Cathie Wood Bets $10 Million on Joby Aviation, Doubling Down on the "Flying Taxi" Future
In a bold move emblematic of her investment philosophy, star fund manager Cathie Wood has seized on recent market weakness to pour over $10 million into Joby Aviation (NYSE: JOBY), a leading developer of electric vertical takeoff and landing (eVTOL) aircraft.
Through ARK's exchange-traded funds on January 29, Wood acquired 781,519 shares of the "flying taxi" company. This substantial purchase underscores ARK Invest's long-term thesis centered on the transformative potential of autonomous mobility-as-a-service, with aerial transport as a cornerstone.
"We believe the air taxi industry is on the cusp of reality," Wood stated in a past interview, framing the sector as a frontier for technological disruption. Her latest investment, however, comes at a pivotal juncture for Joby. The stock, a high-flyer in 2025, has faced significant pressure in 2026, declining over 37% in the past six months. This slump followed a major capital raise that increased the share count, sparking dilution concerns among some investors.
Analysts point to 2026 as a definitive "show me" year for the company. Joby is navigating the rigorous final stages of Federal Aviation Administration (FAA) certification—a process critical for commercial launch—while managing the immense costs of scaling manufacturing and operations. The company's financials reflect this pre-revenue, capital-intensive phase: it ended its last quarter with nearly $978 million in cash but reported net losses exceeding $1 billion over the past year.
Despite the challenges, Joby is methodically building its operational foundation. Its acquisition of urban air mobility service Blade provides a tangible bridge to the market, having transported 40,000 fee-paying passengers in New York and Europe last quarter. Integration with the Uber app further seeds future demand. The company is also progressing with flight testing, having recently powered its first FAA-conforming prototype.
The stakes are undeniably high. Success in certification and scaling could unlock a vast market; consultancy PwC forecasts the global eVTOL sector ballooning from $11.4 billion to $87.8 billion within a decade. Failure or significant delays, however, could jeopardize the company's path. Wood's bet is a high-conviction wager that Joby will clear these formidable hurdles and redefine urban transportation.
Market Voices: A Divided Sky
David Chen, Portfolio Manager at AeroSpace Capital: "Wood's purchase is a calculated contrarian play. The dilution was painful, but it secured vital runway. Joby's tangible progress with Blade and the FAA is often overlooked in the short-term noise. They are arguably the closest to market in a winner-take-most emerging industry."
Rebecca Vance, Independent Retail Investor: "I'm excited but cautious. The vision is incredible—imagine skipping traffic! I've added a small position alongside ARK, but it's a tiny part of my portfolio. This is pure speculation on a future that's not yet guaranteed."
Marcus Thorne, Editor at Skeptical Markets Digest: "This is classic Wood: throwing good money after a bad narrative. Joby is a cash incinerator with a beta of 2.6, meaning it's 2.5 times wilder than the market. They're years from meaningful revenue, buried in regulatory red tape, and just massively diluted shareholders. This isn't 'buying the dip'; it's subsidizing a science project with investor capital."
Dr. Anika Sharma, Transportation Futurist at Stanford: "The volatility is inherent to deep-tech moonshots. The strategic pieces—technology, partnerships, regulatory pacing—are aligning for Joby. Wood's investment is less about next quarter's earnings and more about a fundamental belief in the architectural shift of cities away from ground-bound congestion."