Serve Robotics: Stock Price, Earnings, News, and Nvidia Connection

Serve Robotics is one of the most talked-about names in the autonomous delivery industry. The company designs and operates small robots that move along sidewalks to deliver food and other goods. It was born out of Postmates’ robotics division before becoming a spin-off when Uber acquired Postmates. Since then, Serve has worked to build an independent identity while staying closely tied to Uber Eats.

The company represents the promise of automation in urban life. It also represents the challenges of scaling robotics into a sustainable business. Serve is now a public company trading under the ticker SERV. 

Its stock has been volatile, gaining attention due to partnerships, earnings reports, and even a past investment by Nvidia. Understanding Serve means looking at both its technology and its financial performance.

Serve Robotics Technology

Serve’s robots are designed for last-mile delivery. They are small, electric, and zero-emission. The robots move on sidewalks and can carry food or goods from a restaurant to a customer’s home. They use sensors, cameras, and artificial intelligence to detect obstacles, avoid pedestrians, and follow safe routes.

Each robot is built with autonomy in mind. It can navigate crosswalks, stop for traffic, and recognize complex city environments. The design focuses on being safe around people. The robots are not fast, but they are steady and efficient. They are also designed to be cost-effective for businesses and convenient for customers.

Partnerships With Uber Eats

Uber Eats is the backbone of Serve’s business. The two companies have a commercial agreement that allows Serve robots to deliver through Uber’s app. Some Los Angeles users may already see a robot appear instead of a human courier. The integration means Serve does not need to build its own consumer app. It simply connects with orders already placed on Uber Eats.

Serve and Uber also have a large deployment plan. The deal could lead to as many as 2,000 robots operating under Uber Eats deliveries. This gives Serve a clear pathway to growth and a steady source of demand. It also helps Uber cut costs and emissions while providing a futuristic delivery option.

Expansion and New Opportunities

Serve is not just operating in Los Angeles. It has started expanding into new cities such as Miami. In Miami, Serve covers areas like Brickell and Miami Beach, giving more customers access to robotic delivery. Expanding into multiple cities shows that Serve is testing its scalability. It also shows that regulators and local governments are allowing these robots on sidewalks.

Serve is also looking beyond ground robots. In 2024, the company announced a partnership with Wing, Alphabet’s drone delivery unit. The plan is for robots to handle the short trip from a restaurant to a local hub. From there, drones can carry the food to distant neighborhoods. 

This hybrid model could solve the limited range of sidewalk robots. It also positions Serve as a multi-modal delivery company, not just a robot operator.

Financial Performance and Earnings

Revenue and Sales

Serve Robotics is still in the early stages of revenue growth. In a recent quarter, sales were only $176,000, missing analyst expectations of $250,000. That number is small compared to its long-term ambitions. However, Serve is growing its fleet and expanding to new markets. Once hundreds or thousands of robots are deployed, revenue could rise significantly. Estimates suggest that 2,000 robots could generate $60 to $80 million in revenue per year.

Losses and Cash Position

Like many startups, Serve is losing money. In Q1 of this year, losses reached about $13.2 million. That is far larger than its revenue. Still, the company has cash reserves of more than $120 million, boosted by a fundraising round earlier this year. This gives Serve the ability to keep operating while it scales. The question is how quickly revenue can grow compared to its expenses.

Serve Robotics on the Stock Market

Current Share Price

Serve trades on NASDAQ under the ticker SERV. Its share price recently closed at around $12.00. The stock has seen big swings over the past year. At one point, it traded above $20. After that, it fell sharply, especially after Nvidia sold its stake. The volatility shows how much investor sentiment drives the stock.

Nvidia’s Role

Nvidia once owned about 10% of Serve Robotics. That investment helped raise Serve’s profile. It also gave investors confidence that a leading AI company saw value in the robots. However, when Nvidia sold its shares, the market reacted strongly. Serve’s stock fell by more than 50% after the sale. Some investors saw that as a red flag, while others saw it as an overreaction.

Stock Prediction and Outlook

Analysts give Serve a price target of about $17.75. That suggests nearly 50% upside from current levels. The optimism is based on Serve’s ability to grow its fleet, expand into more cities, and increase revenue. But risks remain high. Short interest is over 25%, meaning many traders are betting the stock will fall.

Serve will likely remain volatile. Positive news about partnerships or expansion could lift the stock. Negative news about accidents, regulation, or slow growth could push it lower. It is seen as a speculative stock, not a stable long-term play yet.

Recent News Highlights

• Uber Eats and Shake Shack Deal: Serve announced that it will deliver Shake Shack orders in Los Angeles using robots. This boosts brand visibility and shows adoption by major restaurant chains.
• Drone Pilot in Texas: Serve teamed up with Wing for a pilot that combines robots and drones. This could expand delivery range and efficiency.
• Miami Launch: Robots are now delivering in Miami, a sign of geographic growth.
• Safety Concerns: A robot was reported to have nearly collided with a person using a mobility scooter. While no harm was done, it raised questions about safety.

Risks and Challenges

Serve faces many challenges. Building and deploying thousands of robots is expensive. The technology must be safe, reliable, and accepted by the public. Regulations vary by city, and a single bad incident could slow progress. Competition is another issue, as other companies are testing delivery robots and drones.

Dependence on Uber Eats is both a strength and a risk. The partnership gives Serve customers and scale, but it also means Uber has significant influence over Serve’s future. If Uber changes its strategy, Serve would feel the impact immediately.

Conclusion

Serve Robotics represents both promise and uncertainty. Its robots are already operating in major cities, bringing futuristic delivery into daily life. Its partnership with Uber Eats and Wing shows strong opportunities. Yet the financials remain weak, and the stock reflects high volatility.

For investors, Serve is a speculative growth play. It could rise if adoption accelerates, but it also faces risks that could lead to setbacks. For the robotics industry, Serve is a pioneer showing how automation might change urban living. Whether it succeeds or struggles, Serve Robotics is a company to watch closely in the coming years.