Toyota Motor Corporation designs, manufactures, assembles, and sells passenger vehicles, minivans and commercial vehicles, and related parts and accessories in Japan, North America, Europe, Asia, Central and South America, Oceania, Africa, and the Middle East. It operates in Automotive, Financial Services, and All Other segments. The company offers subcompact and compact cars; mini-vehicles; mid-size, luxury, sports, and specialty cars; recreational and sport-utility vehicles; pickup trucks; minivans; trucks; and buses. It offers vehicles under the Toyota and Lexus brand names. Further, the company provides financial services, such as retail financing and leasing, wholesale financing, insurance, and credit cards. Additionally, it operates GAZOO.com, a web portal for automobile information, as well as engages in telecommunications and other businesses. The company was founded in 1933 and is headquartered in Toyota, Japan.

Toyota выглядит как крупный, финансово устойчивый бизнес, но текущая оценка уже учитывает значительную часть его качества. P/E на уровне 22.46 выше медианы отрасли, а P/S и особенно P/FCF заметно дороже рынка, что ограничивает потенциал дальнейшего переоценивания. При этом P/B около 1.01 и ниже отраслевой медианы указывают, что по балансовой стоимости акция не выглядит перегретой. Сильная сторона компании — ликвидность: quick ratio выше медианы, cash on hand резко вырос, а собственный капитал и активы продолжают увеличиваться. Дивидендная доходность умеренная и в целом стабильная, что поддерживает инвестиционный кейс для консервативного акционера. Однако рентабельность капитала и активов слабее отрасли, а ROE, ROA и ROI заметно просели по сравнению с более высокими уровнями в прошлые периоды. Маржа чистой прибыли и операционная маржа остаются выше медианы, но gross margin ниже отраслевого уровня и постепенно снижается, что говорит о давлении на валовую эффективность. Абсолютная выручка и прибыль остаются очень крупными, но net income и gross profit в последнем периоде снизились относительно более сильных прошлых значений. Долговая нагрузка выглядит управляемой, хотя debt/equity и долгосрочный долг слегка выше отраслевых ориентиров и растут вместе с масштабом баланса. В сумме это не история глубокого дисконта, а скорее качественный, но уже не дешевый актив с умеренным ростом и ограниченным апсайдом от текущей базы. Для целевой цены это означает осторожную отрицательную корректировку: фундаментал поддерживает оценку, но дорогие мультипликаторы и ослабление эффективности не дают оснований для повышения прогноза.

Toyota Motor Corporation

Средний индекс, значительно упал. Оптимистичный взгляд на свои позиции резко сменился на неуверенность.

Medium index, significantly down. An optimistic view of his position suddenly changed to uncertainty.

Сильный индекс, незначительно вырос. Рынок не поддерживает быков.

Strong index, slightly up. The market does not support the bulls.

Средний индекс, незначительно упал. Отток средств из лонгов остается значительным.

Medium index, slightly down. The outflow of funds from longs remains significant.

Toyota финансово устойчива и ликвидна, но дорогие P/E, P/S и P/FCF вместе со снижением ROE/ROA ограничивают потенциал роста оценки.

Key Points
Joby and Archer both lost their luster over the past year.
But both stocks could blast off once the FAA approves their first commercial flights.
Joby Aviation (NYSE: JOBY) and Archer Aviation (NYSE: ACHR) are both early movers in the electric vertical takeoff and landing (eVTOL) aircraft market. These aircraft are greener and easier to land in crowded urban areas than helicopters, but the Federal Aviation Administration (FAA) hasn't fully approved their first commercial flights.
Joby and Archer both went public through mergers with special purpose acquisition companies (SPACs) in 2021, but both stocks trade below their opening prices. Without any commercial flights, Joby and Archer were speculative stocks trading at high valuations -- so their luster faded as rising interest rates drove investors toward more conservative investments.
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But according to Eve Air Mobility's Global Market Outlook, there could be 30,000 eVTOLs in the air carrying three billion passengers globally by 2045. So could one of these unloved eVTOL stocks still be a great play on that secular trend?
The similarities and differences between Joby and Archer
Joby's S4 and Archer's Midnight both carry a single passenger and four passengers. The S4 can travel up to 150 miles on a single charge at a maximum speed of 200 miles per hour. The Midnight can travel up to 100 miles with a maximum speed of 150 miles per hour.
The S4 travels faster and farther than the Midnight because it uses single-tilt rotor propellers to lift and cruise. The Midnight is heavier because it uses separate propellers to lift and cruise. Joby is also developing a hydrogen-powered version of its eVTOL, but Archer isn't.
Joby and Archer are both working with the U.S. Department of Defense (DoD), and major investors and customers back both companies. Joby's backers include Toyota, Delta Air Lines, and Uber. Archer's backers include Stellantis, United Airlines, and Abu Dhabi Aviation. Both companies plan to initially launch their aircraft in the U.S. and the UAE.
Toyota and Stellantis plan to help Joby and Archer manufacture their commercial eVTOLs. Delta and United will add Joby and Archer's air taxi flights to their airline tickets as last-mile "airport to home" services. Joby will integrate its own flights directly into Uber's app, while Archer plans to launch its own first-party air taxi service rather than work with other companies.
Which company has a brighter future?
Joby and Archer both need to complete the FAA's lengthy, multi-stage approval process before launching their first commercial flights in the United States. Those full approvals probably won't happen until late 2026 or 2027. The Middle East conflicts could also disrupt or delay their first commercial flights in the UAE. That's why both stocks have been under pressure this year.
But from 2025 to 2028, analysts still expect Joby's revenue to grow from $53 million to $458 million. They also expect it to narrow its net loss from $930 million to $722 million. With a market cap of $9.2 billion, it trades at 20 times its 2028 sales. Most of its revenue comes from its acquisition of the air taxi services company Blade Urban Mobility, which closed last August.
From 2025 to 2028, analysts expect Archer's revenue to surge from less than $1 million in 2025 to $482 million in 2028. However, they expect its net loss to widen from $618 million to $868 million. With a market cap of $4.0 billion, it trades at just eight times its 2028 sales.
Joby trades at a premium to Archer because it's expanding into a vertically integrated "transportation as a service" business that manufactures, owns, and operates its own air taxi network. Archer is still primarily an original equipment manufacturer (OEM), heavily dependent on middlemen, as it sells most of its aircraft to third-party fleets. Joby also has more liquidity than Archer, and its supply chain is much tighter because it uses more first-party components.
The better buy: Joby Aviation
Archer might initially seem like a better value, but Joby's advantages make it a better long-term investment. While Archer might be aiming to become the next Boeing of the eVTOL market, Joby wants to become the next Tesla -- a more focused company that takes over the market with its first-party aircraft and air taxi services.
Should you buy stock in Joby Aviation right now?
Before you buy stock in Joby Aviation, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Joby Aviation wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $438,283!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,257,427!*
Now, it’s worth noting Stock Advisor’s total average return is 938% — a market-crushing outperformance compared to 206% for the S&P 500. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors.
Leo Sun has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Boeing, Tesla, and Uber Technologies. The Motley Fool recommends Delta Air Lines, Stellantis, and Under Armour. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

eVTOL Stock Face-Off: Is Joby Aviation or Archer Aviation the Better Buy Right Now?

Key Points
Joby’s stock has gone nowhere since its public debut.
But it could take off once the FAA approves its first commercial flights.
Joby Aviation (NYSE: JOBY), a producer of electric vertical takeoff and landing (eVTOL) aircraft, went public through a merger with a special purpose acquisition company (SPAC) on Aug. 11, 2021. Its stock opened at $10.62 per share, set a record high of $20.39 on Aug. 4, 2025, but now trades at about $9. It initially impressed investors with its progress toward commercial eVTOL flights, but its luster faded amid delays and regulatory challenges. Elevated interest rates, geopolitical conflicts, and other macro headwinds exacerbated that pressure.
With a market cap of $9.2 billion, Joby still looks expensive at 83 times this year's sales. However, I believe one catalyst could drive its stock much higher over the next five years.
Will AI create the world's first trillionaire? Our team just released a report on the one little-known company, called an "Indispensable Monopoly" providing the critical technology Nvidia and Intel both need. Continue »
Joby has plenty of irons in the fire
Joby's S4 eVTOL can carry a single pilot and four passengers, travel up to 150 miles on a single charge, and reach a maximum speed of 200 miles per hour. The S4 can travel faster and farther than its closest competitor, Archer Aviation's (NYSE: ACHR) Midnight eVTOL, because it uses tilt-rotor propellers that alternate between lifting and cruising modes. The Midnight is heavier because it uses separate propellers for lifting and cruising.
Joby has completed test flights in the U.A.E., South Korea, and Japan. It's already backed by big investors and customers, including Toyota (NYSE: TM), Delta Air Lines (NYSE: DAL), and Uber (NYSE: UBER). Toyota will help Joby mass-produce its eVTOLs, Delta will use the S4 as a "last mile" airport-to-home air taxi service, and Uber will integrate those flights into its app. It also holds a $131 million contract with the U.S. Department of Defense.
What's the big catalyst that will drive its stock higher?
Joby has plenty of irons in the fire, but it can't ignite them with the government's approval. Joby expects the Federal Aviation Administration (FAA) to fully approve its first commercial flights in the U.S. in late 2026. It also plans to launch its first air taxi flights in Dubai this year, even though the Middle East conflict might disrupt and delay those plans.
If the FAA finally clears Joby's S4 for commercial flights, its revenue could skyrocket over the next few years as its eVTOLs replace traditional helicopters. That's why analysts expect its revenue to surge from $53 million in 2025 to $458 million in 2028.
But that could just be the beginning. According to Eve Air Mobility's recent Global Market Outlook, there could be 30,000 eVTOLs in the air carrying three billion passengers globally by 2045. So even though Joby's stock looks expensive today, it could still soar a lot higher. Assuming it matches analysts' expectations through 2028, grows its revenue at a 30% CAGR through 2031, and trades at 30 times its current year's sales by the final year, its stock could more than triple over the next five years.
Should you buy stock in Joby Aviation right now?
Before you buy stock in Joby Aviation, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Joby Aviation wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $438,283!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,257,427!*
Now, it’s worth noting Stock Advisor’s total average return is 938% — a market-crushing outperformance compared to 206% for the S&P 500. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors.
*Stock Advisor returns as of June 12, 2026.
Leo Sun has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Uber Technologies. The Motley Fool recommends Delta Air Lines. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Prediction: Joby Aviation Will Soar Over the Next 5 Years -- 1 Key Driver Behind the Rally

Key Points
The Vanguard Total Bond Market ETF outperformed the S&P 500 index for several years after the 2008 global financial crisis.
During the most recent bear market in 2022, the Vanguard International High Dividend Yield ETF outperformed the S&P 500.
Bonds often move in opposite directions from stocks, and a downturn in the U.S. stock market would likely be good for bond prices.
The artificial intelligence (AI) boom is top of mind for everyone who invests in stocks. Skyrocketing share prices for semiconductor stocks and other companies that are profiting from the build-out of AI data centers have become a huge part of the U.S. stock market.
But many investors are feeling doubtful and anxious along with the exuberance of this bull market. Are AI stocks too richly valued? What if corporate spending on AI capital expenditures slows? What if AI technology doesn't deliver the hoped-for gains in productivity? What if AI is a bubble that bursts?
Will AI create the world's first trillionaire? Our team just released a report on the one little-known company, called an "Indispensable Monopoly" providing the critical technology Nvidia and Intel both need. Continue »
Bloomberg recently published research saying that if the AI bubble bursts, the S&P 500 index could drop by as much as 20%. If you feel as if your stock portfolio has gotten too tech-heavy with highly valued U.S. growth stocks, you might want to consider buying exchange-traded funds (ETFs) before the AI bubble bursts.
Let's look at two ETFs that could be good choices to diversify away from a tech-heavy portfolio.
1. Vanguard Total Bond Market ETF (BND): More than 11,000 bonds, 19 years of 3.08% annualized returns
If you're worried about a stock market downturn, you might want to buy more bonds. One of the best ways to do that is to invest in the Vanguard Total Bond Market ETF (NASDAQ: BND). This fund lets you own 11,387 bonds, with a broad mix of government bonds and investment-grade corporate bonds.
During the past three years, this Vanguard bond ETF has delivered average annual returns (by net asset value) of 3.95%, with an annualized return of 3.08% since the fund's inception in April 2007. After the 2008 stock market crash and during the recovery from the Great Recession, the Vanguard Total Bond Market ETF outperformed the S&P 500 for about five years.
Bonds don't usually outperform the S&P 500 in the long run. But a general rule of thumb in investing is that bonds tend to be negatively correlated with stocks. This means that when stock prices go down, bond prices go up and vice versa. In case of a big AI-related stock market downturn, bonds could help your portfolio stay steady and avoid excessive losses.
Bloomberg's model also forecasts that if the S&P 500 were to decline by 20%, the Fed would be likely to cut interest rates three or four times. Lower interest rates could be good news for bond prices. Buying bonds before an AI bust could be a smart move.
2. Vanguard International High Dividend Yield ETF (VYMI): 1,582 global stocks, 3.42% dividend yield
If the S&P 500 falls by 20%, that would likely be bad news for many international stocks that are riding the AI boom, such as semiconductor stocks in markets like Taiwan and South Korea. But international high-yield dividend stocks might be less exposed to the AI trade.
The Vanguard International High Dividend Yield ETF (NASDAQ: VYMI) offers a diversified portfolio of 1,582 international stocks, which are mostly far away (literally and figuratively) from the AI boom. None of the fund's top 10 stock holdings are tech stocks.
Instead, the top holdings of this ETF are mostly financial stocks and pharmaceutical stocks, along with a few big names like Toyota Motor (NYSE: TM) and Nestlé (OTC: NSRGY). This fund puts your money to work in different parts of the global stock market that might keep making steady profits and paying good dividends, no matter what happens next with AI.
For the past three years, this fund has delivered average annual returns (by net asset value) of 23.5%, with an annualized return of 11.4% since the fund's inception in February 2016. And during the past 12 months, this fund has delivered an impressive dividend yield of 3.42% -- better than most of the best dividend index funds.
If the S&P 500 drops by 20%, this ETF would probably take a hit too. But it might lose less value than the U.S. stock market as a whole in the case of an AI bust. The last time the S&P 500 was in a bear market, in 2022, the Vanguard International High Dividend Yield ETF had a negative return of -7.06% for the year, compared to -18.11% for the S&P 500.
There's no guarantee that any investment will be a safe place to hide in the event of a big tech-sector meltdown. But buying bonds and high-yield dividend stocks in international markets might help protect your money in case the AI bubble bursts.
Where to invest $1,000 right now
When our analyst team has a stock tip, it can pay to listen. After all, Stock Advisor’s total average return is 948%* — a market-crushing outperformance compared to 206% for the S&P 500.
They just revealed what they believe are the 10 best stocks for investors to buy right now, available when you join Stock Advisor.
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Ben Gran has positions in Vanguard Total Bond Market ETF. The Motley Fool has positions in and recommends Vanguard Total Bond Market ETF. The Motley Fool recommends Nestlé. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

If the AI Bubble Bursts, the S&P 500 Could Drop 20% -- These 2 ETFs Could Protect Your Money

Key Points
The urban air mobility market could reach $9 trillion by 2050, according to Morgan Stanley.
Joby is taking a vertically integrated approach by owning and operating its air taxi network.
Archer relies on partnerships for manufacturing and plans to sell to third parties to diversify its revenue.
Imagine a future where you can skip the gridlock of traffic below and soar high above the city as you're whisked away to your destination in the blink of an eye. This could be coming to a city near you in the next few years thanks to electric vertical takeoff and landing (eVTOL) aircraft, which could forever change urban transportation as we know it.
Joby Aviation (NYSE: JOBY) and Archer Aviation (NYSE: ACHR) are two companies leading the way, making progress on key Federal Aviation Administration (FAA) certifications and laying the groundwork for the future of flying taxis, with massive upside potential. According to a 2021 report by Morgan Stanley, the total addressable market for urban air mobility could reach a staggering $9 trillion by 2050.
Will AI create the world's first trillionaire? Our team just released a report on the one little-known company, called an "Indispensable Monopoly" providing the critical technology Nvidia and Intel both need. Continue »
If you're looking to capitalize on this growth, here are the key things you should know about buying Joby and Archer Aviation right now.
Joby and Archer are on a shared federal fast-track
Unlike traditional helicopters, eVTOL aircraft use distributed electric propulsion, making them significantly quieter while drastically reducing carbon emissions, so they are better suited for urban transportation. Joby and Archer are frontrunners in this budding eVTOL industry and are working through the FAA's rigorous, multistage certification process, a crucial step toward launching commercial operations.
These companies have also been selected as two partners with the FAA's eVTOL Integration Pilot Program (eIPP), which aims to accelerate the deployment of eVTOL aircraft by allowing selected companies to conduct real-world operations in the National Airspace System.
Joby aims to be a vertically integrated, aerial ride-sharing service
While Joby and Archer share the same overarching goal, they differ sharply in their business models and manufacturing approaches. Joby is pursuing a vertically integrated, direct-to-consumer approach and plans to own and operate its own branded air taxi network, with partnerships with Uber and Delta Air Lines.
Last year, Joby acquired Blade Air Mobility's passenger division, giving it access to Blade's 12 urban terminals and passenger lounges and providing it with an experienced customer transportation business that will allow it to hit the ground running when it begins commercial operations. The company acquired Blade's platform and customer base and will transition the company from helicopters to eVTOLs when it finally launches commercially.
On top of that, Joby designs, engineers, and manufactures its aircraft components in-house. It has a facility in Marina, California and another 700,000 square-foot facility in Dayton, Ohio, which together can produce up to 500 eVTOL aircraft per year.
The company works closely with Toyota, which is a major investor and manufacturing consultant, to optimize in-house production. By focusing on in-house production, Joby owns the intellectual property and manufacturing process, which could enable higher profit margins once it's up and running.
Archer Aviation is taking a different business approach
Archer Aviation is taking a different approach to manufacturing, leveraging partner companies to achieve an asset-light business model. The company has partnered with Stellantis, Archer's exclusive manufacturer, which provides both funding and supply chain expertise to help Archer mass produce its Midnight eVTOL aircraft.
Stellantis helped Archer build out its high-volume manufacturing facility in Covington, Georgia where Archer aims to produce 650 aircraft annually. This model approach helps Archer build quickly, provides support from Stellantis, and saves it the upfront costs of developing its own parts and components in-house.
While Joby aims to be an end-to-end service provider in the eVTOL industry, Archer is taking a dual approach: building its own proprietary ride-share services and selling its Midnight aircraft directly to third-party fleet operators. The company has amassed a $6 billion backlog. By selling to third parties, Archer can generate revenue immediately while its ride-share services business scales up.
Which eVTOL stock is a better buy today?
Joby and Archer are both early-stage start-ups in a young, undeveloped industry that they are both looking to get off the ground. For investors, they remain higher-risk stocks as they work through the FAA certification stages and hope to start commercial operations within the next year, while continuing to burn cash in the process.
Archer Aviation is taking an asset-light approach by leveraging Stellantis' massive manufacturing capabilities and selling aircraft directly to major airlines such as United Airlines, aiming to scale quickly without the capital burden of operating its own fleet.
Joby Aviation will be a vertically integrated company, handling everything from manufacturing to operating the air taxi network, which could help it capture higher, long-term profit margins than Archer. If you like its vertical integration and potential for higher profit margins in the long run, Joby Aviation stock is the way to go.
Should you buy stock in Joby Aviation right now?
Before you buy stock in Joby Aviation, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Joby Aviation wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $439,847!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,342,065!*
Now, it’s worth noting Stock Advisor’s total average return is 968% — a market-crushing outperformance compared to 211% for the S&P 500. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors.
*Stock Advisor returns as of June 5, 2026.
Courtney Carlsen has positions in Archer Aviation and Joby Aviation. The Motley Fool has positions in and recommends Uber Technologies. The Motley Fool recommends Delta Air Lines and Stellantis. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Joby Aviation vs. Archer Aviation: Here's Which eVTOL Stock Is a Better Buy Today

Key Points
Stellantis identified a large opportunity with vehicles priced under $40,000.
One priority for Stellantis is to improve its production capacity utilization.
A key Chinese automaker partner can help Stellantis regain lost market share.
While Ford Motor Company, General Motors, and Stellantis (NYSE: STLA) all have Detroit roots and are the closest of competitors, their stocks have traded wildly differently in recent years.
Will AI create the world's first trillionaire? Our team just released a report on the one little-known company, called an "Indispensable Monopoly" providing the critical technology Nvidia and Intel both need. Continue »
Until just recently, Ford has been stuck in neutral, battling quality concerns, recalls, and warranty costs, while GM has surged higher on cost discipline and heavy share buybacks. Stellantis has spiraled lower after years of market share losses in its core North America profit engine and massive electric-vehicle-related charges. Savvy investors see opportunity in Stellantis, as it may have the most upside after shedding so much value. For Stellantis to gain traction with its turnaround and reward investors, these three things need to happen.
Solve the affordability crisis
The pressure on consumers to pay more and more for each vehicle is reaching crisis levels. Not only have new vehicle prices surged to around $50,000, but insurance rates have also seen a big spike in recent years, and repair costs are on the rise. There is significant demand for more affordable vehicles, and Stellantis needs to quickly regain lost market share -- it's a perfect strategic fit.
The good news is that Stellantis is preparing to attack the affordability problem head-on by launching nine vehicles priced under $40,000 by 2030 in North America, and even better is that two of those vehicles will be below $30,000. The new product blitz will give consumers a number of affordable options, and potentially lure consumers from other brands, which is typically expensive in the automotive industry.
Improve empty capacity
Automakers have a finite amount of production capacity, limiting them to the number of vehicles they can produce regionally and globally. While Toyota Motor is currently running near max capacity in the U.S., Stellantis finds itself at the opposite end with unfilled production capacity, which erodes margins quickly.
As more affordable vehicles launch, it will help improve volume -- Stellantis aims to grow volume by 35% in North America -- and help fill unused capacity, improving margins along the way. Stellantis is aiming to increase production enough to improve capacity utilization in the U.S. to 80% by the end of this decade. These factors should help Stellantis boost its adjusted operating income margin in North America to between 8% and 10%, with revenue also jumping 25%.
Combine forces
Stellantis is also taking steps to aggressively expand its global partnerships to help drive the automaker forward in several areas. The automaker's key alliances are with tech giants, mobility platforms, and even Chinese automakers.
One key partnership is Stellantis' holding in the Leapmotor International joint venture, which has been at 51% since 2023. That ownership gives Stellantis exclusive rights for the sale and manufacturing of its products outside greater China. This partnership could lead to a number of developments, including the possibility of Stellantis building electric vehicles (EVs) in Canada with Leapmotor. Largely, this partnership will enable Stellantis to grow its sales, learn from the advanced EV prowess of its Chinese counterpart, and share capital expenses.
This is but one of very many partnerships Stellantis is currently involved in, or working to create -- there's a lot of opportunity.
What it all means
These three factors are all intertwined within a larger Stellantis plan unveiled on May 21. The $70 billion five-year plan is geared toward a complete overhaul and turnaround for the beleaguered automaker. Roughly 70% of that global investment will be focused on key brands Jeep, Ram, Peugeot, Fiat, and the Pro One commercial division.
Investors should be optimistic that the automaker has the right objectives in place; it just comes down to execution. Stellantis finally has an identity, with the majority of its investments focused on key brands while the remaining of the 14-brand list becomes more regionalized. As the automaker unleashes a long list of affordable vehicles, improves capacity utilization, and leans on key partnerships for expertise and cost sharing, there should be a viable path forward for Stellantis and investors brave enough to hop on for the long haul.
Should you buy stock in Stellantis right now?
Before you buy stock in Stellantis, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Stellantis wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $471,072!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,303,352!*
Now, it’s worth noting Stock Advisor’s total average return is 983% — a market-crushing outperformance compared to 210% for the S&P 500. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors.
*Stock Advisor returns as of May 28, 2026.
Daniel Miller has positions in Ford Motor Company and General Motors. The Motley Fool recommends General Motors and Stellantis. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Here's Exactly How Stellantis Can Make Investors Big Winners

(RTTNews) - Toyota Motor Corporation (TM, TYT.L, 7203.T) reported April total worldwide sales of 9,02,015 units, down 3.7 percent from a year ago. Toyota, includiung Lexus, reported worldwide sales of 8,49,306 units, a decline of 3.1 percent from last year.
April total worldwide production was 9,33,685 units, an increase of 3.4 percent from prior year. Toyota, includiung Lexus, reported worldwide production of 8,31,971 units, up 2.0 percent from previous year.
The company noted from April 2026 onward, group totals are for Toyota Motor Corporation and Daihatsu Motor, excluding Hino Motors.
Toyota Motor Corp. shares are currently trading at 3,027 yen, up 0.63%.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Toyota Motor April Total Worldwide Sales Down 3.7% YoY

Key Points
Joby’s eVTOL deliveries could soar over the next decade.
Canadian National Railway’s scale and diversification make it an evergreen investment.
Over the past few years, many investors flocked toward artificial intelligence (AI) and AI-adjacent stocks. However, that buying frenzy drove the S&P 500 to its all-time highs -- so the market might be due for a near-term pullback from its historically high valuations.
To insulate themselves from that inevitable downturn, investors should diversify their portfolios into other less overbought sectors. One such sector is the transportation industry, which will continue to grow as long as companies need to transport people or products.
Will AI create the world's first trillionaire? Our team just released a report on the one little-known company, called an "Indispensable Monopoly" providing the critical technology Nvidia and Intel both need. Continue »
Let's take a closer look at two promising transportation stocks that are worth buying this year: Joby Aviation (NYSE: JOBY) and Canadian National Railway (NYSE: CNI). The former is a good fit for speculative investors, while the latter is a dependable blue chip play.
The speculative play: Joby Aviation
Joby Aviation develops electric vertical take-off and landing (eVTOL) aircraft. Its S4 eVTOL can carry one pilot and four passengers, travel up to 150 miles on a single charge, and reach a maximum speed of 200 miles per hour. Unlike many of its competitors, which use separate propellers for takeoff and cruising, the S4 uses a single propeller for both modes -- reducing its weight and enabling it to travel faster and farther.
Joby is still awaiting the FAA's approval to launch its first commercial flights, but it's already backed by major companies such as Toyota, Delta Air Lines, and Uber. Toyota provides Joby with the engineering and manufacturing support to scale its business. Delta will bundle Joby's short-range flights into its premium tickets for "home to airport" services, and Uber will integrate those flights into its new Uber Air platform. It's also producing autonomous eVTOLs for the Department of Defense.
Once Joby's first commercial flights take off, analysts expect its revenue to soar from $53 million in 2025 to $458 million in 2028. According to Fortune Business Insights, the global eVTOL market could grow at a 36.8% CAGR from 2026 to 2034 as those electric aircraft replace conventional helicopters for short-range flights.
Joby is still unprofitable, and its stock isn't cheap at 25 times its 2028 sales. But if it successfully ramps up its production over the next few years, it could become one of the market's hottest next-gen transportation stocks.
The conservative play: Canadian National Railway
Canadian National Railway operates approximately 20,000 miles of railroad across the U.S. and Canada, and connects the Pacific, Atlantic, and Gulf of Mexico coasts. That T-shaped network supports seamless cross-border shipping without transfers to other carriers. It's diversified across a wide range of sectors -- including bulk commodities, shipping containers, industrial and energy products, and automotive products -- so it isn't dependent on a single industry.
That scale and diversification make it one of the market's most reliable transportation stocks. From 2025 to 2028, analysts expect its EPS to grow at an 8% CAGR. It still looks reasonably valued at 21 times this year's earnings, and it pays a forward dividend yield of 2.3%.
Canadian National Railway faces three near-term challenges: the unresolved tariff negotiations between the U.S. and Canada, which could impact cross-border trade; higher oil prices and catch-up costs from a previous labor dispute, which are driving up its operating costs; and the proposed merger between Union Pacific and Norfolk Southern, which would create a major competitor and America's first true transcontinental railroad.
Nevertheless, Canada's ongoing exports of oil products, grain, and fertilizer should offset a lot of that near-term pressure. Its recent completion of a major investment cycle (to expand its Chicago EJ&E bypass) should also reduce some of the pressure on its margins and earnings. So if you're looking for a conservative, dividend-paying logistics play that will bounce back from the next market crash, Canadian National Railway checks all the right boxes.
Should you buy stock in Joby Aviation right now?
Before you buy stock in Joby Aviation, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Joby Aviation wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $472,852!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,317,207!*
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*Stock Advisor returns as of May 27, 2026.
Leo Sun has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Uber Technologies. The Motley Fool recommends Canadian National Railway, Delta Air Lines, and Union Pacific. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Founded in 1993 in Alexandria, VA., by brothers David and Tom Gardner, The Motley Fool is a multimedia financial-services company dedicated to building the world's greatest investment community. Reaching millions of people each month through its website, books, newspaper column, radio show, television appearances, and subscription newsletter services, The Motley Fool champions shareholder values and advocates tirelessly for the individual investor. The company's name was taken from Shakespeare, whose wise fools both instructed and amused, and could speak the truth to the king -- without getting their heads lopped off.

Best Transportation Stocks to Buy in 2026

Key Points
Toyota was one of the few automakers to approach EVs more cautiously.
Toyota's North America business is challenging others by having the U.S. industry's tightest inventory.
Toyota's need for additional capacity and perhaps a new product makes a new U.S. factory a smart move.
Toyota (NYSE: TM) doesn't get applauded enough for standing its ground years ago, while other global automakers touted tens of billions of dollars in electric vehicle (EV) investments. Those investments turned out poorly in some cases, including Ford Motor Company (NYSE: F), which took massive write-offs for overestimating the EV market.
Despite Toyota standing strong in support of a multi-pronged approach that shows a lot of love for hybrid vehicles, it still faces tariff challenges in its historically strong profit engines. Toyota has plans, however, and it looks to include a new factory that would help its North America business in a few ways.
Will AI create the world's first trillionaire? Our team just released a report on the one little-known company, called an "Indispensable Monopoly" providing the critical technology Nvidia and Intel both need. Continue »
Is Toyota expanding in Texas?
While full details about Toyota's potential upcoming Texas plant are undisclosed, more than a hint of what could be coming has leaked, and investors can discern its importance from what has been reported. Toyota filed for tax incentives in Texas for a $2 billion assembly plant next to its existing San Antonio truck factory. According to the filing, the new factory would add roughly 2,000 jobs and become Toyota's sixth U.S. assembly site, with production slated for 2030.
Toyota's current North America business is challenging. On one hand, the automaker recorded U.S. sales topping 2.5 million vehicles last year for the first time since 2007. On the other hand, in part due to a massive tariff bill, the automaker's North American profit engine flipped to a loss in fiscal 2025.
One challenging aspect of Toyota's business in the U.S. is that it's already operating at record plant efficiency levels. That means there's not much room for additional production capacity, new vehicle lines, or expanding output.
At a time when Toyota is selling well in the U.S., the lack of additional output means lost profits. The Japanese automaker is already feeling the pinch, with Lexus having its best sales year in the U.S. last year, and Toyota having its fourth-best. This made the automaker's retail inventory the tightest in the industry. That forced Toyota to limit fleet sales to 10%-12% in favor of retail sales and enabled it to spend a fraction of the incentives its competitors spent to move vehicles.
What it all means
Toyota does need an additional factory in the U.S., especially considering constrained capacity and the newly implemented tariffs it would prefer to avoid. While we don't have confirmation of what would be produced at this factory a few years down the line, Automotive News and its close relations to dealerships noted that Toyota dealers have been begging for a compact pickup to rival the Ford Maverick, with a design based on Toyota's highly popular RAV4 SUV.
That possibility would do a couple of things overall for Toyota. It would give the company greater production capacity and flexibility to introduce new products, such as a Ford Maverick rival. If that is the course the company takes, it could also take another step in turning its increasing sales into more profits, since trucks carry stronger margins than sedans. This would also enable the company to find a better balance without leaving fleet sales on the table, and to intelligently use incentives to drive sales even higher with additional production capacity.
Toyota's need for a new factory and new products seems clear, and it looks like a smart move for the automaker, which generally makes the right decisions about its global automotive empire.
Should you buy stock in Toyota Motor right now?
Before you buy stock in Toyota Motor, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Toyota Motor wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $481,750!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,352,457!*
Now, it’s worth noting Stock Advisor’s total average return is 990% — a market-crushing outperformance compared to 206% for the S&P 500. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors.
*Stock Advisor returns as of May 20, 2026.
Daniel Miller has positions in Ford Motor Company. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

How Toyota's Challenging U.S. Business Could Result in a New Ford Maverick Rival

Tuesday, May 12, 2026
The Zacks Research Daily presents the best research output of our analyst team. Today's Research Daily features new research reports on 16 major stocks, including NVIDIA Corp. (NVDA), Mastercard Inc. (MA) and AbbVie Inc. (ABBV), as well as two micro-cap stocks Waterstone Financial, Inc. (WSBF) and Precipio, Inc. (PRPO). The Zacks microcap research is unique as our research content on these small and under-the-radar companies is the only research of its type in the country.
These research reports have been hand-picked from the roughly 70 reports published by our analyst team today.
You can see all of today’s research reports here >>>
Ahead of Wall Street
The daily 'Ahead of Wall Street' article is a must-read for all investors who would like to be ready for that day's trading action. The article comes out before the market opens, attempting to make sense of that morning's economic releases and how they will affect that day's market action. You can read this article for free on our home page and can actually sign up there to get an email notification as this article comes out each morning.
You can read today's AWS here >>> CPI Inflation Rate Heats Up to +3.8%
Today's Featured Research Reports
Shares of NVIDIA have gained +70.1% over the past year against the Zacks Semiconductor - General industry’s gain of +79.1%. The company is benefiting from the strong growth of artificial intelligence (AI) and high-performance accelerated computing. The growing demand for generative AI and large language models using graphics processing units (GPUs) based on NVIDIA’s Hopper and Blackwell architectures is aiding data center revenues.
The continued ramp-up of Ada RTX GPU workstations in the ProViz end market, following the normalization of channel inventory, is acting as a tailwind. Collaborations with more than 320 automakers and tier-one suppliers are likely to advance its presence in the autonomous vehicle space.
However, a limited supply of Blackwell GPUs may hinder its ability to meet demand. Rising costs associated with the production of more complex AI systems will hurt margins. The U.S.-China tech war and rising competition from AMD remain major concerns.
(You can read the full research report on NVIDIA here >>>)
Mastercard’s shares have declined -12.5% over the past year against the Zacks Financial Transaction Services industry’s decline of -24.2%. The company’s rebates and incentives are rising with new and renewed deals, and management expects operating expenses to keep growing as it funds safety, security, digital and B2B initiatives. Geopolitical disruption is weighing on cross-border travel. Valuation remains elevated, supporting a Neutral view.
Nevertheless, Mastercard’s scale and brand strength continue to support steady payment network growth, helped by stable consumer and business spending and higher transaction activity. Cross-border and contactless adoption remain key long-term drivers, and value-added services keep diversifying revenue through cybersecurity, analytics and digital authentication.
Partnerships and targeted acquisitions also extend reach into new payment flows, including stablecoin infrastructure. Share repurchases and dividends remain supported.
(You can read the full research report on Mastercard here >>>)
Shares of AbbVie have gained +13.3% over the past year against the Zacks Large Cap Pharmaceuticals industry’s gain of +23.6%. The company beats first-quarter estimates for both earnings and sales. It has successfully navigated Humira's loss of exclusivity (LOE) by launching two other successful new immunology medicines, Skyrizi and Rinvoq, which are performing extremely well, bolstered by approvals in new indications, and should support top-line growth in the next few years.
AbbVie’s neuroscience portfolio is also rapidly expanding and contributing significantly to top-line growth. AbbVie boasts a robust pipeline and expects important data readouts, regulatory submissions and approvals throughout 2026. It has been on an acquisition spree in the past couple of years to bolster its early-stage pipeline that should drive long-term growth.
However, the company faces several headwinds, such as Humira LOE impact, slowing oncology sales and continued macro headwinds for Aesthetics.
(You can read the full research report on AbbVie here >>>)
Waterstone Financial’s shares have outperformed the Zacks Financial - Savings and Loan industry over the past year (+50.3% vs. +16.7%). This microcap company with a market capitalization of $331.09 million delivered a strong earnings rebound in Q1 2026 as higher asset yields and easing funding costs expanded net interest margin to 2.97% from 2.47%, driving EPS growth. Mortgage banking returned to profitability, supported by a 31% increase in originations and a sharp refinancing recovery.
The company maintains strong capital and liquidity, with risk-based capital above 20% and substantial unused FHLB borrowing capacity. Management also remains shareholder-friendly through dividends and sizable buybacks, including authorization covering nearly 12% of shares outstanding.
However, risks include weakening credit quality, heavy near-term deposit repricing exposure, reliance on wholesale funding and rising operating expenses that could pressure margins if mortgage activity slows. Shares trade below peer valuation levels at 11.05X earnings and 0.95X book value.
(You can read the full research report on Waterstone Financial here >>>)
Shares of Precipio have outperformed the Zacks Medical Info Systems industry over the past year (+302.8% vs. -34.2%). This microcap company with a market capitalization of $50.81 million has its investment thesis centered on the scalability of its pathology platform and integrated lab-and-diagnostics model. Its core pathology business continues to demonstrate operating leverage, supporting margin expansion and stronger cash generation as volumes grow.
Management is also positioning the Products division for broader commercialization through expanded sales capabilities and distributor relationships. The hybrid operating structure supports recurring customer engagement and cross-selling opportunities, including the planned AML molecular testing launch.
However, the story remains execution-sensitive due to liquidity constraints and product-margin volatility. Investors must balance scalability potential against financing risks. Valuation levels imply a cautious market despite improving profitability, creating upside if execution improves.
(You can read the full research report on Precipio here >>>)
Other noteworthy reports we are featuring today include Toyota Motor Corp. (TM), Sony Group Corp. (SONY) and CVS Health Corp. (CVS).
Mark Vickery
Senior Editor
Note: Sheraz Mian heads the Zacks Equity Research department and is a well-regarded expert of aggregate earnings. He is frequently quoted in the print and electronic media and publishes the weekly Earnings Trends and Earnings Preview reports. If you want an email notification each time Sheraz publishes a new article, please click here>>>
Today's Must Read
Featured Reports
Value Chain and Structural Profit Initiatives Aid Toyota (TM)
Per the Zacks analyst, Toyota's value chain businesses have been growing significantly and are expected to continue expanding through 2030. The company is also pursuing cost reduction initiatives.
Strength in the I and SS Segment Aids SONY Amid G and NS Segment Weakness
Per the Zacks analyst, robust sales in the Music, Pictures and Imaging and Sensing Solutions segments are driving Sony's results. Softness in the Games and Network segment is concerning.
CVS Health (CVS) Banks on Health Services Strength, Macro Woes Stay
The Zacks analyst is impressed with the revenue momentum in CVS Health's Health Services segment, aided by pharmacy drug mix and brand inflation. Yet, macroeconomic pressures may hurt its growth.
Improved Product Mix to Aid Ford (F) Amid High Capital Requirement
Per the Zacks analyst, Ford's strategy of emphasizing higher-margin vehicles and trims is improving its profitability. However, rising capital requirements tied to EV development can hurt cash flows.
Global IT Infrastructure Benefits IQVIA (IQV), Liquidity Low
Per the Zacks Analyst, IQVIA's strong healthcare-specific global IT infrastructure places it firmly in the life sciences space. Low liquidity remains a concern.
Improving Air Traffic Aid Curtiss-Wright (CW) Amid Labor Shortage
Per the Zacks analyst, Curtiss-Wright is likely to benefit from the improving air traffic. Yet labor shortage result in delays and likely impact operating results.
Scaled User Base Drive Duolingo (DUOL) Amid Margin Compression
Per the Zacks analyst, Duolingo's scale and rapid product iteration underpin long-term optionality and ensure stability. Advertising costs and broader AI rollout pressure the margin.
New Upgrades
Tapestry (TPR) Coach Brand Demand and Gen Z Drive Growth
Per the Zacks analyst, Tapestry's strong demand across regions and rising Gen Z engagement helped Coach add a record 2.4 million customers in Q3, reinforcing its path toward a $10-billion brand.
MKS (MKSI) Rides on AI-related Semiconductor Demand and NAND Upgrades
Per the Zacks analyst, MKS is benefiting from the growing demand in the Semiconductor and Electronics and Packaging markets, particularly in AI-related applications and NAND upgrades.
YPF Sociedad Anonima (YPF) to Benefit From Shale Oil Growth
Per the Zacks analyst, YPF Sociedad Anonima's shale oil growth and expected improvement in global crude prices will boost profitability. However, mature field operations continue to drag performance.
New Downgrades
Conagra (CAG) Margins Hurt by Inflation, Weak Operating Leverage
Per the Zacks analyst, Conagra's margins are hurt by inflation and weak operating leverage. In Q3, adjusted gross profit margin fell 112 basis points due to cost inflation and unfavorable leverage.
Strategic Acquisitions, Solid Liquidity Aid Fifth Third (FITB)
Per the Zacks analyst, Fifth Third's buyout of Comerica accelerated its long-term growth plan, enhancing scale, profitability and geographic reach. Also, robust liquidity is a positive.
Macro Woes and Paused Pricing Ail Planet Fitness' (PLNT) Prospects
Per the Zacks analyst, Planet Fitness faces softer net member growth as marketing resets, macro pressure, and competition weigh. A paused Black Card price hike and lower 2026 outlook pose concerns.
Radical New Technology Could Hand Investors Huge Gains
Quantum Computing is the next technological revolution, and it could be even more advanced than AI.
While some believed the technology was years away, it is already present and moving fast. Large hyperscalers, such as Microsoft, Google, Amazon, Oracle, and even Meta and Tesla, are scrambling to integrate quantum computing into their infrastructure.
Senior Stock Strategist Kevin Cook reveals 7 carefully selected stocks poised to dominate the quantum computing landscape in his report, Beyond AI: The Quantum Leap in Computing Power.
Kevin was among the early experts who recognized NVIDIA's enormous potential back in 2016. Now, he has keyed in on what could be "the next big thing" in quantum computing supremacy. Today, you have a rare chance to position your portfolio at the forefront of this opportunity.
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Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
This article originally published on Zacks Investment Research (zacks.com).
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Top Stock Reports for NVIDIA, Mastercard & AbbVie

Key Points
Nio’s actual business is now significantly larger than it was during the 2021 EV mania.
To realistically become a 10-bagger, Nio likely needs to scale annual vehicle deliveries into the multimillion range.
If the company can eventually build millions of BaaS subscribers, recurring revenue alone could become a multibillion-dollar business.
Saying that shares of automaker Nio (NYSE: NIO) have been volatile would be an understatement. Since going public in 2018, shares rose as much as 850% as recently as 2021, only to give back all of those gains. As of this writing, shares are down 11% since Nio's IPO.
Is it possible that Nio could surge tenfold from here? Let's see how it could happen and whether the company can get there.
Will AI create the world's first trillionaire? Our team just released a report on the one little-known company, called an "Indispensable Monopoly" providing the critical technology Nvidia and Intel both need. Continue »
The foundation
Nio's market capitalization currently sits around $14 billion, down from more than $90 billion during the 2021 EV boom. For the stock to realistically deliver a 10X return from current levels, the company's market cap would likely need to grow to well above $120 billion.
Now, it should be noted that Nio's business today is actually much larger than it was near its peak valuation. In 2025, the company delivered a record 326,028 vehicles, up 47% year over year, while revenue climbed 33.1% to $12.5 billion.
In Q4, 2025, Nio also reported its first-ever quarterly net profit, generating $40.4 million, while gross margin improved to 17.5% from 11.7% a year earlier.
That's the foundation for this extremely bullish thesis.
Scale, scale, scale
For Nio stock to realistically become a 10-bagger from today, several very specific things would need to happen.
First, deliveries likely need to grow to between 2 million and 3 million annually. Automakers that sustain market caps above $100 billion generally operate at an enormous scale.
In 2025:
BYD delivered roughly 4.6 million vehicles. Its market cap sits at $116 billion.
Tesla delivered about 1.64 million vehicles. Its market cap sits at $1.6 trillion.
Toyota delivered roughly 10.3 million vehicles. Its market cap sits at $222 billion.
It's that kind of scale that Nio needs to hit.
Margins matter
Second, margins would need to continue expanding significantly. Today, Nio's gross margin sits around 17.5%. If Nio can eventually sustain automotive margins above 20% while controlling operating expenses, annual earnings could increase dramatically, thereby reasonably justifying valuations above $100 billion.
But getting there requires survival first.
That's critical because Nio remains one of the most capital-intensive electric car stocks in the world, largely because of its aggressive spending on battery-swapping infrastructure, R&D, and global expansion efforts. It's also competing inside China's brutal EV market, where price wars continue to impede margin expansion.
A different kind of valuation
Unlike most EV companies, Nio built a nationwide battery-swapping network that allows drivers to replace depleted batteries in about three minutes, rather than waiting to charge. The company has now completed more than 100 million battery swaps and operates nearly 3,800 swap stations globally.
The key here is recurring revenue. Nio's Battery-as-a-Service (BaaS) program lets customers buy vehicles without owning the battery, lowering up-front vehicle prices by roughly $9,500 to $18,000. Customers instead pay monthly subscription fees that typically range from $107 to $247, depending on battery size.
At scale, those numbers become meaningful. If Nio can reach 2 million active BaaS subscribers paying an average of $120 per month, that could generate nearly $2.9 billion in recurring subscription revenue annually.
That's not trivial, because recurring-revenue businesses often receive much higher valuation multiples than traditional automakers.
So yes, a 10X outcome is possible, but for that to happen, Nio would need multimillion annual vehicle deliveries, 20%-plus vehicle margins, and successful scaling of battery swapping.
That's a very high bar, but unlike many speculative EV companies, Nio at least has the scale, revenue base, infrastructure, and delivery growth to make the conversation realistic.
Should you buy stock in Nio right now?
Before you buy stock in Nio, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Nio wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $471,827!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,319,291!*
Now, it’s worth noting Stock Advisor’s total average return is 986% — a market-crushing outperformance compared to 207% for the S&P 500. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors.
*Stock Advisor returns as of May 11, 2026.
Jeff Siegel has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Tesla. The Motley Fool recommends BYD Company. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Indicator	TTM Median
P/E	22.46 20.29
Price/Sales	1.03 0.67
P/B	1.01 1.88
P/FCF	31.17 14.17

Indicator	TTM Median
ROE	5.67 14.55
ROA	2.23 4.94
ROI	3.51 8.61
Net Worth	315.89 0.88
Quick Ratio	1.12 0.91
Current Ratio	1.26 1.47

Indicator	TTM Median
Net Profit Margin	8.91 5.67
Operating Margin	10.19 8.11
Gross Margin	19.15 38.46
Return on tangible equity	13.00 20.83

Indicator	TTM Median
Revenue	84.55B 186.00M
Gross Profit	15.15B —
EBITDA	11.85B —

Toyota Motor Corporation

Recent quarterly and TTM performance

Valuation

Debts

Efficiency

Other ratios

Revenue