Joby Aviation Stock Is Falling In After-Hours Tuesday: What's Behind The Sell-Off?

Shares of electric vertical take-off and landing (eVTOL) aircraft company Joby Aviation Inc (NYSE:JOBY) are tumbling in Tuesday’s after-hours session after the company filed for a $500 million offering.

What To Know: Joby announced plans to offer and sell $500 million of its common stock in a public offering. The company intends to grant the underwriters a 30-day option to buy up to an additional $75 million of common stock at the offering price, which was not disclosed.

Joby said it expects to use the net proceeds from the offering to help fund its certification and manufacturing efforts in an effort to prepare for commercial operations.

Joby had approximately $991 million in cash, cash equivalents and investments in marketable securities as of the end of the second quarter.

JOBY Analysis: Joby’s current price reflects a significant daily decline, indicating bearish momentum. The stock is trading above its 50-day moving average of $15.80, suggesting potential support at this level, while the 200-day moving average at $10.12 indicates a longer-term bullish trend. The recent high of $19.98 may act as a resistance point as the stock retraces.

The RSI is calculated at 29.00, indicating the stock is in oversold territory, which could signal a potential reversal if buying interest picks up. On the other hand, the MACD is bearish, with the signal line above the MACD line, suggesting continued downward momentum.

Overall, the technical indicators and patterns suggest a cautious approach, with traders watching for a potential bounce off support or a breakdown below the 50-day moving average.

JOBY Price Action: Joby Aviation shares were down 8.83% in after-hours, trading at $17.24 at the time of publication on Tuesday, according to Benzinga Pro.

Read Next:

• Archer Aviation (ACHR) Stock Soars On Tesla Partnership Speculation

Photo: Courtesy of Joby Aviation.