Morgan Stanley, Canaccord Cut Joby Aviation Price Targets After Q1 Update

Morgan Stanley and Canaccord Genuity have lowered their price targets on Joby Aviation (NYSE: JOBY) following the company's first-quarter update, reflecting a more measured outlook on the electric vertical takeoff and landing (eVTOL) aircraft developer.

On May 7, Morgan Stanley analyst Kristine Liwag reduced the price target on Joby Aviation to $13 from $15, while reiterating an Equal Weight rating. The analyst noted that recent progress, particularly around eIPP participation and public flight demonstrations, has improved visibility into several important milestones expected in 2026. On the same day, Canaccord analyst Austin Moeller lowered the price target to $11.50 from $15.50, maintaining a Hold rating. The firm updated its model following the company's Q1 results.

For traders, the dual price target cuts signal that while Joby is making operational progress, near-term profitability remains distant, and valuation may be stretched relative to current fundamentals. The eVTOL sector is capital-intensive and heavily dependent on regulatory approvals and commercialization timelines. Investors should monitor upcoming milestones and cash burn rates. For current pricing on Joby Aviation and other aerospace stocks, check NowPrice's equities page.

Looking ahead, key catalysts include Joby's progress toward type certification with the FAA, any additional partnerships or orders, and the company's ability to manage its cash runway. The next earnings report and any updates on production timelines will be closely watched by the market.