Rating Downgrade Dampens Joby Aviation (JOBY)

We recently published a list of Investors Are Dumping These 10 Stocks. Joby Aviation, Inc. (NYSE:JOBY) is one of the worst-performing stocks on Thursday.

Joby Aviation declined by 7.16 percent at intraday trading on Thursday at $8.94 apiece following Cantor Fitzgeral’s downgraded rating on its stock.

On Thursday, the investment firm lowered its outlook to “neutral” from “overweight” previously given the company’s recent share price rally and lack of near-term catalysts.

However, Cantor Fitzgerald said that Joby Aviation, Inc. (NYSE:JOBY) remains one of the best-positioned companies in the electric vertical takeoff and landing (eVTOL) industry, supported by its partnerships with Toyota Motors Corp., Delta Air Lines, and the US Department of Defense.

The stock, however, was already up by 60 percent over the past three months and 90 percent over the past year.

“We don’t see current levels as a good entry point for investors,” Cantor Fitzgerald said.

In recent news, Joby Aviation, Inc. (NYSE:JOBY) earned a boost from President Donald Trump’s new executive order aiming to unleash “American Drone Dominance,” which aims to ramp up the adoption of eVTOL technology.

While we acknowledge the potential of JOBY as an investment, 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 extremely cheap AI stock that is also a major beneficiary of Trump tariffs and onshoring, see our free report on the best short-term AI stock.

READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires.

Disclosure: None.