Joby Aviation (NYSE:JOBY) Stock Price Down 6.9% - Time to Sell?

Key Points

• Joby Aviation shares fell 6.9% to about $5.35, well below their 50-day and 200-day moving averages of $6.90 and $8.35, respectively.
• Analyst sentiment is cautious: the stock has a consensus rating of “Reduce” and an average price target of $12.72, with ratings ranging from Barclays’ $4 underweight target to several $15–$18 buy targets.
• The company remains heavily unprofitable, reporting a quarterly loss of $0.25 per share versus expectations of $0.23, a negative net margin of 755.11%, and projected full-year EPS of approximately -$1.

Joby Aviation, Inc. (NYSE:JOBY - Get Free Report) shares traded down 6.9% during mid-day trading on Friday. The stock traded as low as $5.36 and last traded at $5.3530. 6,506,100 shares changed hands during trading, a decline of 79% from the average session volume of 31,000,387 shares. The stock had previously closed at $5.75.

Analysts Set New Price Targets

A number of equities research analysts have recently commented on JOBY shares. Susquehanna set a $18.00 target price on shares of Joby Aviation in a research report on Thursday, August 6th. Needham & Company LLC lowered their price target on shares of Joby Aviation from $18.00 to $15.00 and set a "buy" rating on the stock in a research report on Thursday, August 6th. HC Wainwright reaffirmed a "buy" rating and set a $18.00 price objective on shares of Joby Aviation in a research note on Monday, September 21st. Barclays started coverage on shares of Joby Aviation in a report on Friday. They issued an "underweight" rating and a $4.00 price objective for the company. Finally, Cantor Fitzgerald reissued a "neutral" rating on shares of Joby Aviation in a research note on Monday, September 21st. Two research analysts have rated the stock with a Buy rating, four have issued a Hold rating and four have assigned a Sell rating to the company's stock. According to data from MarketBeat, the stock presently has a consensus rating of "Reduce" and a consensus target price of $12.72.

Joby Aviation Price Performance

The firm has a market cap of $5.23 billion, a price-to-earnings ratio of -5.32 and a beta of 2.66. The company has a current ratio of 17.98, a quick ratio of 17.98 and a debt-to-equity ratio of 0.40. The stock's fifty day moving average price is $6.90 and its 200-day moving average price is $8.35.

Joby Aviation (NYSE:JOBY - Get Free Report) last announced its quarterly earnings results on Wednesday, August 5th. The company reported ($0.25) EPS for the quarter, missing the consensus estimate of ($0.23) by ($0.02). The business had revenue of $38.64 million during the quarter, compared to analyst estimates of $30.20 million. Joby Aviation had a negative net margin of 755.11% and a negative return on equity of 55.29%. The business's revenue for the quarter was up 257493.3% on a year-over-year basis. During the same period last year, the company earned ($0.41) EPS. As a group, equities research analysts forecast that Joby Aviation, Inc. will post -1 earnings per share for the current fiscal year.

Insider Buying and Selling

In other Joby Aviation news, insider Eric Allison sold 27,932 shares of the stock in a transaction dated Monday, July 13th. The shares were sold at an average price of $7.53, for a total transaction of $210,327.96. Following the completion of the transaction, the insider owned 710,396 shares of the company's stock, valued at $5,349,281.88. This trade represents a 3.78% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available through the SEC website. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CFO Rodrigo Brumana sold 37,831 shares of Joby Aviation stock in a transaction dated Wednesday, September 2nd. The shares were sold at an average price of $6.77, for a total transaction of $256,115.87. Following the sale, the chief financial officer owned 119,729 shares of the company's stock, valued at approximately $810,565.33. This represents a 24.01% 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. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders have sold a total of 969,809 shares of company stock valued at $6,230,389 over the last three months. Company insiders own 20.35% of the company's stock.

Institutional Trading of Joby Aviation

Institutional investors have recently added to or reduced their stakes in the stock. Renaissance Technologies LLC lifted its stake in Joby Aviation by 194.5% during the first quarter. Renaissance Technologies LLC now owns 4,005,200 shares of the company's stock worth $33,083,000 after purchasing an additional 2,645,200 shares in the last quarter. Clear Street Group Inc. grew its stake in shares of Joby Aviation by 59.9% in the fourth quarter. Clear Street Group Inc. now owns 3,593,043 shares of the company's stock valued at $47,428,000 after buying an additional 1,346,205 shares in the last quarter. Sumitomo Mitsui Trust Group Inc. grew its stake in shares of Joby Aviation by 48.1% in the first quarter. Sumitomo Mitsui Trust Group Inc. now owns 2,679,515 shares of the company's stock valued at $22,133,000 after buying an additional 870,244 shares in the last quarter. Amova Asset Management Americas Inc. raised its holdings in shares of Joby Aviation by 48.1% in the 1st quarter. Amova Asset Management Americas Inc. now owns 2,678,495 shares of the company's stock valued at $22,124,000 after buying an additional 870,244 shares during the period. Finally, Bank of New York Mellon Corp raised its holdings in shares of Joby Aviation by 27.6% in the 2nd quarter. Bank of New York Mellon Corp now owns 2,136,710 shares of the company's stock valued at $19,059,000 after buying an additional 462,585 shares during the period. Institutional investors and hedge funds 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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