Pony AI Inc. (NASDAQ:PONY) shares rose in Monday’s premarket session after the company unveiled a new autonomous driving domain controller developed with NVIDIA Corp. (NASDAQ:NVDA).



<h2>Product And Technology</h2>



The system, built on NVIDIA DRIVE Hyperion and powered by DRIVE AGX Thor with NVLink, enhances AI performance and efficiency and supports advanced models.



It meets key Level 4 requirements, including multi-sensor fusion and full-scenario perception, while improving safety and reliability.



The platform supports multiple configurations and delivers up to 4000 FP4 TFLOPS of computing power.



<h2>Commercialization And Scale</h2>



The controller builds on Pony AI’s partnership with NVIDIA and follows earlier deployments in its sixth- and seventh-generation Robotaxis.



Pony AI has reached unit economics breakeven in two Chinese markets and plans to expand its fleet to over 3,000 vehicles across 20+ cities by 2026.



The company expects its 2027 Robotaxi cost to fall below 230,000 Chinese yuan (~$33,700), driven by a 70% reduction in costs. Its fleet exceeds 1,400 vehicles with over 1 million users.



<h2>Expansion And Outlook</h2>



Pony AI is expanding into new applications, including an L4 autonomous electric light-duty truck developed with CATL, targeting a 40%–50% reduction in freight costs.



CEO Dr. James Peng said, “The next-generation domain controller built on NVIDIA DRIVE Hyperion will be a key enabler for the continued evolution of our L4 autonomous driving products and help accelerate large-scale commercialization.”



<h2>PONY Technical Outlook</h2>



Pony AI is currently trading within its 52-week range, with a high of $24.92 and a low of 5.91, suggesting it is positioned in the lower half of this range.



The relative strength index (RSI) is at 48.89, indicating a neutral momentum state, which suggests the stock is neither overbought nor oversold at this time.



The moving average convergence divergence (MACD) is above the signal line, indicating bullish momentum. This suggests potential upward movement in the near term.



<ul>
<li>Key Resistance: $11.50 — A level where selling pressure may emerge.</li>



<li>Key Support: $10.00 — A potential area for buyers to step in.</li>
</ul>



<h2>PONY Earnings Preview And Analyst Price Targets</h2>



Pony AI’s next financial update is on May 19, 2026 (estimated).



<ul>
<li>EPS Estimate: Loss of 13 cents (Down from Loss of 10 cents)</li>



<li>Revenue Estimate: $21.96 million (Up from $13.98 million)</li>
</ul>



Analyst Consensus &amp; Recent Actions: The stock carries a Buy Rating with an average price target of $21.17. Recent analyst moves include:



<ul>
<li>HSBC: Initiated with Buy (Target $16.60) (March 31)</li>



<li>Barclays: Equal-Weight (Lowers Target to $10.00) (March 30)</li>



<li>Barclays: Initiated with Equal-Weight (Target $15.00) (December 17, 2025)</li>
</ul>



<h2>PONY ETF Exposure</h2>



<ul>
<li>SPDR S&amp;P Kensho Smart Mobility ETF (NYSE:HAIL): 2.34% Weight</li>



<li>Roundhill Robotaxi, Autonomous Vehicles &amp; Technology ETF (NASDAQ:CABZ): 4.36% Weight</li>
</ul>



Significance: Because PONY carries significant weight in these funds, any significant inflows or outflows will likely trigger automatic buying or selling of the stock.



PONY Stock Price Activity: Pony AI shares were up 1.59% at $10.86 during premarket trading on Monday, according to Benzinga Pro data.



Image via Shutterstock

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Pony AI's stock rose 1.59% to $10.86 in premarket trading after unveiling a new NVIDIA-powered autonomous driving controller. This platform enhances AI performance and meets Level 4 requirements, supporting Pony AI's expansion plans, including a fleet of over 3,000 vehicles by 2026. The company expects significant cost reductions for its Robotaxi services. Analysts maintain a Buy rating with an average price target of $21.17, while the stock is currently trading within its 52-week range, indicating potential upward momentum.

- Pony AI Inc. shares increased in premarket trading following the introduction of a new autonomous driving domain controller developed with NVIDIA.  
- The controller, powered by NVIDIA DRIVE technologies, aims to enhance AI performance, meet Level 4 autonomy requirements, and boost Pony AI's Robotaxi operations, which are breakeven in two Chinese markets.  
- The company plans to expand its fleet significantly and expects a reduction in Robotaxi costs, while analysts maintain a Buy rating with a price target of $21.17.

Pony AI Stock Rises After NVIDIA-Powered Tech Reveal