H.C. Wainwright remains bullish on Joby after closing of Toyota first tranche

H.C. Wainwright notes that Joby Aviation (JOBY) has announced that Toyota Motor (TM), the company’s largest shareholder, has closed the first $250M tranche of a previously announced strategic investment. According to the press release, Joby intends to use the proceeds for certification and commercial production of Joby’s electric air taxi. The firm believes this timely close of Toyota’s $250M investment is indicative of stakeholder commitment toward commercializing Joby’s eVTOLs. As Wainwright has previously highlighted, 2025 is setting up to be a very news-heavy period for the eVTOL industry with multiple catalysts playing out on several fronts ranging from certification milestones to piloted flights. The firm believes this financing should support the company’s expected cash usage of $500M-$540M in 2025 and allow the company to take concrete steps towards setting up manufacturing infrastructure. Wainwright has a Buy rating on Joby with a price target of $9 on the shares.