Investors could see their portfolios take off in 2024 by investing in leading flying car stocks poised for substantial growth. Projections hint at a potential $3.8 billion market by 2035 and an explosive $1.5 trillion opportunity circa 2040.
Notably, publicly traded companies in the sector are crafting electric vertical takeoff and landing (eVTOL) vehicles, often termed flying cars, with characteristics closer to electric helicopters. These eVTOLs represent the latest frontier in transportation innovation. The advent of flying cars not only poses a competitive threat to traditional transportation modes, it unlocks diverse opportunities across sectors. Therefore, investing in these three popular and promising flying car stocks is the best move to make right now.
Archer Aviation (ACHR)
Archer Aviation (NYSE:ACHR), a key eVTOL player, is set to revolutionize urban air mobility with a projected market worth nearly $37 billion by 2035. United Airlines’ (NASDAQ:UAL) $1 billion order and a $150 million equity injection from Stellantis (NYSE:STLA) highlight Archer’s substantial progress in aircraft manufacturing. The company aims to launch air taxi services in Abu Dhabi and Dubai by 2026, and recently secured a deal with Air Chateau International for 100 Midnight aircraft, valued up to $500 million.
In 2023 the company witnessed market fluctuations, initially rising to almost $7, then dipping to $4.45 amid broader market changes. Despite this, it remains a noteworthy investment opportunity for flying car stocks. Encouragingly, Barclays analysts raised their price target on ACHR to $6.50, citing progress in its eVTOL technology, indicating a maturing capital market.
Joby Aviation (JOBY)
Joby Aviation (NYSE:JOBY) competes closely with Archer Aviation in the eVTOL market. Both companies, vying for success in the flying car industry, share military contracts and demonstrate commitment to aerospace integration through simulations with NASA. Joby, making strides toward Federal Aviation Administration (FAA) certifications, saw an impressive 45% stock surge in 2023.
Recently, NASA and Joby Aviation completed simulations assessing eVTOL aircraft integration into busy airspace. The trials at Dallas-Fort Worth International Airport involved up to 120 air taxi movements per hour alongside existing commercial traffic. Overcoming airspace congestion is a crucial challenge for the eVTOL sector as it strives to initiate passenger flights by the mid-2020s.
Lilium N. V. (LILM)
Lilium (NASDAQ:LILM) achieved a significant milestone with the European Union Aviation Safety Agency’s (EASA) approval for its Lilium Jet, marking a pivotal moment in the company’s development. Partnering with Lufthansa Group and CITIC Offshore Helicopter, Lilium will expand eVTOL operations in Europe and China, showcasing strategic growth. Collaborations with Michelin and InoBat underline Lilium’s commitment to technological innovation, positioning it uniquely in the dynamic flying car market.
The company also commenced Lilium Jet production last year, marking a transition from design to industrialization. The fuselage arrived at the final assembly line, while Tier 1 suppliers Aciturri and Aernnova increased production of aircraft parts. The next steps include joining the fuselage with canards and wings at Lilium’s advanced facilities in Wessling, Germany. All these positive milestones make LILM a good flying car stock investment to consider in 2024.
On the date of publication, Chris MacDonald 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.
