Boeing vs. Joby Aviation: Which Airplane Manufacturing Stock Promises High-Flying Profits?

Investors looking at the future of flight face a choice between a legacy giant and a disruptive newcomer. Choosing between Boeing Co (NYSE:BA) and Joby Aviation (NYSE:JOBY) depends on your appetite for risk.

Boeing remains an essential provider of commercial jets and defense systems globally. Joby Aviation is building an electric air taxi service designed to bypass urban traffic. Comparing them means weighing a massive, recovering manufacturer against a high-growth start-up that is still working to bring its primary product to the mass market.

The case for Boeing

Boeing develops and services commercial airplanes and defense products for customers in over 150 countries, positioning it as a titan among industrial stocks. Its primary buyers include major commercial airlines and the U.S. government, specifically NASA and the Department of Defense. Customer concentration like this adds a layer of risk to the business.

In FY 2025, revenue reached approximately $89.5 billion, a 34.5% increase from the prior year. The company reported net income of roughly $2.2 billion for the period. This resulted in a net margin of about 2.5%, a notable improvement from the negative margin reported in the previous fiscal year.

As of its December 2025 balance sheet, the debt-to-equity ratio was nearly 10x, indicating that total liabilities are 10 times shareholder equity. The so-called current ratio, which measures the ability to pay short-term obligations with short-term assets, was roughly 1.1x. Free cash flow, calculated as cash from operations minus capital expenditures, was approximately negative $1.9 billion for the fiscal year. Note that stock-based compensation (SBC) accounted for roughly 40% of operating cash flow, thereby inflating reported cash generation, since SBC is a non-cash expense added back in the cash flow statement.

The case for Joby Aviation

Joby Aviation is developing an all-electric vertical-takeoff-and-landing aircraft for an aerial ridesharing service. It maintains strategic partnerships with Delta Air Lines (NYSE:DAL) and Toyota Motor Corporation, along with contracts for the U.S. Air Force. The acquisition of Blade Urban Air Mobility helped the company gain an established customer base and infrastructure in key urban corridors.

In FY 2025, revenue jumped to nearly $53.4 million, a massive leap from the roughly $136,000 recorded in 2024. This growth was largely driven by its move toward full commercialization and the integration of its aviation service segments. Despite the higher revenue, Joby Aviation reported a net loss of approximately $930 million for the year.

As of its December 2025 balance sheet, the debt-to-equity ratio is 0.0x. This indicates that total debt is minimal relative to shareholders' equity. Free cash flow was negative at nearly $563.8 million, reflecting the significant cash used to build out its flight operations.

Risk profile comparison

Boeing faces risks from certification and production delays for its 777X and 737 aircraft programs. It also manages complex supply chain constraints while integrating Spirit AeroSystems into its operations. Finally, the company relies on fixed-price contracts for defense programs, which can lead to losses if costs exceed expectations.

Joby must navigate the regulatory hurdles of obtaining FAA type certification and production approval before it can launch commercial services. The company also faces recurring net losses and depends on a single aircraft type for its initial rollout. Competition in the space includes Archer Aviation Inc (NYSE:ACHR), which is also pursuing the urban air mobility market.

Valuation comparison

Boeing offers a more traditional valuation based on future earnings estimates, whereas Joby Aviation is valued almost entirely on its speculative revenue potential.

Valuation metrics sourced from Financial Modeling Prep (FMP) and may differ from other data providers.

Which stock would I buy in 2026?

Boeing is still working to recover from safety and supply chain issues. While revenue will rise about 9% to $97.7 billion this year, the company's net income will fall dramatically to around $85 million, according to consensus Wall Street analyst forecasts, hence its very high forward P/E ratio.

But don't count Boeing out. It is among the largest aerospace and defense companies, giving it excellent long-term prospects due to its leading position in the growing commercial aerospace industry. In the first quarter of its current fiscal year, the order backlog rose in the double digits, setting a new record. Backlogs mean future sales are strong and show the industry believes in the business.

In 2025, the U.S. federal government created the framework for real-world testing of eVTOL aircraft, a concrete step toward making Joby's vision a reality. Japan, South Korea, and Saudi Arabia are other countries building similar regulatory frameworks. A lot still has to happen for either company's aircraft to get into the skies, but the notion that the nation's airspace is being regulated in a way that is holding back growth is one that has found favor.

Joby recently tested its Blade aircraft in New York City across different charging environments and on real-world routes it proposes, such as flying from JFK Airport, on the city's outskirts, into Manhattan. Joby is further along with its manufacturing capabilities, embedding Toyota philosophies throughout its system. Even though it is further along the path to market, analysts don't see Joby turning a profit through 2030, a year in which consensus projects $2.3 billion of revenue and a net loss of around $195 million.

It's tempting to go for a more speculative stock like Joby to grab a potential huge payoff, but Boeing is too essential to the U.S. economy and defense industry that, while it may never be a growth stock, it is certain to churn out value for long-term shareholders.

Brendan Coffey has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Boeing. The Motley Fool recommends Delta Air Lines. The Motley Fool has a disclosure policy.