Joby Aviation (NYSE:JOBY) Trading Down 7% on Disappointing Earnings

Key Points

• Joby Aviation experienced a 7% decline in stock price following the announcement of disappointing quarterly earnings, reporting a loss of ($0.24) earnings per share against an expected ($0.18).
• The company's revenue fell by 94.6% year-over-year, coming in at just $0.02 million compared to the projected $0.05 million.
• Analyst ratings have been predominantly negative, with multiple firms lowering their price targets and two analysts issuing sell ratings for Joby Aviation's stock.

Joby Aviation, Inc. (NYSE:JOBY - Get Free Report)'s stock price was down 7% on Thursday after the company announced weaker than expected quarterly earnings. The company traded as low as $17.68 and last traded at $17.60. Approximately 16,899,430 shares traded hands during trading, a decline of 18% from the average daily volume of 20,672,914 shares. The stock had previously closed at $18.93.

The company reported ($0.24) earnings per share for the quarter, missing the consensus estimate of ($0.18) by ($0.06). Joby Aviation had a negative return on equity of 63.27% and a negative net margin of 447,083.78%. The firm had revenue of $0.02 million during the quarter, compared to analysts' expectations of $0.05 million. During the same quarter in the prior year, the company posted ($0.18) earnings per share. Joby Aviation's quarterly revenue was down 94.6% compared to the same quarter last year.

Analyst Ratings Changes

Several equities research analysts have issued reports on JOBY shares. Morgan Stanley reissued an "equal weight" rating and set a $7.00 target price (down previously from $10.00) on shares of Joby Aviation in a research note on Friday, April 11th. Wall Street Zen downgraded shares of Joby Aviation from a "hold" rating to a "sell" rating in a research note on Saturday, August 2nd. Canaccord Genuity Group downgraded Joby Aviation from a "buy" rating to a "hold" rating and set a $17.00 target price for the company. in a report on Thursday. JPMorgan Chase & Co. lifted their price target on Joby Aviation from $5.00 to $7.00 and gave the stock an "underweight" rating in a research report on Friday, August 1st. Finally, Cantor Fitzgerald restated a "neutral" rating and set a $9.00 target price on shares of Joby Aviation in a research report on Monday, June 23rd. Two equities research analysts have rated the stock with a sell rating, four have issued a hold rating and one has issued a buy rating to the stock. According to MarketBeat, the company presently has a consensus rating of "Hold" and an average price target of $10.50.

Insider Buying and Selling at Joby Aviation

In other news, Director Paul Cahill Sciarra sold 500,001 shares of the company's stock in a transaction on Monday, July 14th. The stock was sold at an average price of $12.38, for a total transaction of $6,190,012.38. Following the completion of the sale, the director directly owned 57,328,059 shares of the company's stock, valued at $709,721,370.42. This represents a 0.86% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available at the SEC website. Also, Director Motor Corp/ Toyota purchased 49,701,790 shares of the company's stock in a transaction that occurred on Thursday, May 22nd. The stock was bought at an average cost of $5.03 per share, for a total transaction of $250,000,003.70. Following the purchase, the director directly owned 122,573,621 shares in the company, valued at $616,545,313.63. This represents a 68.20% increase in their position. The disclosure for this purchase can be found here. Over the last ninety days, insiders have sold 1,864,754 shares of company stock valued at $19,236,149. 28.50% of the stock is currently owned by company insiders.

Institutional Trading of Joby Aviation

Several hedge funds and other institutional investors have recently modified their holdings of JOBY. CWM LLC lifted its position in shares of Joby Aviation by 8.1% during the 2nd quarter. CWM LLC now owns 9,156 shares of the company's stock worth $97,000 after purchasing an additional 689 shares during the last quarter. GPS Wealth Strategies Group LLC lifted its stake in shares of Joby Aviation by 32.0% in the second quarter. GPS Wealth Strategies Group LLC now owns 3,097 shares of the company's stock valued at $33,000 after buying an additional 750 shares during the period. Flagship Harbor Advisors LLC raised its holdings in Joby Aviation by 2.6% in the 2nd quarter. Flagship Harbor Advisors LLC now owns 31,726 shares of the company's stock valued at $335,000 after acquiring an additional 800 shares in the last quarter. Nisa Investment Advisors LLC lifted its position in shares of Joby Aviation by 1.1% in the 2nd quarter. Nisa Investment Advisors LLC now owns 76,179 shares of the company's stock worth $804,000 after acquiring an additional 864 shares during the period. Finally, GoalVest Advisory LLC grew its holdings in shares of Joby Aviation by 5.1% during the 2nd quarter. GoalVest Advisory LLC now owns 20,500 shares of the company's stock worth $216,000 after purchasing an additional 1,000 shares in the last quarter. Institutional investors and hedge funds own 52.85% of the company's stock.

Joby Aviation Price Performance

The firm has a market capitalization of $13.96 billion, a price-to-earnings ratio of -20.96 and a beta of 2.52. The business has a 50 day moving average of $11.96 and a 200 day moving average of $8.60.

About Joby Aviation

Joby Aviation, Inc, a vertically integrated air mobility company, engages in building an electric vertical takeoff and landing aircraft optimized to deliver air transportation as a service. The company intends to build an aerial ridesharing service, as well as developing an application-based platform that will enable consumers to book rides.

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