Joby Aviation Stock: Is It a No-Brainer Buy at $5?

What's wrong with Joby Aviation (NYSE:JOBY) stock? That's the question many investors are likely asking right now, with the stock plummeting more than 60% already in 2026. Last year, the stock was soaring, and there was plenty of optimism surrounding its future.

Today, however, investors appear to be much more cautious around the company, which hopes to one day be a leader in the electric vertical takeoff and landing (eVTOL) market. It hasn't obtained approval for its air taxi yet, but it has been making progress.

Joby's stock hit a new 52-week low on Tuesday, falling to less than $5. Given its promising growth potential, is it a no-brainer buy at this price point?

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Have investors gotten frustrated?

Joby has been nearing FAA certification for its air taxi, but investors have been left waiting. Earlier this year, the company announced it had been selected as a partner for the White House's eVTOL Integration Pilot Program (eIPP), which the company hoped may have "the potential to significantly accelerate Joby's path to commercial service."

When the company released its most recent quarterly results in August, it stated it was in the final stage of FAA Type Certification. Despite all the test flights and progress, investors may be discouraged that the company has not yet launched commercial operations at this point. It has been demonstrating the effectiveness of its air taxis with test flights, but alas, investors may be eagerly awaiting the green light for when commercial operations actually commence.

Could Joby's stock take off before the end of 2026?

Joby's stock is now trading around multi-year lows, levels it has been at since 2024. At a market cap of around $5 billion, it could make for an intriguing investment right now, given the potential for it to soar if its aircraft obtains approval from regulators, hopefully before the end of the year -- but that's by no means a guarantee.

Its inclusion in the eIPP should, however, give investors reason for some cautious optimism that Joby will inevitably commence operations. While there's no certainty as to when that might happen, once it does, the excitement around the stock could return, potentially making Joby a hot buy again.

Unfortunately, there's still a lot of risk with Joby's stock, because while it may have some enticing growth opportunities ahead, even if it does commence commercial operations, it may still be a long time before it has a path to profitability and is generating significant revenue.

For investors who are willing to be patient and who are comfortable with the risk, it may be worth buying. But for more risk-averse investors, this may be a stock more suitable to put on a watch list.

David Jagielski, CPA has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.