In a report released yesterday, Ming-Hsun Lee from Bank of America Securities maintained a Buy rating on Pony AI Inc. Sponsored ADR, with a price target of $21.00.
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Ming-Hsun Lee has given his Buy rating due to a combination of factors, primarily focusing on Pony AI Inc.’s advancements in their robotaxi technology and production capabilities. The company has recently announced the mass production and road testing of its seventh-generation robotaxi, which is a significant milestone. This new model utilizes 100% automotive-grade components and boasts a substantial reduction in production costs, particularly in the autonomous driving kit, which enhances the unit economy.
Furthermore, Pony AI is on track to expand its robotaxi fleet to 1,000 units by the end of 2025, with plans to increase service density in China’s major cities and explore international collaborations. These strategic moves are expected to improve profitability and support large-scale commercial deployment. Given these developments, Lee maintains a positive outlook on the company’s growth potential and profitability, justifying the Buy rating.
In another report released on July 8, Goldman Sachs also maintained a Buy rating on the stock with a $26.00 price target.
PONY’s price has also changed moderately for the past six months – from $15.080 to $12.890, which is a -14.52% drop .