Pony AI Shares: Short-Term Gains Mask Deeper Struggles

Pony AI's stock presents investors with a confusing narrative this week. Despite posting a 2.42% gain to reach €12.70 over the past day, the autonomous driving specialist remains firmly entrenched in a significant downward trajectory when viewed across broader time horizons.

The current daily performance starkly contrasts with the stock's troubling weekly and monthly trends. Over the past seven days, Pony AI shares have plummeted 14.97%, while the monthly decline reaches a concerning 24.70%. These figures highlight persistent selling pressure that has shadowed the company since its market debut in Hong Kong.

Challenging Market Entry

Pony AI executed its dual listing on the Hong Kong exchange on November 6, 2025, facing immediate market skepticism. The stock closed its first trading session 9.3% below its offering price, establishing a cautious tone from the outset. Although the company successfully raised $863 million through its public offering, investor enthusiasm remained notably subdued.

Quarterly Results: Potential Turning Point?

All eyes now turn to November 25, 2025, when Pony AI is scheduled to release its third-quarter financial results. This announcement could potentially mark a critical inflection point for the company's valuation. Recent operational metrics reveal both promising growth and persistent challenges:

Should investors sell immediately? Or is it worth buying Pony AI?

• Second quarter 2025 revenue surged 76% to $21.5 million
• Robotaxi business segment expanded by 158%
• Net losses simultaneously widened to $53.3 million
• Production exceeded 200 seventh-generation vehicles
• Company targeting over 1,000 Gen-7 vehicles by year-end 2025

The company has achieved substantial cost reductions in its autonomous driving technology, reporting 70% lower material costs, 80% savings in computing units, and 68% reduction in LiDAR system expenses.

Analyst Confidence Persists

Despite the significant share price depreciation, financial analysts maintain surprisingly optimistic outlooks. The average price target of €24.23 suggests nearly 100% upside potential from current trading levels. Strategic partnerships with Uber and testing initiatives in Dubai could accelerate Pony AI's global expansion strategy.

The company's operational foundation appears solid, having secured Level-4 autonomous driving approvals across all four of China's megacities. Nevertheless, the path to commercial profitability remains challenging, testing the patience of even the most committed investors.