Growth investors are seeing a lot of momentum build up in certain niches of the market today. Indeed, the market appears to be selective in picking specific sectors or companies seen as potential candidates to outperform in this environment. Among the winners from today’s price action is Joby Aviation (NYSE:JOBY). Currently, JOBY stock is up 10% at the time of writing on heavy volume.
Like so many de-SPAC (special purpose acquisition company) stocks, Joby Aviation has been on a rather bumpy ride of late. This de-SPAC has seen shares fluctuate below $8 per share and as high as $17 per share over the past year. That’s a rather wide range and invites investors to consider the volatility this stock may see on the horizon.
The company’s electric vertical takeoff and landing aircraft (eVTOL) is extremely unique and enticing. With the company set to bring these aircraft to market by 2024, there’s plenty of time for more volatility with this company’s share price. Accordingly, this is a stock that’s been reserved for the most aggressive growth investors out there.
However, today, sentiment appears to be growing bullish on this electric aircraft maker. Let’s dive into what’s driving this bullish price action with JOBY stock today.
JOBY Stock Higher on Bullish Analyst Rating
There’s bullish analyst ratings, and then there are really bullish analyst ratings. Today, Joby Aviation got a massive boost from a Morgan Stanley analyst who implied some rather impressive upside.
Indeed, the long-term potential of Joby’s disruptive product led to Morgan Stanley analyst Kristine Liwag placing a bull case price target range of $45 to $60 on this stock. At the upper end of this range, that implies upside of roughly six times where shares are trading at today.
Indeed, Liwag points out that this sort of scenario prices in everything going perfectly for Joby Aviation. There’s still a lot of work to be done in getting through regulatory hurdles and bringing the company’s product to market. However, the potential disruptive nature of this product denotes some rather intriguing potential. Accordingly, Liwag’s assessment is that “the risk reward skews to the upside,” leading to an overweight rating and a massive price target.
Today, investors are clearly taking note and diving feet first into JOBY stock.
On the date of publication, Chris MacDonald did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.