suggesting potential investment activity [1].
Serve Robotics Brings Autonomous Robot Delivery to Atlanta with Uber Eats, Shake Shack and Local Favorites
Globenewswire· 2025-06-26 11:00
Core Insights - Serve Robotics Inc. has launched its autonomous delivery service in the Atlanta metro area, expanding from previous successful launches in Los Angeles, Miami, and Dallas–Fort Worth as part of its collaboration with Uber Eats [1][3][4] - The service aims to provide sustainable and efficient delivery options to over 50,000 residents in Atlanta, integrating with the Uber Eats app for local food deliveries [3][4] - The company plans to deploy 2,000 AI-powered delivery robots across the U.S. by the end of 2025, with additional markets expected to be announced soon [8][9] Company Overview - Serve Robotics develops AI-powered, low-emissions sidewalk delivery robots, focusing on sustainable and economical delivery solutions [9] - The company was spun off from Uber in 2021 and has completed tens of thousands of deliveries for partners like Uber Eats and 7-Eleven [9] - Serve has established multi-year contracts, including a significant agreement to deploy up to 2,000 delivery robots on the Uber Eats platform across various U.S. markets [9] Market Context - Atlanta is recognized as one of the largest and fastest-growing markets in the Southeast, making it a strategic location for Serve's expansion [4] - The city is characterized by a car-dependent infrastructure, and the introduction of Serve's robots is expected to alleviate traffic congestion and enhance last-mile delivery efficiency [4] - The partnership with local businesses, such as Rreal Tacos and Shake Shack, highlights the community-driven approach of Serve's service [5][6]
Serve Robotics CEO Ali Kashani Named EY Entrepreneur Of The Year® 2025 Bay Area Award Winner
Globenewswire· 2025-06-16 21:26
Company Overview - Serve Robotics is a leading autonomous sidewalk delivery company that focuses on sustainable and economical delivery solutions through advanced AI-powered, low-emissions robots [5]. - The company was spun off from Uber in 2021 and has since completed tens of thousands of deliveries for enterprise partners such as Uber Eats and 7-Eleven [5]. Leadership Recognition - Co-Founder and CEO Dr. Ali Kashani has been awarded the 2025 Entrepreneur Of The Year Bay Area Award by Ernst & Young LLP, recognizing his contributions to building and scaling innovative businesses [3]. - Dr. Kashani's entrepreneurial journey began in 2017 with a vision to enhance delivery services through robotics, leading to the establishment of Serve Robotics [4]. Business Growth and Impact - Under Dr. Kashani's leadership, Serve Robotics has transitioned from an internal startup to a publicly traded company, significantly impacting the delivery industry in major U.S. cities such as Los Angeles, Miami, Dallas, and Atlanta [4]. - The company has secured 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 [5].