Why Joby Aviation Stock Is Flying High Today
Delta Air Lines (NYSE: DAL) will invest at least $60 million in Joby Aviation (NYSE: JOBY) as part of a broader plan to partner with the air taxi start-up. Shares of Joby opened up as much as 15% on the news, which was viewed as an endorsement of the company's business plan and technology.
Joby is one of a number of companies to come public over the last 18 months focused on developing electric airplanes capable of vertical takeoffs and landings, or eVTOLs. The aircraft are designed to complement the jumbo jets that take passengers across continents by offering quick hops across a metropolitan area.
The planes are still experimental, but Delta has apparently seen enough in Joby to be a believer. On Tuesday, the airline giant announced an initial investment of $60 million in the company that could grow to $200 million over time, should Joby meet certain milestones.
Source Fool.com
