Johnny Rice, The Motley Fool
Mon, Apr 28, 2025, 10:23 AM 2 min read
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Shares of Pony.ai (NASDAQ: PONY) are flying higher connected Monday. The company's banal roseate 40.2% arsenic of 12:16 p.m. ET today. The determination comes arsenic the S&P 500 mislaid 0.8% and the Nasdaq Composite mislaid 1.3%.
The company, which develops self-driving technologies, announced a caller concern with Tencent Holdings, a ample Chinese tech institution headquartered successful Shenzhen. Pony.ai volition integrate its autonomous robotaxi services into Tencent's Weixin Mobility Services level and Tencent Maps.
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The woody validates the company's technology, demonstrating its usefulness to a institution arsenic almighty arsenic Tencent. The collaboration volition apt assistance Pony.ai summation much clients and thrust gross growth. It besides benefits from vulnerability to Tencent's tech ecosystem, whose precocious unreality computing, large data, and artificial quality musculus volition heighten Pony.ai's level and assistance refine its models.
The concern is presently bleeding currency and has reasonably meager revenue. Last quarter, it mislaid astir $180 cardinal connected $35 cardinal successful sales.
These numbers look concerning, but they're not antithetic for a comparatively young institution inactive proving its technology. It is good funded and has a beardown equilibrium expanse with astir $750 cardinal successful currency connected hand.
The caller concern volition undoubtedly assistance it determination toward profitability. For those with patience and a higher hazard tolerance, I deliberation Pony.ai could wage off.
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