Joby Aviation Stock Plummets Amid Analyst Downgrades

Joby Aviation's stock tumbled 9% in Thursday's trading session after two analysts issued cautious ratings. H.C. Wainwright downgraded the eVTOL company from buy to neutral, citing valuation concerns following recent gains. Canaccord also shifted its rating from buy to hold, despite raising its 12-month price target from $12 to $17 per share.

The sell-off comes despite Joby's shares still being up roughly 112% year-to-date. With a market capitalization of $13.6 billion but minimal revenue, the company faces significant regulatory hurdles before commencing commercial operations. While Saudi Arabia appears to offer an easier path to approval, U.S. certification remains uncertain.

Today's pullback highlights the inherent volatility in pre-revenue transportation technology stocks. Investors are weighing Joby's long-term potential against its current speculative valuation as the company works to bring its electric aircraft to market.