Joby Aviation (NYSE:JOBY) Stock Falls 5.4% - Time to Sell?

Key Points

• Joby Aviation shares fell 5.4% to approximately $5.15, well below the 50-day and 200-day moving averages of $6.87 and $8.32, respectively.
• Analyst sentiment is mixed but leans negative: the stock has an average “Reduce” rating and a $12.72 price target, with Barclays issuing an “underweight” rating and a $4 target while other firms maintain buy ratings.
• The company remains unprofitable, reporting a quarterly EPS loss of $0.25 versus expectations of $0.23, despite revenue of $38.64 million exceeding estimates; insiders have also sold about 933,496 shares over the past 90 days.

Joby Aviation, Inc. (NYSE:JOBY - Get Free Report) fell 5.4% during trading on Monday. The stock traded as low as $5.13 and last traded at $5.1450. 24,558,903 shares traded hands during trading, a decline of 21% from the average session volume of 31,139,631 shares. The stock had previously closed at $5.44.

Analysts Set New Price Targets

A number of research firms have weighed in on JOBY. Weiss Ratings upgraded Joby Aviation from a "sell (e+)" rating to a "sell (d-)" rating in a research note on Tuesday, July 14th. Wall Street Zen cut Joby Aviation from a "sell" rating to a "strong sell" rating in a research note on Saturday, August 8th. HC Wainwright reissued a "buy" rating and issued a $18.00 price objective on shares of Joby Aviation in a report on Monday, September 21st. Needham & Company LLC cut their price objective on Joby Aviation from $18.00 to $15.00 and set a "buy" rating for the company in a report on Thursday, August 6th. Finally, Barclays started coverage on shares of Joby Aviation in a research note on Friday. They issued an "underweight" rating and a $4.00 target price for the company. Two equities research analysts have rated the stock with a Buy rating, four have issued a Hold rating and four have issued a Sell rating to the company's stock. According to MarketBeat, the stock presently has an average rating of "Reduce" and an average target price of $12.72.

Joby Aviation Stock Performance

The company has a debt-to-equity ratio of 0.40, a quick ratio of 17.98 and a current ratio of 17.98. The stock's fifty day moving average price is $6.87 and its 200-day moving average price is $8.32. The company has a market capitalization of $5.09 billion, a P/E ratio of -5.20 and a beta of 2.66.

Joby Aviation (NYSE:JOBY - Get Free Report) last issued its earnings results on Wednesday, August 5th. The company reported ($0.25) earnings per share (EPS) for the quarter, missing the consensus estimate of ($0.23) by ($0.02). Joby Aviation had a negative net margin of 755.11% and a negative return on equity of 55.29%. The firm had revenue of $38.64 million during the quarter, compared to analyst estimates of $30.20 million. During the same quarter last year, the business posted ($0.41) earnings per share. The company's revenue for the quarter was up 257493.3% on a year-over-year basis. As a group, research analysts anticipate that Joby Aviation, Inc. will post -1.00 EPS for the current fiscal year.

Insider Transactions at Joby Aviation

In other Joby Aviation news, CEO JoeBen Bevirt sold 15,789 shares of the company's stock in a transaction that occurred on Friday, October 2nd. The stock was sold at an average price of $5.95, for a total value of $93,944.55. Following the sale, the chief executive officer owned 254,519 shares in the company, valued at $1,514,388.05. This represents a 5.84% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, Director Paul Sciarra sold 62,500 shares of the firm's stock in a transaction that occurred on Friday, October 2nd. The shares were sold at an average price of $6.09, for a total value of $380,625.00. Following the completion of the sale, the director directly owned 55,640,557 shares of the company's stock, valued at approximately $338,850,992.13. The trade was a 0.11% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last ninety days, insiders have sold 933,496 shares of company stock valued at $5,956,952. Company insiders own 20.35% of the company's stock.

Institutional Investors Weigh In On Joby Aviation

A number of large investors have recently added to or reduced their stakes in JOBY. Russell Investments Group Ltd. grew its position in shares of Joby Aviation by 30.6% in the second quarter. Russell Investments Group Ltd. now owns 352,874 shares of the company's stock valued at $3,148,000 after purchasing an additional 82,737 shares during the last quarter. SummitTX Capital L.P. bought a new position in shares of Joby Aviation during the first quarter worth approximately $1,127,000. Clear Street Group Inc. increased its stake in shares of Joby Aviation by 59.9% during the fourth quarter. Clear Street Group Inc. now owns 3,593,043 shares of the company's stock worth $47,428,000 after purchasing an additional 1,346,205 shares during the period. Edgestream Partners L.P. acquired a new stake in Joby Aviation during the 1st quarter worth approximately $1,189,000. Finally, Bank of New York Mellon Corp lifted its holdings in Joby Aviation by 27.6% during the 2nd quarter. Bank of New York Mellon Corp now owns 2,136,710 shares of the company's stock worth $19,059,000 after purchasing an additional 462,585 shares during the last quarter. Institutional investors own 52.85% of the company's stock.

Joby Aviation Company Profile

Joby Aviation, Inc NYSE: JOBY is an aviation company developing all-electric vertical takeoff and landing (eVTOL) aircraft for commercial passenger transportation. Its aircraft are designed to take off and land vertically like a helicopter while providing quieter, lower-emission transportation for short urban and regional trips.

The company is pursuing an integrated air-taxi business model that includes designing and manufacturing its aircraft, operating passenger services, and developing the software and infrastructure needed to support aerial mobility.

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