Joby Aviation (JOBY) gained 11.76% in yesterday’s trading after announcing the successful completion of piloted air taxi flights in Dubai, marking another crucial milestone ahead of commercialized flights and the birth of the air taxi era. The stock closed at $10.55 and added another 1.42% in pre-market trading, bringing attention back to the electric vertical takeoff and landing (eVTOL) sector.
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Joby Locks in Dubai With Exclusive Rights and 2026 Launch Plan
The California-based company delivered its first aircraft to the United Arab Emirates and began commercial market readiness work in partnership with Dubai’s Roads and Transport Authority. The test flights included vertical takeoffs, wingborne transitions, and successful landings. These were witnessed by government officials and carried out as part of an exclusive agreement that gives Joby the rights to operate air taxis in Dubai for six years.
Construction is already underway on Joby’s first commercial vertiport at Dubai International Airport. The company aims to launch its service in 2026, connecting key locations including Palm Jumeirah, Dubai Marina, and Downtown.
Joby’s aircraft can carry a pilot and up to four passengers, reach speeds of 200 miles per hour, and cover a range of 100 miles. The company has raised over 2 billion dollars from backers such as Toyota (TM) and Delta Air Lines (DAL). Its three-part business model includes direct operations, aircraft sales, and partnerships with city authorities.
Competition Intensifies, So Do the Risks
The Dubai flights follow two years of hot-weather trials in the U.S., adding credibility to Joby’s vision. However, competitors like Archer Aviation (ACHR) and EHang (EH) are also in the race and marking their own progress towards commercialization as competition intensifies. Nevertheless, Joby’s operational milestone in Dubai marks one of the most advanced urban mobility demonstrations to date.
Investors should monitor progress toward FAA certification in the U.S. and the continued development of vertiport infrastructure in the UAE. Regulatory hurdles, production timelines, and capital requirements continue to pose risks. Still, the stock reaction shows that the market is paying attention to execution. Dubai’s move may signal the start of real-world adoption. If timelines hold, air taxi service could shift from concept to commercial reality by 2026.
Is JOBY Stock a Good Buy?
On the Street, Joby Aviation boasts a Moderate Buy rating, with an average JOBY stock price target standing at $8.86. This implies a 16.02% downside.
