Joby Aviation (NYSE:JOBY) shares are up nearly 7% in the morning session today after the electric vertical take-off and landing (eVTOL) aircraft developer delivered its first aircraft to Edwards Air Force base. Impressively, the company made the delivery nearly six months before the expected delivery date in 2024.
The delivery is part of the company’s $131 million contract with the Department of Defense (DoD), and the company believes this was the first delivery of an electric air taxi in the U.S.
The aircraft has its task cut out. It will be operated by both Joby and U.S. Air Force personnel and will be used to demonstrate cargo and passenger transportation missions. Additionally, the aircraft will also be used by NASA to evaluate how these aircraft can be used in the national airspace.
The company’s work with the DoD now represents a total potential contract value of nearly $163 million. Recently, Joby announced plans to set up its first scaled aircraft production facility in Dayton, Ohio. The facility is expected to support the production of up to 500 aircraft annually.
Is JOBY a Good Stock to Buy?
Overall, the Street has a consensus price target of $8 on Joby, alongside a Hold consensus rating. This points to a 19% potential upside in the stock.
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