So-called "flying taxis" are going mainstream, and investors are rushing into shares of the early market leaders.

Joby Aviation (JOBY 9.11%) stock traded up as much as 14.9% at the market open and were up 8.6% as of 10:30 a.m. ET after President Donald Trump signed an executive order aiming to "unleash" development of the company's new flying machines.

Image source: Joby Aviation.

Markets taking shape

Joby is one of a handful of aerospace companies racing to bring electric aircraft capable of vertical takeoffs and landings, or eVTOLs, to market. It takes time for new designs to win Federal Aviation Administration (FAA) approval, but if all goes well, Joby and rival Archer Aviation could have air taxis in the air as soon as next year.

Late Friday, investors got a look at the potential market for the eVTOLs once they are approved for takeoff. President Trump signed an executive order aimed at "unleashing American drone dominance," which included a mandate that the Department of Transportation advance eVTOLs.

Within 180 days, according to the order, Transportation is to select "at least" five pilot projects that plan to begin eVTOL operations, including advanced air mobility, medical response, cargo transport, and rural access.

Is Joby stock a buy?

There is still a lot that must go right for Joby, including winning FAA certification and proving it can manufacture its aircraft at scale. And Joby already had several customers lined up, including a high-profile deal announced last week with Saudi Arabia to distribute its aircraft there.

Still, the executive order points to the potential of these aircraft to disrupt existing technologies.

Joby carries a market capitalization of more than $7 billion, a lot for a pre-revenue company. But the potential is there. For investors excited about the technology and willing to carry some risk in a diversified portfolio, Joby looks like the leader of the eVTOL pack.