Pony AI Stock's RS Rating Surges to 86, a Noteworthy Benchmark

Pony AI stock has seen its Relative Strength (RS) Rating improve to 86, up from 79 the day before, reaching the 80-plus percentile. The company provides robotaxi and autonomous vehicles solutions in China. This technical benchmark indicates a positive trend in the stock's performance.

Pony AI (PONY) stock experienced a notable technical benchmark on Tuesday, with its Relative Strength (RS) Rating climbing into the 80-plus percentile, reaching 86, up from 79 the day before. This improvement signifies a positive trend in the stock's performance. The Chinese-based company specializes in robotaxi and autonomous vehicle solutions.

The RS Rating, an exclusive metric from Investor's Business Daily, tracks the stock's performance relative to the broader market. A rating in the 80-plus percentile indicates strong relative performance, suggesting that Pony AI's stock has been outperforming the market average.

Pony AI's recent expansion into driverless robotaxi services in major Chinese cities, including Beijing, Shanghai, Guangzhou, and Shenzhen, underscores the company's technological maturity and operational readiness. The company has secured regulatory approvals to charge for rides in these cities, marking a significant step in the commercialization of self-driving technology [1].

The global race for robotaxi dominance is intensifying, with Chinese firms like Pony AI, WeRide, and Baidu outpacing U.S. rivals in terms of cost advantages and international expansion. Analysts project that the number of robotaxis in China could reach 300,000 by 2030, with Chinese companies nearing breakeven by late 2025 [1].

Pony AI's stock is expected to benefit from this trend, with Bank of America assigning a $21 price target to its stock, implying a 60% upside. The ability to build cost-effective autonomous vehicles is a key factor in achieving this, and Pony AI's focus on safety, cost reduction, and ease of hailing positions it well to capitalize on this trend [1].

The rapid deployment of robotaxis in China reflects a broader shift in the automotive industry toward automation. With regulatory support and growing consumer acceptance, the sector is moving from testing to scalable operations. As companies like Pony AI continue to refine their technology and business models, the future of urban mobility could see a significant shift toward autonomous transportation [1].

References:

[1] https://www.mitrade.com/insights/news/live-news/article-3-1008091-20250804