Al Root

Beta Technologies stock was down early Monday after the company reported better-than-expected fourth-quarter sales and guidance. Investors just don't seem to be willing to give the aerospace start-up the same credit as peers Joby Aviation and Archer Aviation yet.

Monday morning, Beta announced a fourth-quarter adjusted earnings before interest, taxes, depreciation, and amortization, or Ebitda, loss of $104 million from sales of $11.1 million. Wall Street was looking for a $110 million loss from sales of $8 million, according to FactSet.

Beta, which makes electrified propulsion systems for aircraft, charging infrastructure, and electric vertical takeoff and landing, or eVTOL, aircraft, among other products, is new, completing its initial public offering in November. Sales and business development should mean more than bottom-line earnings at this point.

For 2026, Beta expects sales of $39 million to $43 million and an Ebitda loss of between $305 million and $395 million. Wall Street projects 2026 sales of $34 million and an Ebitda loss of $330 million.

Sales guidance is ahead of the Street, partly due to an acceleration in its defense business. Beta is making an uncrewed hybrid-electric aircraft capable of moving one ton of cargo.

The loss is substantial, but the company ended the year with $1.7 billion in cash. What's more, Joby is expected to lose more than $600 million in 2026. Archer is expected to lose more than $700 million.

Shares were down 3.9% at $18.51 in premarket trading, while S&P 500 and Dow Jones Industrial Average futures were down 1% and 1.1%, respectively. Higher oil prices are weighing on investor sentiment. Benchmark crude prices topped $100 per barrel early Monday.

Beta stock has had trouble gaining altitude. Coming into Monday trading, Beta Technologies stock was down 32% this year and down 43% from its $34 IPO price.

Beta's market value is about $4.4 billion, less than Joby's $9.4 billion valuation and Archer's $4.7 billion valuation.

The market is still figuring out the electric and eVTOL aircraft market. Beta's lower valuation comes despite higher expectations. By 2030, Wall Street expects $3.7 billion in sales and $610 million in Ebitda. For Joby, those projections are $2 billion and $150 million, respectively. For Archer, $2.5 billion and $478 billion, respectively.

The projections make the valuations seem a little off. Time will tell. For now, Beta can only focus on delivering on its 2026 goals after a busy year this past year.

"2025 was a defining year for BETA...We demonstrated our capabilities in the air to customers, partners, and regulators, reaching a total of over 100,000 nautical miles flown," said CEO Kyle Clark. "We sustained that momentum through certification milestones across our family of aircraft, continued expansion of our charging network domestically and internationally, and added to our commercial aircraft and component backlog."

Write to Al Root at allen.root@dowjones.com

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(END) Dow Jones Newswires

March 09, 2026 07:36 ET (11:36 GMT)

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