Joby Aviation stock extends rally after fresh $100 million investment
By Ciara Linnane and Claudia Assis
Joby Aviation Inc.'s stock jumped more than 12% on Thursday, looking at a rally of more than 60% in the week, after the maker of electric air taxis received a $100 million investment from a South Korean wireless telecommunications company.
The news comes a day after Joby shares rallied more than 40% following a key approval for test flights of Joby's first electric vertical takeoff and landing, or eVTOL, aircraft.
SK Telecom Co. Ltd.'s (017670.SE) investment expands the partnership between the two companies and "paves the way for Joby to participate alongside SKT in Korea's 'K-UAM Grand Challenge,'" Joby said in a statement.
South Korea has set a goal of commercializing urban air mobility by 2025, and the challenge, supported by the Korea's Ministry of Land, Infrastructure and Transport, is designed to foster the adoption of air taxis in Korea, Joby said.
"We're grateful for SKT's commitment to Joby and look forward to working with them as we develop a transformational air taxi service for Korea," Joby founder and Chief Executive JoeBen Bevirt said.
Bevirt founded California-based Joby nearly 15 years ago. Joby became public in August 2021 after a merger with a blank-check company.
The company claims that its aircraft will have up to 150 miles of range, and, with its ability to take off and land vertically, "will change the way we move while reducing the acoustic and climate footprint of flight."
Joby has inked partnerships with Toyota Motor Corp. (7203.TO), its largest external shareholder, Delta Air Lines Inc. (DAL) and Uber Technologies Inc. (UBER)
Toyota has invested around $400 million, and the companies recently signed a long-term agreement for the supply of powertrains and components.
Proponents say that eVOTL aircraft are quieter and safer to operate than internal-combustion-engine helicopters. Joby plans to launch commercial operations in 2025.
The stock has nearly tripled so far this year, compared with an advance of about 14% for the S&P 500 index.
Don't miss:What Delta's investor day tells you about the airlines and summer travel
-Ciara Linnane
This content was created by MarketWatch, which is operated by Dow Jones & Co. MarketWatch is published independently from Dow Jones Newswires and The Wall Street Journal.
(END) Dow Jones Newswires
06-29-23 1246ET
Copyright (c) 2023 Dow Jones & Company, Inc.-
Six Sports Betting and iGaming Stocks Trading at a Discount
-
4 Predictions for Stocks and the Economy for the Second Half of 2024
-
What Broadening Rally? AI Stocks Dominate Again In Q2
-
After Earnings, Is Nike Stock a Buy, a Sell, or Fairly Valued?
-
Worst-Performing Stock ETFs of the Quarter
-
Top-Performing Stock ETFs of the Quarter
-
Q2 In Review and Q3 2024 Market Outlook
-
5 Stocks to Buy for 3Q 2024
-
Industrials: Sector Offers Investment Opportunities as Performance Lags Broader Market
-
Consumer Defensives: Even Amid Macro Pressures, Deals Permeate the Landscape
-
33 Undervalued Stocks
-
Utilities: Can the Stocks Keep the Rally Going?
-
Basic Materials: Following Index Decline, We See Many Long-Term Opportunities
-
Healthcare: Valuations Look Attractive In Most Industries
-
Financial Services: Amid Uncertainties, We See the Most Value In Banks and Credit Services
-
Consumer Cyclicals: Even With Anxiety Over Spending, We See Attractive Valuations