TLDR
- Joby Aviation and Toyota formed a new joint venture called Joby Toyota Aero Manufacturing Preparation Company (JTAMPC).
- The venture will build Joby’s S4 Series eVTOL air taxi aircraft.
- Toyota owns 51% of the JV while Joby holds 49%.
- JOBY stock rose about 4% on the news, while TM stock fell roughly 1.79%.
- Wall Street has a Hold rating on JOBY with a price target implying over 55% upside.
Joby Aviation (JOBY) stock climbed about 4% on Monday after the company announced a new manufacturing partnership with Toyota Motor (TM). Toyota stock moved in the opposite direction, slipping nearly 1.8% on the same day.
The two companies have been working together for almost a decade. This new deal takes that relationship a step further by creating an actual production company.
On June 29, Joby Aero, a subsidiary of Joby Aviation, and Toyota launched Joby Toyota Aero Manufacturing Preparation Company, or JTAMPC for short. The goal is simple: get Joby’s S4 Series eVTOL aircraft built at scale.
Today we're announcing the initial phase of a strategic manufacturing alliance with @ToyotaMotorCorp, establishing a joint venture to help realize air mobility for all.
This brings together Joby's pioneering work in electric aviation and Toyota's globally recognized expertise in… pic.twitter.com/fT4UxVlgXa
— Joby Aviation (@jobyaviation) June 30, 2026
Joby founder and CEO JoeBen Bevirt thanked Toyota for its long-term support. Toyota Chairman Akio Toyoda said air mobility fits naturally with the automaker’s mission of providing transportation for everyone, just extended from roads to the sky.
Ownership and Structure
Toyota is the majority partner here. The automaker bought 1,020,000 shares of JTAMPC for a 51% stake, while Joby picked up 980,000 shares for the remaining 49%.
A five-member board will oversee the venture, with Toyota appointing three directors and Joby appointing two. Big decisions like budget changes, new equity, or mergers need sign-off from both sides.
Joby is giving the venture exclusive rights to build the S4 aircraft, along with a royalty-free license for its intellectual property. Toyota is contributing its own manufacturing know-how, including a royalty-free license for jointly developed tech and a royalty-bearing license for some of its existing production methods.
The deal isn’t unconditional, though. It can be terminated if Joby misses funding milestones, loses FAA certification, or fails to meet production targets. Toyota also has the right to walk away if Joby doesn’t buy the agreed number of aircraft or tries to build the S4 with another manufacturer without approval.
The agreement may need a Hart-Scott-Rodino filing and a CFIUS review, depending on how the final structure shakes out.
What This Means for Each Company
For Joby, the partnership brings access to Toyota’s manufacturing experience and helps lower upfront production costs. It also gives Joby a clearer path toward meeting FAA production requirements as it scales up.
For Toyota, this is a direct foothold in the air mobility space. The automaker has been signaling interest in expanding past traditional vehicles for a while, and this venture puts that into action.
Toyota brings serious scale to the table. The company has a market capitalization of $199.5 billion and trades at a P/E ratio of 9.24, according to InvestingPro data.
Toyota has also operated in North America for nearly 70 years, employing about 64,000 people across 14 manufacturing plants in the region. That kind of footprint is hard to replicate from scratch.
On the Wall Street side, JOBY currently carries a Hold consensus rating, based on two Buy, three Hold, and one Sell rating over the past three months. The average price target sits at $13.90, which implies upside of roughly 55.66% from current levels.
Joby continues to aim for commercial air taxi service in cities around the world, alongside selling aircraft directly to other operators.
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