Pony AI Inc. Sponsored ADR (PONY) AI Stock Analysis

• Market Cap: $6.47B
• Dividend Yield: N/A
• Average Volume (3M): 8.50M
• Price to Earnings (P/E): ―
• Beta (1Y): 2.79
• Revenue Growth: 4.27%
• EPS Growth: -120.11%
• Country: US
• Employees: 1,460
• Sector: Industrials
• Sector Strength: 72
• Industry: Rental & Leasing Services
• EPS (TTM): -0.14
• Shares Outstanding: 274,203,800
• 10 Day Avg. Volume: 5,232,251
• 30 Day Avg. Volume: 8,496,105
• PEG Ratio: -0.01
• Price to Book (P/B): 1.72
• Price to Sales (P/S): 21.87
• P/FCF Ratio: -13.43
• Enterprise Value/Market Cap: 0.66
• Enterprise Value/Revenue: 49.76
• Enterprise Value/Gross Profit: 292.30
• Enterprise Value/Ebitda: -13.03
• 1Y Price Target: $26.62
• Price Target Upside: 21.72% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 5

• Rating: 52 Neutral
• Price Target: $22.00 ▲(0.59% Upside)

Pony AI Inc.'s overall stock score is primarily influenced by its strong earnings call, which highlighted significant revenue growth and strategic advancements. However, financial performance issues, including profitability and cash flow challenges, weigh heavily on the score. Technical indicators provide some positive momentum, but valuation concerns due to negative earnings and lack of dividends further impact the overall assessment.

Positive Factors

Revenue Growth

The significant revenue growth indicates strong demand for Pony AI's services, enhancing its market position and supporting long-term expansion.

Global Expansion

Global expansion into key markets strengthens Pony AI's competitive edge and diversifies its revenue streams, supporting sustainable growth.

Cost Optimization

Significant cost reductions improve margin sustainability, enhancing profitability and financial health in the long term.

Negative Factors

Profitability Challenges

Persistent profitability issues indicate challenges in cost management and pricing strategy, potentially impacting long-term financial stability.

Cash Flow Issues

Ongoing cash flow difficulties may constrain operational flexibility and investment capacity, hindering growth and stability.

Increased Operating Expenses

Rising operating expenses could pressure margins and profitability, necessitating improved cost control for sustainable growth.

Pony AI Inc. Sponsored ADR Business Overview & Revenue Model

Company Description

Pony AI Inc., through its subsidiaries, engages in the autonomous mobility in the People's Republic of China and the United States. The company provides robotruck services, such as transportation services to the logistics platforms. It also offers robotaxi services, including a suite of AV engineering solutions comprising AV software deployment and maintenance, vehicle integration and engineering, and road testing; and fare-charging robotaxi services. In addition, the company offers personally-owned vehicle intelligent solutions, including intelligent driving software solutions, proprietary vehicle domain controller products, and data analytics tools; vehicle integration services, software development, and licensing services; and vehicle-to-everything (V2X) products and services to enhance road safety. The company was incorporated in 2016 and is based in Guangzhou, the People's Republic of China.

How the Company Makes Money

Pony AI generates revenue by providing autonomous driving technology and services to automotive manufacturers, ride-hailing companies, and logistics firms. The company forms strategic partnerships with automotive OEMs to integrate its self-driving systems into their vehicles, enabling them to offer autonomous driving capabilities to consumers. Additionally, Pony AI monetizes its technology through pilot programs and commercial deployments of autonomous ride-hailing and goods delivery services in select markets. These initiatives not only validate Pony AI's technology but also create direct revenue streams from transportation services. The company may also receive funding from investors and strategic partners, which supports its research and development efforts.

Pony AI Inc. Sponsored ADR Financial Statement Overview

Summary

Pony AI Inc. shows revenue growth but faces significant profitability and cash flow challenges. The balance sheet is strong with low leverage, but operational inefficiencies and cash burn are concerns. Strategic cost management and capital utilization improvements are needed.

Income Statement

Pony AI Inc. shows a consistent increase in revenue over the years, with a TTM revenue of $76.64 million, up from $68.39 million in 2022. However, the company is struggling with profitability, as indicated by negative net income and EBIT margins. The gross profit margin is relatively low at 20.15% for TTM, and the net profit margin is significantly negative at -470.18%, reflecting substantial operational challenges. Despite revenue growth, the persistent losses highlight a need for improved cost management.

Balance Sheet

The balance sheet shows a strong equity position with stockholders' equity of $899.88 million in TTM, indicating a solid capital base. The debt-to-equity ratio is low at 0.01, suggesting limited leverage and financial risk. However, the equity ratio is high at 92.56%, which could indicate underutilization of debt financing. Overall, the balance sheet reflects stability, but the company may need to optimize its capital structure to enhance returns.

Cash Flow

Pony AI Inc. has negative free cash flow of -$145.8 million in TTM, which is concerning as it indicates cash burn. The operating cash flow to net income ratio is negative, suggesting operational inefficiencies. Despite substantial financing cash flow, the company struggles to generate positive cash flow from operations. This cash flow situation poses a risk to long-term sustainability unless addressed.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	85.74M	75.03M	71.90M	68.39M	8.12M
Gross Profit	14.60M	11.40M	16.88M	32.06M	6.31M
EBITDA	-327.43M	-277.16M	-128.90M	-153.94M	-201.56M
Net Income	-318.89M	-274.12M	-124.81M	-148.02M	-224.70M
Balance Sheet
Total Assets	991.05M	1.05B	747.12M	771.51M	708.94M
Cash, Cash Equivalents and Short-Term Investments	608.03M	745.01M	589.55M	577.90M	418.75M
Total Debt	16.75M	13.80M	7.36M	13.04M	0.00
Total Liabilities	126.78M	82.11M	51.94M	1.31B	1.11B
Stockholders Equity	853.36M	951.12M	684.03M	-551.49M	-402.10M
Cash Flow
Free Cash Flow	-140.70M	-122.16M	-120.51M	-166.80M	-171.54M
Operating Cash Flow	-131.21M	-110.76M	-115.42M	-154.77M	-146.14M
Investing Cash Flow	-313.01M	-181.27M	136.49M	49.33M	54.83M
Financing Cash Flow	431.70M	407.39M	89.76M	191.57M	121.87M

Pony AI Inc. Sponsored ADR Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 21.87
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For PONY, the sentiment is Positive. The current price of 21.87 is above the 20-day moving average (MA) of 21.03, above the 50-day MA of 18.48, and above the 200-day MA of 14.55, indicating a bullish trend. The MACD of 0.06 indicates Positive momentum. The RSI at 58.23 is Neutral, neither overbought nor oversold. The STOCH value of 53.13 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for PONY.

Pony AI Inc. Sponsored ADR Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
AL	―	$7.10B	7.72	12.59%	1.38%	8.08%	76.55%
AER	―	$21.52B	7.38	16.87%	0.88%	3.24%	4.46%
FTAI	―	$18.40B	40.99	263.05%	0.67%	55.05%	―
Sector *	―	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
PONY	―	$6.47B	―	―	―	4.27%	-120.11%
CAR	―	$5.13B	-2.44	―	―	-1.22%	-639.34%
HTZ	―	$1.59B	―	-350.48%	―	-7.58%	-225.06%

Pony AI Inc. Sponsored ADR Corporate Events

Pony AI Reports Revenue Surge Amidst Robotaxi Expansion

Pony AI Inc. announced a significant increase in revenue for the first nine months of 2025, driven by growth in its robotaxi and licensing businesses. The robotaxi segment saw increased revenue from overseas AV engineering projects and new customers in China, with public-facing orders nearly doubling compared to the previous year. Despite stable revenue from the robotruck sector, the company experienced a notable rise in domain controller sales within its licensing and applications business. This growth contributed to improved gross profit margins, particularly in the robotaxi and robotruck segments. However, the company continues to face net operating cash outflows and requires capital expenditure to support its expansion.

Pony AI Inc. Restructures Board Committees Ahead of Hong Kong Listing

Pony AI Inc. announced a restructuring of its board committees, effective upon the anticipated listing of its Class A ordinary shares on the Hong Kong Stock Exchange on November 6, 2025. The restructuring will divide the existing nominating and corporate governance committee into two separate entities: a nomination committee and a corporate governance committee. This strategic move is expected to enhance the company’s governance structure, potentially impacting its operational efficiency and market positioning.

Pony AI Achieves 300th Robotaxi Milestone, Aims for 1,000-Vehicle Fleet

On October 24, 2025, Pony AI Inc. announced reaching a significant production milestone with the completion of its 300th ARCFOX Alpha T5 Robotaxi, developed in partnership with Beijing Automotive Industry Corporation. This achievement is a crucial step towards their goal of a 1,000-vehicle fleet by the end of the year. The company also participated in the 2025 World Intelligent Connected Vehicles Conference in Beijing, showcasing its advancements in large-scale production and commercial deployment. This milestone underscores Pony.ai’s commitment to scaling its operations efficiently and advancing the commercialization of autonomous mobility, which is expected to enhance its market positioning and stakeholder value.

Pony AI Inc. Pursues Dual Primary Listing on Hong Kong Stock Exchange

On October 20, 2025, Pony AI Inc. announced its application for a dual primary listing on the Hong Kong Stock Exchange, alongside an initial public offering of its Class A ordinary shares. This move is part of the company’s strategy to expand its market presence and enhance its financial disclosures in compliance with Hong Kong Stock Exchange rules. The announcement highlights the company’s efforts to strengthen its industry positioning amid the rapidly evolving autonomous driving sector, which presents significant technical and commercial challenges.

Pony AI Receives CSRC Approval for HKEX Listing

On October 14, 2025, Pony AI Inc. announced that it has received a notice of filing from the China Securities Regulatory Commission regarding its proposed global offering and dual primary listing on the Hong Kong Stock Exchange. This move, pending approval and market conditions, signifies a strategic expansion for Pony AI, potentially enhancing its market presence and providing new opportunities for growth in the autonomous mobility sector.

Pony AI Inc. Reports Strong Q2 2025 Results and Expands Robotaxi Fleet

Pony AI Inc. announced its financial results for the second quarter of 2025, highlighting a 76% year-over-year increase in total revenues, with Robotaxi fare-charging revenues surging over 300%. The company has produced over 200 Gen-7 Robotaxi vehicles since mass production began in June and is on track to reach a 1,000-vehicle fleet by the end of the year. Pony AI’s operations have expanded to include fully-driverless services in Shanghai and strategic partnerships in Shenzhen, Dubai, South Korea, and Luxembourg, positioning the company for sustained growth and enhanced market presence.