Back to top

Image: Bigstock

Joby to Buy Blade's Passenger Unit for up to $125M: What's Ahead?

Read MoreHide Full Article

Key Takeaways

  • {\"0\":\"JOBY will buy BLDE\'s passenger unit for up to $125M, gaining routes and infrastructure in NYC.\",\"1\":\"Blade will retain its medical division, partnering JOBY for organ transport as Strata Critical Medical.\",\"2\":\"The deal could speed JOBY\'s air taxi rollout, lowering vertiport costs and boosting customer access.\"}

Joby Aviation (JOBY - Free Report) , a leading player in the electric vertical takeoff and landing (eVTOL) space, announced that it has inked a deal to buy the helicopter ride-share operator Blade Air Mobility’s (BLDE - Free Report) urban air mobility passenger business for up to $125 million. Blade sells per-seat helicopter trips from New York City to nearby airports and resort towns. Following the closure, Blade’s passenger operations will continue to be led by its founder and CEO, Rob Wiesenthal, as a wholly-owned subsidiary of Joby.

The acquisition, if it goes through, would provide Joby with a ready-made market for the aircraft. Joby would have direct access to Blade’s existing urban air routes and infrastructure, particularly in NYC. This would strengthen its position in medical logistics. No wonder shares of both JOBY and BLDE saw an uptick in pre-market trading on Aug. 4, following the report.

Blade's Medical division is not included in the transaction. So BLDE will become a Pure-Play Medical Services and Logistics Business, following the closure of the deal. The unit will partner with Joby on medical transportation. Under the conditions of the deal, Joby will become the preferred VTOL partner to Blade's organ transport business. This will remain a separate public entity to be re-named Strata Critical Medical.

The deal, on materialization, will allow Joby to combine its technology with Blade’s experience in delivering premium customer transportation at scale. By making use of Blade’s existing infrastructure and gradually transitioning its large passenger base from conventional helicopters to next-generation Joby aircraft, the latter anticipates bringing down infrastructure investment requirements and customer acquisition costs. The above announcement by Joby is, therefore, in line with its efforts related to air taxi commercialization. Joby aims to start carrying passengers in Dubai next year.

The deal, on materialization, is likely to provide Joby a head start over competitors by providing market access and scale as mentioned above, while reducing costs for new vertiports and customer acquisition. Investors are, therefore, likely to eagerly await further updates concerning the deal.

Taking a Look at the Growth Drivers of JOBY’s Key Peer

Archer Aviation (ACHR - Free Report) , another prominent eVTOL aircraft developer, is currently in the final stages of the commercial rollout of its flagship Midnight aircraft to offer short-haul air taxi services. Strong government and commercial collaborations strengthen Archer Aviation’s position in the expanding eVTOL market.

In June 2025, Archer Aviation signed an agreement with Indonesia’s PT. IKN to deploy its Midnight eVTOL aircraft, making Indonesia the third country in the Launch Edition program. The goal is to build a clear path to commercial use of its Midnight aircraft before receiving full certification in the United States, following similar plans in the UAE and Ethiopia. Archer Aviation recently signed a strategic partnership with Jetex.

JOBY’s Price Performance, Valuation & Estimates

Shares of JOBY have surged in triple digits in a year, easily outperforming its industry.

1-Year Price Comparison

Zacks Investment ResearchImage Source: Zacks Investment Research

From a valuation perspective, Joby is trading at a premium compared with the industry average. In terms of price-to-book value, JOBY is trading at 15.81X, higher than the industry’s average of 3.51X.

Zacks Investment ResearchImage Source: Zacks Investment Research

The Zacks Consensus Estimate for JOBY’s 2025 and 2026 losses has remained stable over the past 30 days.

Zacks Investment ResearchImage Source: Zacks Investment Research

JOBY’s Zacks Rank

JOBY currently carries a Zacks Rank #4 (Sell).

You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here


See More Zacks Research for These Tickers


Normally $25 each - click below to receive one report FREE:


Blade Air Mobility, Inc. (BLDE) - free report >>

Joby Aviation, Inc. (JOBY) - free report >>

Archer Aviation Inc. (ACHR) - free report >>

Published in