Barclays Just Downgraded JOBY Stock. Here's Why.

Joby Aviation (JOBY) shares tanked on Friday after Barclays questioned whether its certification lead could actually translate into market dominance. Analyst Anthony Valentini downgraded the air taxi company this morning to “Underweight” and cut his price target to $4, indicating potential upside of about 27% from current levels. 

Joby Aviation stock has already been a disappointment for investors in 2026, currently trading at less than half its price at the start of 2026.

What Made Barclays Downgrade JOBY Stock?

Valentini’s dovish argument challenges a key part of Joby Aviation’s investment story: the potential advantage of securing aircraft certification ahead of competitors.

According to the analyst, the company’s stated certification target suggests it expects to become the first electric vertical takeoff and landing aircraft (eVTOL) developer to secure approval. However, he doubts that an early lead would allow one company to dominate the industry.

Barclays also questions whether JOBY’s aircraft will offer enough payload capacity to address the full market. Its assessment suggests regulatory progress alone may provide an “incomplete measure” of the commercial potential, with aircraft capabilities also influencing the opportunity really available to JOBY shareholders. 

Technicals Also Warrant Selling JOBY Shares

Manufacturing capacity is another concern behind Valentini’s downgrade of JOBY shares.

The company lacks sufficient production capacity to capture a commanding market share even if it becomes the first developer to achieve certification, he told clients. 

Joby Aviation plans to manufacture aircraft, operate them, and provide servicing — responsibilities Barclays believes could prove challenging to manage simultaneously in an emerging industry. 

Together, those concerns underpin the bank’s conclusion that JOBY’s valuation premium is rather unwarranted. 

Barchart also currently holds a “100% SELL” average opinion on the eVTOL specialist, signaling technical momentum is not at all in its favor for the near term.

How Wall Street Recommends Playing Joby Aviation

Not all Wall Street firms are as bearish on JOBY stock as Barclays, though. While the consensus rating on the air taxi developer currently sits at “Hold,” analysts’ mean price target of about $10 suggests it could nearly double from here over the next 12 months. 

On the date of publication, Wajeeh Khan did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.