Joby Aviation Plummets 5.65%: What's Fueling the Sudden Sell-Off in eVTOL's Key Player?

Summary
• JOBY trades at $13.35, down 5.83% as of 1:59 PM EDT
• Intraday range spans $13.095 to $13.5958 amid heightened volatility
• Options activity surges with 20 contracts trading above $3,000 turnover
• Autonomous flight test success contrasts with 52-week low of $4.78 and -14x dynamic PE
Joby Aviation's stock faces a sharp intraday selloff despite recent autonomous flight test milestones. The $13.35 level marks a 5.83% decline from its 14.15 open, with technical indicators flashing bearish signals. While the company's July 2025 autonomous landing demonstration with AFWERX generated sector buzz, today's price action suggests investors are recalibrating expectations amid broader market turbulence and sector-specific headwinds.

Regulatory Uncertainty and Sector-Wide Airline Struggles Spur Flight to Safety
The selloff coincides with Spirit Airlines' Chapter 11 filing and Delta's $79M fuel spill settlement, amplifying sector-wide risk aversion. While Joby's autonomous Cessna 208B test flight demonstrated technical progress, the broader air mobility sector faces regulatory scrutiny over safety protocols and operational viability. The stock's 52-week low of $4.78 and -14x dynamic PE ratio highlight structural challenges, with investors pricing in prolonged losses and uncertain revenue timelines. Recent news of Blade Air Mobility's rebranding to Strata Critical Medical (SRTA) further underscores sector instability, as competitors pivot strategies amid shifting market dynamics.

Airports & Air Services Sector Mixed as Joby Trails Peers
The Airports & Air Services sector shows divergent performance, with CAAP up 1.95% and ASR gaining 1.40%, while Joby lags. Delta's transatlantic route expansion and KLM's Portland launch signal infrastructure optimism, but eVTOL players face unique hurdles. Archer Aviation (ACHR) trades down 4.58% on similar technical concerns, while Wheels Up (UP) falls 19.45%. The sector's 1.00% S&P 500 underperformance reflects broader investor caution toward capital-intensive aviation innovations.

Bearish Positioning and Volatility Playbook for JOBY's Critical Levels
• 200-day MA: 9.14 (well below current price)
• RSI: 28.08 (oversold territory)
• MACD: -0.337 (bearish divergence)
• Bollinger Bands: 12.47–20.18 (price near lower band)
• Support/Resistance: 16.52–16.65 (30D), 6.23–6.53 (200D)
JOBY's technical profile suggests a continuation of the bearish trend, with key support at $12.50 (lower Bollinger Band) and resistance at $13.50 (50D MA). The 28 RSI reading indicates oversold conditions, but without a clear reversal pattern, the 52-week low remains in play. Options data reveals aggressive bearish positioning:
• JOBY20250912P13 (Put): 74 contracts, 65.62% turnover, 75.95% IV, 0.2188 gamma, 0.0085 theta
• JOBY20250919P13.5 (Put): 23 contracts, 46.48% turnover, 81.80% IV, 0.1646 gamma, 0.0091 theta
These contracts offer optimal leverage (25.16% and 12.82%) with moderate deltas (-0.394 and -0.486) for directional bets. A 5% downside scenario (ST=12.68) would yield 13.5% payoff for the 13-strike put and 18.3% for the 13.5-strike put. Aggressive short-sellers may consider the 13.5-strike put for 9/19 expiration, while conservative traders might target the 13-strike put for 9/12. Watch for a breakdown below $12.50 to validate the bearish case.

Backtest Joby Aviation Stock Performance

Critical Crossroads: When to Re-Enter or Exit Joby's Volatile Ride
JOBY's technical and fundamental challenges suggest a high-risk profile for near-term investors. The 52-week low of $4.78 and -14x PE ratio indicate structural underperformance, while options data reveals aggressive bearish positioning. Sector leader Archer Aviation (ACHR) down 4.58% signals broader eVTOL sector caution. Traders should monitor the $12.50 support level and 200-day MA at $9.14 as critical decision points. A breakdown below $12.50 could trigger a re-rating toward the 52-week low, while a rebound above $13.50 might attract short-covering buyers. Position sizing should reflect the stock's high volatility and negative earnings profile. For now, watch the $12.50 level and consider short-term puts for directional exposure.