Bank of America initiated coverage of Pony AI with a “buy” rating and a price objective of $18, implying a 37% upside. Goldman Sachs started on the stock with “buy” rating, with a price target of $19.60.
The China-based autonomous mobility company, founded in 2016, operates 250 robotaxis and 190 robotrucks. It is targeting profitability by 2029, driven by economies of scale and technological advancements.
Bank of America expects Pony’s robotaxi fleet to expand to 68,000 units by 2029, with unit gross profit rising from RMB 25,000 in 2026 to RMB 70,000 by 2029. For robotrucks, the fleet could reach 6,300 units by 2030, with gross profit turning positive post-2025.
Goldman Sachs said Pony AI was continuously making progress on robotaxi commercialisation. The brokerage expects the company to drive a 27% compound annual growth rate for revenue in 2024-27 on ramp up of its robotaxi fleet operation and start of licenses fee contribution from robotaxi solutions.
Goldman said 158% growth rate in revenue is expected over 2027-30 with accelerated scale expansion.
Pony’s Virtual Driver technology, policy support from the Chinese government, and partnerships with automakers and logistics firms position it well for scaling and monetization, the note said.
