10 Stocks Under $10 With High Potential

2. Joby Aviation, Inc. (NYSE:JOBY)

Share Price: $5.03

Analyst Upside Potential: 88.87% 

Joby Aviation, Inc. (NYSE:JOBY) is a transportation company that focuses on developing electric air taxis for commercial passenger service and logistic transportation. The company is engaged in developing an electric vehicle that can vertically take off and land as a helicopter but will fly like an airplane. The taxis designed by the company have the potential to carry a pilot and four passengers while traveling at a speed of 200 miles per hour.

While all of this seems to be decades away from reality, however as per the company’s second-quarter earnings release it has rolled its third production prototype aircraft off the company’s pilot production line in Marina. Moreover, it expects four aircraft to be in active flight testing during the next quarter.

The global helicopter market was valued at $57 billion in 2022 and is expected to grow at a steady rate to reach $76 billion by 2030. Within the greater market, the light and ultralight aircraft are projected to reach $18 billion by 2028. It is expected that Joby Aviation, Inc. (NYSE:JOBY) will capture at least 20% of the market by 2040.

If the expectations come true, it will mean that the company will have a valuation of around $15 billion and margins of 15% resulting in a solid growth-oriented company.

Joby Aviation, Inc. (NYSE:JOBY) has already applied for certification in Australia and signed a memorandum of understanding with Mukamalah, a wholly-owned subsidiary of Saudi Aramco to introduce its aircraft for direct sales in the kingdom.

Looking at its balance sheet, the company maintained a strong $825 million in cash and short-term investments by the end of the second quarter of 2024. Analysts are vouching for its growth and JOBY is one of the best stocks under $10 with high potential.