CNBC Televisionยท2025-06-12 23:05Investment Thesis - The analyst initiated starter positions in Joby Aviation (Joby) and Archer, both considered highly speculative pre-revenue companies in the low-altitude economy [1][2] - The investment is based on the potential of the low-altitude economy, specifically transportation via vertical takeoff and landing (VTOL) aircraft, over the next 10-15 years [2][3] - The analyst acknowledges the high risk involved, as there is no guarantee either company will successfully commercialize a vehicle [5] Company Specifics - Joby Aviation is 9% owned by Toyota and has other high-profile investors, aiming to create an "Uber of the skies" taxi network [7] - Archer has a prototype called Midnight and is focused on selling its aircraft, with an initial use case of transporting accident victims to hospitals [7] Regulatory Environment - Recent actions have removed red tape for testing VTOL technologies, potentially accelerating development and commercialization [6] Market Opportunity - Morgan Stanley has released a report on the low-altitude economy, highlighting the potential for delivery drones and transportation below one mile above the earth's surface [3] Risk Considerations - These investments are highly speculative and not suitable for investors with low risk tolerance [5][8] - The companies need to obtain certifications, which is a key catalyst in the next 6-12 months, to establish a revenue model [7]