Soaring from the pages of science fiction into reality, flying cars are igniting the skies of innovation. Moreover, amidst the choppiness in the stock market, the valuations of top flying car stocks have become more attractive, presenting a long-term opportunity for forward-thinking investors. Currently, a handful of trailblazing companies are steering the development of these aerial vehicles, making it a rather opportune moment to invest in these high-potential stocks.
Flying car stocks aren’t just about futuristic aspirations. They also embody disruptive innovation in aviation. These enterprises are crafting new transportation avenues, offering passengers unprecedented experiences in the travel realm. They also boast a variety of applications including enhancing warehousing logistics as well as revolutionizing search and rescue, emergency responses and even combat scenarios. This practicality, coupled with their novelty, positions flying car stocks for spectacular long-term gains ahead.
Joby Aviation (JOBY)
Joby Aviation (NASDAQ:JOBY), an electric vertical take-off and landing (eVTOL) aircraft trailblazer, has witnessed its shares rise by more than 67% year-to-date (YTD). This surge in the market is a testament to the firm’s pioneering efforts in electric air travel. Most recently, Joby marked a significant milestone by launching the first-ever electric air taxi flight in New York City. The company has aligned with Delta Airlines (NYSE:DAL) to make New York City a critical early market and is awaiting Federal Aviation Administration (FAA) certification.
On the technical front, Joby’s aircraft has astonishingly completed 84% of the FAA Stage 3 certification requirements. The firm’s vision for 2025 includes the launch of a commercial service, ushering in a new era in urban mobility. Notably, production remains in full swing, with three aircraft currently being assembled at its pilot production facility. This powerful production line is backed by a substantial $131 million order backlog from the U.S. Department of Defense (DOD).
Financially, Joby is in a robust position with a $264 million investment in research and development within the first nine months of 2023 alone. This commitment to innovation minimizes concerns over cash burn and places Joby in a formidable position for long-term expansion, making it a top flying car stock to buy right now.
Lilium N.V. (LILM)
Lilium N.V. (NASDAQ:LILM), a German company, is another promising eVTOL innovator, captivating the flying car market as an undervalued stock poised for long-term growth. The company raised an impressive $192 million from major German tech investors, advancing the development of its distinct Lilium Jet. This design, featuring multiple small electric engines, uniquely positions Lilium in the eVTOL space.
October brought great news to Lilium’s investors. The firm began assembling the electric propulsion system for the Lilium Jet in Germany, advancing towards industrialization. Adding to this, Lilium has secured major certifications from both the European Union Aviation Safety Agency (EASA) and FAA, a rare achievement in the eVTOL sphere. Expanding globally, Lilium has forged a significant partnership in China’s Shenzhen district, including a preliminary agreement for 100 jets. On top of that, a partnership with ArcosJet for 10 jets and exclusive distribution rights in the Middle East signals Lilium’s readiness to revolutionize eco-friendly air travel within the next three years.
For investors looking for one of the top flying car stocks to buy right now, they should definitely take a look at LILM.
EHang (NASDAQ:EH) is an autonomous aerial vehicle sector leader and has emerged as one of the most attractive eVTOL investment options in recent years.
In October, it achieved a significant milestone when it received certification from the Civil Aviation Administration of China (CAAC) for its passenger-carrying unmanned aerial vehicle. This certification is critical in setting the stage for robust revenue growth in 2024 and beyond. Additionally, EHang’s global expansion efforts are noteworthy. As of July, the company has completed 39,000 trial flights across 14 countries in the Americas, Europe and Asia, pointing to its vast market potential.
EHang’s situation is financially stable, with a reported $44.9 million in cash and equivalents as of July. While equity dilution in the next year should support aggressive growth, this will unlikely raise concerns. The company’s promising business developments and expected revenue growth in the next five years paint an optimistic future for EHang and its investors, making it one of the best flying car stocks to buy this year.
On the date of publication, Muslim Farooque did not hold (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.