11-Percent Drop Follows Three Public Demonstration Flights in California

Joby Aviation managed to pull off the full Silicon Valley cycle this week: exciting public demos, bold promises about the future of air mobility, and a sharp stock drop to top it off. The Santa Cruz-based air taxi startup announced a $514 million stock sale on October 7, pricing 30.5 million new shares at $16.85 per share. This marked a roughly 11 percent discount, viewed by investors as the company’s way of acknowledging that it’s still not generating profits.

The company framed the offering as fuel for aircraft certification, manufacturing, and other general needs. Specifically, Joby needs cash to keep developing its not-yet-commercial S4 air taxi and pay the bills while waiting for the FAA’s blessing.

The major drop came just days after Joby paraded its aircraft around Salinas at the California International Airshow, completing a set of quick vertical takeoff-and-landing flights between the airshow campus and Marina. The short flights showcased exactly the kind of operation Joby hopes to serve with its air taxis, allowing passengers to bypass 40-minute car rides in bumper-to-bumper traffic.

Joby plans to repeat the performance at Expo 2025 in Osaka as part of a partnership with ANA Holdings. It’s also laying the groundwork for a 2027 air taxi service in the UAE and hammering down the details of its recent acquisition of Blade Air Mobility’s passenger business, so don’t let the balance sheets concern you too much: Joby is headed in the right direction, and fast.

Plus, despite the plunge, Joby’s stock has already climbed more than 130 percent in 2025. The stock offering just serves as a necessary reminder that there’s a lot more to getting flying Ubers than just the engineering.

Joby’s aircraft is truly an impressive creation, finally taking the stage after more than 10 years of development. It is powered by six electric motors, propelling it to a top speed of nearly 200 mph. The eVTOL is relatively spacious as well, comfortably carrying one pilot and four passengers. Unlike traditional aircraft, it targets quiet and sustainable operation for short urban hops.

FMI: www.jobyaviation.com