Joby Aviation Q2 Earnings Miss Disappoints Investors, But Top Investor Sees Upside Ahead

Joby Aviation's Q2 2025 earnings report missed expectations, with a GAAP EPS of -$0.41 and revenues of $20,000, compared to forecasts of -$0.22 and $1.57 million, respectively. The company's cash burn of $325 million and operating loss of $168 million also raised concerns. Despite this, Joby's share price remains up 80% YTD, and one top investor believes revenues will accelerate next year, citing FAA certification progress and a large pipeline with Abdul Latif Jameel. The investor rates Joby a Buy, expecting $1 billion in revenues by 2029.

Joby Aviation (NYSE: JOBY) released its Q2 2025 earnings report, revealing a GAAP EPS of -$0.41 and revenues of $20,000, which fell short of analysts' expectations of -$0.22 and $1.57 million, respectively. The company's cash burn of $325 million and operating loss of $168 million further raised concerns among investors. Despite these financial setbacks, JOBY's share price has risen by 80% year-to-date (YTD), indicating investor confidence in the company's long-term prospects.

One top investor, known by the pseudonym Deep Value Investing, remains optimistic about JOBY's future. Deep Value Investing believes that revenues will begin to accelerate next year, citing progress in FAA certification and a large pipeline with Abdul Latif Jameel. The company has secured a partnership with Abdul Latif Jameel to supply up to 200 aircraft, which could be worth $1 billion. Additionally, JOBY's recent acquisition of Blade Air provides the company with licenses to use heliports throughout the U.S. and Europe, including routes between Manhattan and the JFK and Newark airports, as well as the corridor between the Nice Airport and Monaco.

Deep Value Investing rates JOBY a Buy, expecting the company to generate $1 billion in revenues by 2029. The investor cautions that commercial operations in the U.S. and Europe may not commence until at least 2027. While patience is required, Deep Value Investing sees upside potential in the company's 5-year horizon.

In contrast, the broader market sentiment is more cautious. Analysts have downgraded JOBY's stock following the earnings report, with Deutsche Bank adjusting its price target to $6 and maintaining a sell recommendation. The consensus rating for JOBY is currently Hold, reflecting a neutral stance. Despite the recent downturn, JOBY's share price has seen brief upsurges in after-hours trading, indicating investor interest in the company's long-term prospects.

Joby Aviation faces significant challenges in transforming its innovative eVTOL technology into a commercially viable business. The company's aggressive growth strategies have yet to yield positive returns, and its high enterprise value of $13.27 billion has raised concerns about overvaluation. However, the market's potential for eVTOL development remains tied to JOBY's ability to achieve tangible milestones and overcome persistent scrutiny.

In conclusion, Joby Aviation's Q2 2025 earnings report missed expectations, but one top investor remains bullish on the company's long-term prospects. While the market sentiment is cautious, the potential for eVTOL development remains significant. Investors should closely monitor JOBY's progress in FAA certification and its partnership with Abdul Latif Jameel as key indicators of future success.

References:
[1] https://www.tipranks.com/news/keep-your-engines-humming-says-top-investor-about-joby-stock
[2] https://stockstotrade.com/news/joby-aviation-inc-joby-news-2025_08_18/