Why Is EHang Holdings Stock Gaining Today?

EHang Holdings Limited EH shares are trading higher on Friday.

The company announced that Japan’s first urban air mobility, or UAM Center, was established in Tsukuba City, Ibaraki Prefecture.

The center serves as a demonstration flight site, ground infrastructure, and maintenance base for EHang’s various pilotless electric vertical takeoff and landing aircraft in the region, including EH216-S, the company said in a press release.

The establishment of the UAM Center is the result of a strategic partnership between EHang and AirX Inc., a Japanese air mobility digital platform company. 

The UAM Center, built on the former Helicopter Control and Command Center site owned by Ibaraki Prefectural Government, accommodates hangars with a capacity for about 25 EH216-S aircraft units.

Covering an expanse of approximately 30,000 square meters, the shared landing platform serves helicopters and eVTOLs alike. 

The UAM Center is tailored to accommodate the diverse demands of modern air mobility, including pilotless eVTOLs, helicopters, and private jets.

To date, the EH216-S pilotless eVTOL aircraft has successfully conducted flights across 12 cities in Japan, showcasing its versatility in various use cases, including aerial sightseeing, island transportation, aerial logistics, and emergency services.

Huazhi Hu, Founder, Chairman, and CEO of EHang, remarked, “This is a key milestone in UAM, bringing us one step closer to introducing a new era of transportation to the public.”

“EHang will continue collaborating with our partners in promoting safe, autonomous, and environmentally friendly UAM solutions in Japan, as we aim to offer our pilotless eVTOLs to a global audience and enhance the lives of people worldwide,” Hu added.

EH stock has gained over 96% in the past year. Investors can gain exposure to the stock via SPDR S&P Kensho New Economies Composite ETF KOMP.

Price Action: EH shares are trading higher by 2.47% to $18.24 on the last check Friday. 

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