Growing up, I was fascinated by the “The Jetsons” and their futuristic gadgets. One that caught my eye was their flying cars. Today, that idea no longer seems like a pipe dream. Several new companies have the vision to dedicate their capital and time to building these flying cars. However, the big names are also tossing their hats into the ring, racing to be the first to achieve commercial viability. So, it’s natural that investors might want to start looking into flying car stocks before everybody else gets in on the action. 

Just as you wouldn’t buy any old stock, you wouldn’t want to buy any old flying car stock — at least without doing a little research first. Investors need to look for companies with a combination of good cash flow, great industry connections, excellent prospects and a promising product line. And since the industry is still in its infancy, it might be difficult to find candidates that match those criteria. Difficult—but not impossible.

So, in this article, I’ll cover three quality companies that could be the next high-flying flying car stocks – ones with the potential to lead the way in making air taxis the next trillion-dollar market opportunity. To compile my list, I used the criteria below to screen the market: 

• Positive latest full-year earnings and revenue,
• Minimum of a buy rating rating from analysts.

I then sorted the list based on the highest to lowest earnings growth in the latest fiscal year and took the top three.

Embraer SA (ERJ)

Brazil’s largest aircraft manufacturer, Embraer SA (NYSE:ERJ), has extensive experience in building eVTOLs through its subsidiary, Eve Air Mobility. Embraer’s expertise and strong brand recognition is expected to bolster Eve’s reputation as a potential major player in the flying taxi market. Leveraging its parent company’s infrastructure, assets, and industry connections, Eve Air benefits from reduced skepticism associated with high-risk pioneering technologies. After all, brand-name trust is a proven way to improve recognition—and sales. 

Wall Street recognizes the potential of ERJ stock, giving it a consensus strong buy rating and making it one of the most attractive flying car stocks today. This confidence seems justified, as the company’s 2023 revenue grew by 16% year-over-year, and its 2022 net loss of $1.01 per share turned into an 89-cent profit—representing an impressive 188% improvement. 

The Boeing Company (BA)

The Boeing Company (NYSE:BA) has been known as a premier manufacturer of commercial airplanes for decades. So, to no one’s surprise, it has recently ventured into the urban air space. Initially a joint venture with the advanced mobility startup Kitty Hawk, Boeing eventually acquired Wisk in 2023, marking its first step into the eVTOL market. 

This acquisition is a significant advantage for Wisk, allowing the subsidiary to fully utilize Boeing’s expertise in testing, product development, experience, and certification. The company’s latest eVTOL, named Generation 6, is a four-seat air taxi designed to transport up to four passengers, with additional room for luggage. It is also the first operational air taxi to offer autonomous travel with human oversight. 

Additionally, Wisk recently acquired Verocel, a software validation and verification company, which will enhance its autonomous features’ testing and development.

Meanwhile, the company’s overall performance hasn’t been all that bad this last year. In 2023, Boeing reported a 17% increase in revenue YOY. Further, net losses narrowed from $8.30 to $3.67 per share, marking a 56% improvement in bringing the bottom line back closer to profitability. So, if you want exposure to flying car stocks without going all-in on an air taxi company, then BA stock may be right for you.

Honeywell International (HON)

Honeywell International (NASDAQ:HON) operates in various industries, including software, safety and productivity solutions, and aerospace. The company has also entered the urban air mobility (UAM) market—not as a participant, but a facilitator. 

Although Honeywell is not an eVTOL manufacturer, it plays a significant role in the industry. So far, the company has secured $10 billion in revenue from eVTOL-related contracts.

Honeywell engineers are developing aviation technologies tailored to the needs of UAM aircraft. Among these innovations is their fly-by-wire system, a compact control computer customized for UAM aircraft, approximately the size of a paperback book. In addition, its cloud-linked avionics system has been chosen by Vertical Aerospace and Lilium Jet as their main system of choice. 

The company also parterns with eVTOL manufacturers such as Lilium, Pipistrel, Vertical Aerospace, and Hyundai’s Supernal. Infact, earlier this year, Eve Air also selected Honeywell as its supplier for sensor and navigation systems.

In terms of Honeywell’s financials, the company reported a 3% YOY increase in sales for 2023. This led to basic EPS increasing 16% from $7.33 to $8.53. So, it’s no surprise why Wall Street continues to rate it as a strong buy. 

On the date of publication, Rick Orford 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.

On the date of publication, the responsible editor did not have (either directly or indirectly) any positions in the securities mentioned in this article.