Needham raises Joby Aviation stock price target to $22 on growing technical credibility

Published 07/08/2025, 12:36
Needham raises Joby Aviation stock price target to $22 on growing technical credibility

Investing.com - Needham has raised its price target on Joby Aviation Inc (NYSE:JOBY) to $22.00 from $10.00 while maintaining a Buy rating following the company’s second-quarter results. The stock has shown remarkable momentum, delivering a 285% return over the past year, though InvestingPro analysis suggests the stock is currently trading above its Fair Value.

The research firm cited Joby’s "stacking up positive headlines at a dizzying pace," with piloted flight demonstrations helping to counter skepticism about the electric vertical takeoff and landing (eVTOL) aircraft sector.

Needham noted that repeated piloted flights and increasing aircraft production momentum signal confidence in Joby’s path toward Federal Aviation Administration certification.

The firm acknowledged remaining questions about the timing of scaled aircraft production, early-stage air taxi infrastructure development, and gross margin clarity, but emphasized that "JOBY’s growing technical credibility is carrying the day as of now."

Needham’s new $22 price target represents 15 times the firm’s updated 2031 estimated adjusted EBITDA discounted back, compared to 10 times its previous, lower estimate.

In other recent news, Joby Aviation reported disappointing financial results for the second quarter of 2025. The company posted an earnings per share (EPS) of -$0.41, which was significantly below analysts’ expectations of -$0.19. Additionally, revenue figures were far from projections, with Joby Aviation reporting just $20,000 compared to the anticipated $1.57 million. These results indicate a notable shortfall in both earnings and revenue for the quarter. The company’s performance has drawn attention from investors and analysts alike. While the stock price saw a decline, it is essential to note the financial figures as the primary focus. These developments highlight the challenges Joby Aviation is facing in meeting market expectations.

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