Core Viewpoint - Blade Air Mobility Inc. has announced the sale of its passenger mobility business to Joby Aviation for up to $125 million, transitioning to a pure-play medical logistics company named Strata Critical Medical, which has led to a significant stock price increase followed by a decline due to mixed earnings results [1][2][3] Financial Performance - Blade reported a mixed earnings report, beating revenue expectations but posting a negative earnings per share of five cents, which was worse than the anticipated negative four cents [2] - The medical division contributed nearly 60% of the company's revenue and 84% of its EBITDA, with an 18% year-over-year revenue growth, contrasting with an 8% year-over-year revenue decline in the passenger division [5] Strategic Outlook - The management is optimistic about future growth, expecting continued organic growth and plans to pursue strategic acquisitions with an anticipated $200 million in cash after the sale of the passenger business [6][7] - The company aims to focus on non-emergency medical transport, organ transfer, and time-critical healthcare logistics, which are considered less volatile compared to urban air travel [8] Market Position - Blade estimates the organ logistics market to be worth about $1 billion, with the company currently controlling approximately 30% of this market [11] - The stock forecast indicates a potential upside of 61.29%, with a 12-month price target of $6.25 based on analyst ratings [11] Risks and Considerations - The sale to Joby will be paid entirely in stock, which introduces potential volatility based on Joby's share price, and the deal is expected to close in the first half of 2026, extending the timeline for stock price fluctuations [9][10] - Investors may experience choppy trading conditions until the passenger business is sold, with cautious optimism expected for the stock [12]