United Airlines Casts Doubt on eVTOL Market Potential
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 15 hours ago
0mins
Should l Buy JOBY?
Source: Fool
- Market Outlook Dims: United Airlines CEO Scott Kirby's concerns regarding the safety of eVTOL operations in crowded airport airspace may hinder the growth prospects of the eVTOL industry, particularly negatively impacting the investment case for Archer Aviation.
- Investment Dynamics: United invested $25 million in Archer in 2021 and made an undisclosed additional investment in 2023, along with a $10 million pre-delivery payment, indicating a long-term commitment to Archer, yet Kirby's comments introduce uncertainty about this commitment.
- Shifting Competitive Landscape: With American Airlines investing in Vertical Aerospace and preordering up to 250 aircraft, United's stance may lead investors to favor Joby Aviation over Archer, as Joby's vertically integrated service model contrasts sharply with Archer's approach.
- Complex Contract Conditions: Archer's SEC filings reveal that United's purchase agreement is contingent upon FAA certification and mutual agreement on material terms, suggesting that United could potentially walk away from the deal, incurring only a $10 million sunk cost.
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Analyst Views on JOBY
Wall Street analysts forecast JOBY stock price to rise
6 Analyst Rating
1 Buy
3 Hold
2 Sell
Hold
Current: 9.190
Low
8.00
Averages
15.67
High
22.00
Current: 9.190
Low
8.00
Averages
15.67
High
22.00
About JOBY
Joby Aviation, Inc. is a transportation company developing an all-electric, vertical take-off and landing air taxi. The Company is engaged in designing and testing a piloted all-electric, vertical take-off and landing (eVTOL) aircraft. The Joby eVTOL is designed to transport a pilot and up to four passengers or an expected payload of up to 1,000 pounds at speeds of up to 200 miles per hour (mph). The aircraft is optimized for urban routes, with a target range of up to 100 miles on a single charge. The Company plans to manufacture, own and operate its aircraft itself, building a vertically integrated transportation company that delivers transportation services to customers, including government agencies such as the United States Air Force (USAF) through sales or contracted operations, and to individual end-users through a convenient app-based aerial ridesharing service. It also offers a network of terminals and loyal flyers in markets like New York and in Southern Europe.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
Joby Aviation Aims for 2026 Launch of Flying Taxi Service
- Certification Progress: Joby Aviation has made steady advancements through multiple certification stages, yet it still needs regulatory approval to achieve commercial operations; investors should monitor if it is nearing final approval, as any delays could impact the 2026 launch of services.
- Commercial Readiness: Joby plans to launch its initial service in Dubai, and while it has taken steps towards daily operations, the next earnings report will reveal whether it has transitioned from development to actual operations, with investors needing to focus on infrastructure readiness and early deployment timelines.
- Cash Burn: Joby ended 2025 with $1.4 billion in cash and raised an additional $1.2 billion, totaling $2.6 billion; however, it expects to burn through $340 million to $370 million in the first half of 2026, making it crucial for investors to watch the cash usage rate against key milestones.
- Investor Focus: Joby Aviation is entering a pivotal phase where it must demonstrate its ability to transition from development to operational business, with the upcoming earnings report being critical for assessing steady progress in certification, commercial readiness, and capital discipline to achieve sustainable revenue.
See More
Joby Aviation Demonstrates eVTOL Aircraft in NYC
- Demonstration Flight Event: Joby Aviation will showcase its all-electric eVTOL aircraft in a live demonstration flight in New York City, attracting attention from city officials and transportation leaders, which is expected to enhance public awareness and acceptance of electric aviation.
- Urban Infrastructure Support: The event will take place at the East 34th Street Heliport, highlighting how existing aviation infrastructure can support next-generation electric aircraft in urban environments, potentially driving the integration and development of future urban air mobility.
- Media Engagement Opportunity: The demonstration will offer live flight visuals and allow media to photograph the aircraft post-landing, providing a unique reporting opportunity that could attract more investors and partners to the electric aviation sector.
- Commitment to Sustainability: VertiPorts by Atlantic is dedicated to developing infrastructure that supports advanced air mobility, leveraging Atlantic Aviation's extensive experience to showcase leadership in sustainability and customer experience, which may lay the groundwork for future urban and regional air transportation.
See More
Joby Aviation's eVTOL Flight Demonstration Showcases Urban Air Mobility
- Electric Flight Demonstration: Joby Aviation will conduct a live eVTOL flight demonstration in New York City, showcasing the potential of zero-emission urban air mobility, which is expected to attract attention from city officials and transportation leaders, potentially influencing supportive policies for urban air mobility.
- Infrastructure Integration: The demonstration will highlight how existing aviation infrastructure can support next-generation eVTOL aircraft in dense urban environments, emphasizing seamless integration with traditional aviation services, which may encourage investment in related infrastructure.
- Media Engagement Opportunity: The event will provide live flight visuals and allow media to photograph and film the aircraft post-landing, enhancing public awareness and interest in electric air mobility, which could elevate Joby Aviation's brand image.
- Sustainability Commitment: VertiPorts by Atlantic is dedicated to developing infrastructure that supports advanced air mobility, focusing on sustainability and customer experience, which is expected to drive broader acceptance and application of electric aviation solutions within the industry.
See More
United Airlines Casts Doubt on eVTOL Market Potential
- Market Outlook Dims: United Airlines CEO Scott Kirby's concerns regarding the safety of eVTOL operations in crowded airport airspace may hinder the growth prospects of the eVTOL industry, particularly negatively impacting the investment case for Archer Aviation.
- Investment Dynamics: United invested $25 million in Archer in 2021 and made an undisclosed additional investment in 2023, along with a $10 million pre-delivery payment, indicating a long-term commitment to Archer, yet Kirby's comments introduce uncertainty about this commitment.
- Shifting Competitive Landscape: With American Airlines investing in Vertical Aerospace and preordering up to 250 aircraft, United's stance may lead investors to favor Joby Aviation over Archer, as Joby's vertically integrated service model contrasts sharply with Archer's approach.
- Complex Contract Conditions: Archer's SEC filings reveal that United's purchase agreement is contingent upon FAA certification and mutual agreement on material terms, suggesting that United could potentially walk away from the deal, incurring only a $10 million sunk cost.
See More
Future Potential Stocks: CRISPR, Green Thumb, and Joby
- CRISPR Outlook: CRISPR Therapeutics has a market cap of around $5 billion and, despite a more than 60% decline over the past five years, its gene-editing therapy Casgevy has been approved for sickle cell disease, with potential revenues reaching billions, indicating future growth prospects for the company.
- Green Thumb's Struggles: Green Thumb Industries, valued at nearly $1.8 billion, has seen a decline of over 70% in the past five years; however, it reported a net income of $114 million in 2025, and potential regulatory changes could unlock 10x returns for investors in the long run.
- Joby's Market Position: Joby Aviation, with a valuation exceeding $8.7 billion, has only dropped 14% over five years, but its potential in the electric vertical take-off and landing market is significant, and gaining approval for its air taxi could attract investor interest, despite ongoing concerns about profitability.
- Investment Risks and Opportunities: All three companies face unique challenges and risks, with CRISPR and Green Thumb presenting potential growth opportunities that may attract long-term investors, while Joby needs to address profitability issues to realize its high valuation.
See More
Uber Enters Travel Industry with New Offerings
- Hotel Booking Service: Uber partners with Expedia to offer over 700,000 hotel options for U.S. users, with Uber One members receiving a 20% discount and 10% cashback, directly competing with Booking Holdings and Airbnb, significantly expanding its market share.
- AI Voice Booking Feature: Uber introduces a voice chatbot powered by OpenAI models, allowing users to book rides through voice commands, enhancing user experience and increasing the platform's intelligence, further solidifying its leadership in the mobility sector.
- Shopping Feature Expansion: The new shopping feature enables users to purchase items by sending photos and details to a personal shopper, broadening Uber's service offerings and aiming to attract more users while enhancing platform diversity.
- Travel Experience Enhancements: Uber provides ride credits and zero delivery fees for Uber One members abroad, along with hotel delivery services for forgotten essentials, aiming to improve user convenience and satisfaction, further strengthening its positioning as an all-in-one app.
See More
Joby Aviation Aims for 2026 Launch of Flying Taxi Service
- Certification Progress: Joby Aviation has made steady advancements through multiple certification stages, yet it still needs regulatory approval to achieve commercial operations; investors should monitor if it is nearing final approval, as any delays could impact the 2026 launch of services.
- Commercial Readiness: Joby plans to launch its initial service in Dubai, and while it has taken steps towards daily operations, the next earnings report will reveal whether it has transitioned from development to actual operations, with investors needing to focus on infrastructure readiness and early deployment timelines.
- Cash Burn: Joby ended 2025 with $1.4 billion in cash and raised an additional $1.2 billion, totaling $2.6 billion; however, it expects to burn through $340 million to $370 million in the first half of 2026, making it crucial for investors to watch the cash usage rate against key milestones.
- Investor Focus: Joby Aviation is entering a pivotal phase where it must demonstrate its ability to transition from development to operational business, with the upcoming earnings report being critical for assessing steady progress in certification, commercial readiness, and capital discipline to achieve sustainable revenue.
See More
Joby Aviation Demonstrates eVTOL Aircraft in NYC
- Demonstration Flight Event: Joby Aviation will showcase its all-electric eVTOL aircraft in a live demonstration flight in New York City, attracting attention from city officials and transportation leaders, which is expected to enhance public awareness and acceptance of electric aviation.
- Urban Infrastructure Support: The event will take place at the East 34th Street Heliport, highlighting how existing aviation infrastructure can support next-generation electric aircraft in urban environments, potentially driving the integration and development of future urban air mobility.
- Media Engagement Opportunity: The demonstration will offer live flight visuals and allow media to photograph the aircraft post-landing, providing a unique reporting opportunity that could attract more investors and partners to the electric aviation sector.
- Commitment to Sustainability: VertiPorts by Atlantic is dedicated to developing infrastructure that supports advanced air mobility, leveraging Atlantic Aviation's extensive experience to showcase leadership in sustainability and customer experience, which may lay the groundwork for future urban and regional air transportation.
See More
Joby Aviation's eVTOL Flight Demonstration Showcases Urban Air Mobility
- Electric Flight Demonstration: Joby Aviation will conduct a live eVTOL flight demonstration in New York City, showcasing the potential of zero-emission urban air mobility, which is expected to attract attention from city officials and transportation leaders, potentially influencing supportive policies for urban air mobility.
- Infrastructure Integration: The demonstration will highlight how existing aviation infrastructure can support next-generation eVTOL aircraft in dense urban environments, emphasizing seamless integration with traditional aviation services, which may encourage investment in related infrastructure.
- Media Engagement Opportunity: The event will provide live flight visuals and allow media to photograph and film the aircraft post-landing, enhancing public awareness and interest in electric air mobility, which could elevate Joby Aviation's brand image.
- Sustainability Commitment: VertiPorts by Atlantic is dedicated to developing infrastructure that supports advanced air mobility, focusing on sustainability and customer experience, which is expected to drive broader acceptance and application of electric aviation solutions within the industry.
See More
United Airlines Casts Doubt on eVTOL Market Potential
- Market Outlook Dims: United Airlines CEO Scott Kirby's concerns regarding the safety of eVTOL operations in crowded airport airspace may hinder the growth prospects of the eVTOL industry, particularly negatively impacting the investment case for Archer Aviation.
- Investment Dynamics: United invested $25 million in Archer in 2021 and made an undisclosed additional investment in 2023, along with a $10 million pre-delivery payment, indicating a long-term commitment to Archer, yet Kirby's comments introduce uncertainty about this commitment.
- Shifting Competitive Landscape: With American Airlines investing in Vertical Aerospace and preordering up to 250 aircraft, United's stance may lead investors to favor Joby Aviation over Archer, as Joby's vertically integrated service model contrasts sharply with Archer's approach.
- Complex Contract Conditions: Archer's SEC filings reveal that United's purchase agreement is contingent upon FAA certification and mutual agreement on material terms, suggesting that United could potentially walk away from the deal, incurring only a $10 million sunk cost.
See More
Future Potential Stocks: CRISPR, Green Thumb, and Joby
- CRISPR Outlook: CRISPR Therapeutics has a market cap of around $5 billion and, despite a more than 60% decline over the past five years, its gene-editing therapy Casgevy has been approved for sickle cell disease, with potential revenues reaching billions, indicating future growth prospects for the company.
- Green Thumb's Struggles: Green Thumb Industries, valued at nearly $1.8 billion, has seen a decline of over 70% in the past five years; however, it reported a net income of $114 million in 2025, and potential regulatory changes could unlock 10x returns for investors in the long run.
- Joby's Market Position: Joby Aviation, with a valuation exceeding $8.7 billion, has only dropped 14% over five years, but its potential in the electric vertical take-off and landing market is significant, and gaining approval for its air taxi could attract investor interest, despite ongoing concerns about profitability.
- Investment Risks and Opportunities: All three companies face unique challenges and risks, with CRISPR and Green Thumb presenting potential growth opportunities that may attract long-term investors, while Joby needs to address profitability issues to realize its high valuation.
See More
Uber Enters Travel Industry with New Offerings
- Hotel Booking Service: Uber partners with Expedia to offer over 700,000 hotel options for U.S. users, with Uber One members receiving a 20% discount and 10% cashback, directly competing with Booking Holdings and Airbnb, significantly expanding its market share.
- AI Voice Booking Feature: Uber introduces a voice chatbot powered by OpenAI models, allowing users to book rides through voice commands, enhancing user experience and increasing the platform's intelligence, further solidifying its leadership in the mobility sector.
- Shopping Feature Expansion: The new shopping feature enables users to purchase items by sending photos and details to a personal shopper, broadening Uber's service offerings and aiming to attract more users while enhancing platform diversity.
- Travel Experience Enhancements: Uber provides ride credits and zero delivery fees for Uber One members abroad, along with hotel delivery services for forgotten essentials, aiming to improve user convenience and satisfaction, further strengthening its positioning as an all-in-one app.
See More
