Serve Robotics (SERV) Strengthens Uber Eats Partnership, Gains Analyst Confidence

Serve Robotics Inc. (NASDAQ:SERV) ranks among the top robotics to buy according to analysts. Cantor Fitzgerald reaffirmed its Overweight rating and $17 price target for Serve Robotics Inc. (NASDAQ:SERV) on August 12 due to the company’s strong unit economics and key alliances. The firm emphasized that in the second quarter, Serve Robotics deployed 120 robots, increasing its fleet size to 400 units. The fleet size would double in the third quarter, and management reaffirmed its intentions to deploy about 2,000 robots by year’s end.

This month, Serve Robotics Inc. (NASDAQ:SERV) intends to begin operations in Chicago, extending its reach even farther. The company continues to capitalize on its alliance with Uber Eats, which is both its biggest client and its biggest investor, owning about an 8% stake.

Serve Robotics Inc. (NASDAQ:SERV) also benefits from a manufacturing partnership with Magna that permits a low-capital expenditure strategy, according to Cantor Fitzgerald. The firm anticipates Serve to offer a more affordable long-term per-delivery fee than the typical courier fare, which is about $8.

With an emphasis on food delivery in the US, Serve Robotics Inc. (NASDAQ:SERV) designs and develops autonomous, low-emission, sidewalk delivery robots. In 2021, the company split from Uber to become a separate company.

While we acknowledge the potential of SERV to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than SERV and that has 100x upside potential, check out our report about this cheapest AI stock.

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Disclosure: None. This article is originally published at Insider Monkey.