Is Joby Aviation Stock a Millionaire Maker?

Company Overview - Joby Aviation is a developer of electric vertical takeoff and landing (eVTOL) aircraft, with its first model, the S4, capable of carrying a pilot and four passengers, traveling 100 miles on a single charge, and reaching speeds of 200 mph [4] - The company is also developing a hydrogen-powered version of its aircraft, which charges faster and has a range five times greater than the S4 [4] - Joby is backed by significant investors, including Toyota and Delta Air Lines, and aims to provide a greener alternative to traditional helicopters [5] Financial Performance - Joby Aviation's stock has not performed well since its public debut, trading at approximately $11, up from an opening price of $10.62 [1] - The company generated only $136,000 in revenue from its USAF contract in 2024, with a net loss of $608 million, significantly missing its projected revenue targets [9] - Analysts expect Joby to generate $2 million in revenue in 2025, with a narrowed net loss of $543 million, primarily from its USAF contract [10] Future Prospects - If Joby gains full FAA approval for commercial flights and expands its air taxi services, revenue could increase to $60 million in 2026 and more than triple to $213 million in 2027 [11] - The company holds a $131 million contract with the U.S. Department of Defense to deliver up to nine eVTOL aircraft, with two already delivered [7] - Joby secured over $1 billion in funding in 2024, ending the latest quarter with $813 million in cash and a low debt-to-equity ratio of 0.26, providing room for further fundraising [13] Market Position - Joby Aviation has a market cap of $9.59 billion, trading at 45 times its projected revenue for 2027, while its competitor Archer Aviation trades at 15 times its projected revenue [14] - The company is seen as potentially too expensive relative to its growth potential and industry peers, raising concerns about its valuation [15]