Pony AI initiated with a Buy at BofA

BofA analyst Ming Hsun Lee initiated coverage of Pony AI (PONY) with a Buy rating and $18 price target Pony is a global leader in achieving large-scale commercialization of autonomous mobility, including robotaxi and robotruck business, the analyst tells investors in a research note. BofA likes Pony’s proprietary Virtual Driver technology, which integrates in-house software, hardware, and services, to deliver reliable and cost-effective autonomous mobility in diverse circumstances, and believes the Chinese government will continue to have policies for the robotaxi/robotruck industry and to support industry leaders like Pony, against the backdrop of mobility transformation becoming a key area of technology competition between China and the U.S.