I received an email from Stansberry Research today about Matt McCall’s latest stock teaser, which centers around two “v-toll” (AKA air taxi) companies he’s tracking.
The presentation likens “v-tolling” technology to “investing in Apple when they released the first Personal Computer,” “investing in Amazon when they sold their first book over the internet,” and “getting in on Tesla in 2014.”
At one point, he even said it could become a “$19 trillion market opportunity,” representing potential “3,800x growth” for investors.
“This is all building up to a $19 trillion market opportunity.
That’s 3,800x growth for investors who catch the wave of money now.”
Those are some pretty bold claims.
But there is a lot of potential in the “v-toll,” AKA vertical take-off and landing (VTOL) aircraft space. So I was curious enough to sit through the presentation to find out more.
What’s he spruiking?
Matt McCall teased two stocks in the presentation, one of which appears to be a SPAC, and after looking into his clues, I believe I know what both of them are.
So with that said, let’s start by unpacking McCall’s “v-toll” prediction. Then, I’ll show you what stocks I think he’s teasing and how I uncovered them.
Unpacking McCall’s “V-Toll” Prediction
The first thing I want to clarify here is that “v-toll” isn’t a real thing; what Matt McCall is actually referring to is VTOL (vertical take-off and landing) aircraft.
“Because V-TOL stands for Vertical Takeoff and Landing.”
In particular, McCall’s presentation focused on electric vertical take-off and landing (eVTOL) aircraft. McCall didn’t use the term eVTOL in the video, but given how he described the technology, this is exactly what he’s talking about.
“V-TOL technology uses several electric motors, propellers, and onboard batteries.”
In any case, the essence of his “v-tolling” prediction is that eVTOL aircraft have the potential to massively disrupt the transportation industry.
“V-tolling is not just a disruptor in transportation. It’s THE disruptor.”
And as this technology gains traction, McCall believes it could improve everyday life for Americans and “change everything” for investors.
“For everyday Americans, it could improve everything from the amount of traffic you hit on the way to work… to where you decide to live.
And for everyday investors who understand what’s happening… this technology could change everything.”
How does “v-toll” (AKA eVTOL) technology work?
An eVTOL is an electric-powered vertical take-off and landing aircraft that can hover, take off, and land vertically. In other words, it’s a large-scale drone. And they are being developed to transport passengers and deliver products in cities around the world.
Why’s McCall so bullish on this tech?
The main reasons McCall gave as to why he’s bullish on the technology itself is that it could make traveling cheaper, faster, safer, and more efficient.
“In Silicon Valley this technology is known simply as V-TOL. And if you haven’t heard of it, you soon will.
Because, as you’re about to learn, what’s often called ‘v-tolling’ is cheaper, faster, safer, and more efficient than driving.”
Only time will tell if VTOLs are safer. But in time, using an air taxi could easily work out to be faster than driving or catching a plane (overall), depending on where you’re traveling to, which air taxi you use, and what’s available in your area (among other things).
How fast can they travel? During the presentation, McCall said that “this new vehicle” is able to cruise “at up to 405 miles per hour” and go “up to 550 miles” on a single charge.
He didn’t mention which particular VTOL he was talking about, but the only one I’ve been able to find boasting that type of speed and range is the Transcend Air Vy 400R.
In terms of range and speed, this appears to be well above average, though. Most eVTOLs and VTOLs seem to have far less range and speed than this.
For example, Joby Aviation, one of the most popular companies in the space, has developed an eVTOL with a max range of 150 miles and a top speed of 200 miles per hour.
So we could still be a long way from “regular” air taxis flying as fast or far as Matt McCall suggested in the presentation.
Nevertheless, the innovation is very cool. And I could easily see this method of travel being more cost-effective than alternative methods over time.
How cheap? According to Matt McCall, “v-tolling” could allow passengers to go from Dallas to Houston for as little as $0.44 per mile, which would be much cheaper than an Uber ride.
“You’ll be able to go from Dallas to Houston in 34 minutes.
For as little as $0.44 per mile.
That’s about $15 and 93% cheaper than an Uber car ride today.”
Where’d he get those figures from?
It appears McCall is referring to what one expert said at an Uber Elevate conference about how it could eventually be cheaper to fly in an eVTOL than using a car.
However, these are ultimately just projections about what we “could” see in the future as this technology develops. Right now, it’s estimated that passengers could pay between $2.25 to $11 per mile to travel via VTOL as this technology is rolled out.
In any case, McCall believes that “V-tolling” could become as common as “Ubering” is today. And he said it’s “the next big thing in the on-demand era,” which makes sense considering eVTOLs will likely be faster and cheaper than traditional delivery methods.
Aside from the eVTOLs themselves, McCall also said that “one of the biggest reasons” he’s talking about “v-tolling technology” is because of a development project that he believes could bring this technology to millions of people.
Specifically, McCall mentioned what he’s calling the “Orlando Project,” a project that he believes could “bring v-tolling” to millions of people.
“I learned how the Orlando Project, which I told you about earlier, will bring v-tolling to over 20 million riders in Florida as well as the 150 million visitors to the state every year.”
Later in the presentation, McCall explained that the “Orlando Project” has something to do with the Lake Nona Aerotropolis, a development project in Orlando, Florida.
“Let’s go back to the beginning of this story. Back to the Orlando Project I mentioned earlier.
In the small town of Lake Nona, just outside of Orlando, Florida, the first U.S. air taxi vertiport is being built.
It’s called the Lake Nona Aerotropolis.
And they plan to have it fully operational beginning in 2025.”
Based on what he said in the presentation, the specific project McCall’s referring to appears to be a “vertiport” that a flying taxi startup called Lilium is planning to build.
Although that doesn’t appear to be the company he’s teasing. Instead, it’s more of an example he uses to make the case that VTOL technology is taking off (no pun intended).
And according to McCall, this project is only the beginning.
“But the Orlando Project is only the beginning.
Soon, air taxis will likely be available to 70% of the American population.”
To sum it up… Matt McCall believes that “V-Toll” (AKA VTOL) technology could make transportation faster and cheaper. And while he admits this tech is “still in the very early stages,” he says that now is the “perfect moment to get in.”
What company is he teasing?
Revealed: Matt McCall’s V-Toll (Air Taxi) Stock Picks
Matt McCall (directly and indirectly) discussed numerous VTOL companies in the presentation. But he particularly focused on two stocks, which are covered in the following two research reports that come with a subscription to The McCall Report:
- “The #1 Way to Profit From the Air Taxi Revolution”
- “The 50X Autonomous Air Taxi Speculation”
As mentioned, however, I looked into his clues and think I know what he’s teasing. So in the next couple of sections, I’ll show you what I found, starting with his first pick.
Pick 1: “The #1 Way to Profit From the Air Taxi Revolution”
Here’s the first main clue Matt McCall shared about his first air taxi pick:
“The first thing I recommend you do if you are interested in this space is put a little bit of money into what I call ‘The Rolls Royce of Air Taxis.’
This company is the third largest commercial aircraft original equipment manufacturer in the world, only behind Boeing and Airbus.
That means they make integral parts every plane needs to fly.
But here’s what makes them unique, and better than their big-name competitors, when it comes to making an air taxi…
They’re the leader in business and executive jets (planes with 150 passengers), controlling over 35% of the market.
And they just partnered up with Rolls Royce to conduct research.”
Based on that, the company Matt McCall is referring to is most likely Embraer S.A., a Brazilian multinational aerospace manufacturer that, according to Wikipedia, is the third largest producer of civil aircraft behind Boeing and Airbus.
However, the next several clues rule this company out, so I don’t believe Embraer is McCall’s pick. Instead, he seems to be teasing a company that Embraer owns.
“However, taking into account their 1,735 vehicle pre-orders… this company is easily worth over $5 billion.
Getting in on this company now is an early tech investor’s dream. You can buy shares of what could soon be the No. 1 air mobility company for around $10 today.”
“This company is using a backdoor approach to go public.”
After “Googling” different eVTOL companies, I came across this list of eVTOL stocks, and one section of the page was about Embraer and its subsidiary, Eve (Eve UAM, LLC), which appears to match the “1,735 vehicle pre-orders” clue.
The article also pointed out that Eve is set to list on the NYSE via a SPAC this year (2022). And that lines up with McCall’s “using a backdoor approach to go public” clue.
What’s a SPAC? A special purpose acquisition company (SPAC) is a public company that’s created to acquire or merge with a private company. Instead of having its own commercial operations, SPACs exist to raise money and take another company public.
And according to this article on evtol.com, the SPAC Eve has announced plans to merge with is Zanite Acquisition Corp. (ZNTE). The article also states that if the merger is successful, Zanite will change its name to Eve Holding and list on the NYSE under the ticker EVEX.
So, long story short, it appears McCall is teasing Zanite Acquisition Corp. (ZNTE) because that’s the only stock I can see that matches and that you can get for “around $10.”
Of course, that’s just a guess.
And as for whether or not it’s a good investment, I’ll leave that for you to decide. My aim with these posts is to try to uncover the stock and share my opinion, not share advice.
That said, there are some helpful resources online that break down the investment case for this company. For example, there are articles about Eve on Seeking Alpha and evtol.com.
And Matt McCall shares the research on his picks in the reports I listed earlier, so assuming my guess is correct, you might find that helpful too.
One thing I will mention, however, is that while all investments involve risk, there are unique risks associated with SPACs, and this article on TheStreet discusses some of them. So you might find that helpful if you want to research SPACs further.
Pick 2: “The 50X Autonomous Air Taxi Speculation”
Matt McCall’s second pick is a company he says he’s recommended before:
“And my readers already had the chance to cash in on as much as a 12x gain in one year thanks to this idea.
But that’s nothing compared to what’s ahead.
And the reason I’m telling you about this company right now is because it’s trading at a huge discount.
After racing to a high of $129 a little over a year after going public in 2019.
It’s now back down around $12 per share.”
According to Matt McCall, this company is “leading the pack in self-flying air taxis” and “holds 343 patents” related to technology that air taxis “will likely need in the near future.”
“There’s one company leading the pack in self-flying air taxis. Just like self-driving cars… everything is headed down the autonomous path.
This one company holds 343 patents related to technology that every single air taxi will likely need in the near future. Which means everyone is likely going to be coming to them with their hands out.”
So we’re looking for an eVTOL company with self-flying air taxis that holds a lot of patents.
What else does McCall say? The other main clues he shared relate to the company potentially gaining a “full type certification” soon and successful test flights it’s run.
“This company reports they could gain full type certification for their autonomous vehicle ‘in the next few months,’ after which commercial operations can begin – potentially years earlier than American and European competitors.”
“So far, they’ve conducted more than 10,000 successful test flights. Including passenger test flights, in 42 cities across eight countries.”
What could it be?
The first clue I looked into was the one about the certification, and that led me to an article on newatlas.com about eHang, a Chinese company that manufactures autonomous aerial vehicles (AAVs). In other words, autonomous eVTOLs.
And according to that article, the company is hoping to achieve “full type certification” for its autonomous EH216 eVTOL aircraft “in the next few months.”
The clues about the test flights also line up. And it seems to have lots of patents, as McCall suggests, although how important or relevant they are is unclear.
And lastly, EHang Holdings stock (listed on the NasdaqGM under ticker EH) rose by roughly 12x, running up to around the $129 mark in early 2021.
And while it’s now sitting at around $8, it was trading at around $12 in April 2022. So my guess is that even though the presentation was released in May, it may have actually been recorded in April. Either way, eHang appears to be a match.
How do you find out more?
If you want to know for sure what companies Matt McCall is bullish on and get the research he’s done on each company, the best idea would be to join The McCall Report. Because in doing so, you get access to the two reports I mentioned earlier, which detail his picks.
Recommended: Go here to see my #1 rated stock advisory of 2022
What Is The McCall Report?
The McCall Report is Matt McCall’s flagship investment newsletter that’s focused on emerging trends that he believes could see significant growth in the years ahead.
According to Stansberry Research (the company behind the service), Matt McCall launched this service out of a belief that the next decade will bring tremendous growth to companies that embrace the “monumental changes set to occur over the next 10 years.”
And his aim is to find those companies and share his picks with subscribers.
How does it work?
The core component of the service is the monthly newsletter, where each month, McCall shares his latest market analysis and investment ideas with subscribers.
The investment ideas he shares will depend on what he’s tracking at the time, but McCall appears to be mostly focused on emerging tech and biotech stocks.
Aside from the monthly newsletter, subscribers also get updates on McCall’s existing recommendations and access to the model portfolio, quarterly videos, and research reports (including the reports mentioned earlier).
How much does it cost?
The McCall Report costs $199 per year, but Stansberry Research is running a special with the “v-toll” presentation that allows you to join for $49 for the first year. After that, it automatically renews at $199.
Is it legit? As with any service, there’s no guarantee you’ll make money following Matt McCall’s recommendations, but the service is legitimate. And it could be worth checking out if you’re interested in learning about companies in the emerging tech space.
Who Is Matt McCall?
Matt McCall is an author, entrepreneur, and former stockbroker-turned-stockpicker who runs several services at Stansberry Research.
His flagship service is the McCall Report, but he also runs a higher-tier service called Matt McCall’s MegaTrend Investor.
Before that, McCall ran a service called Investment Opportunities for a different publishing company called InvestorPlace.
Does he have a good track record? Matt McCall seems to have recommended some great stocks over the years. For instance, he claims to have recommended Tesla in 2014, and numerous other tech and biotech stocks that he says have seen 10x gains.
Of course, not all of his picks have worked out. And regardless of what someone has recommended in the past, that doesn’t mean their picks will work out well in the future.
But McCall seems to have picked some solid companies over the years. And I’ve covered some of his presentations on this site. Most recently, I wrote about his V2G technology stock pick. So if you want to see what else he’s bullish on, check that out.
Matt McCall’s “V-Toll” presentation centers around eVTOL aircraft and how he believes this technology could make transportation faster and cheaper in the years ahead.
Nobody can predict the future, but In terms of the overall trend, I think eVTOLs are inevitable. And over time, air taxis will almost certainly get better, faster, and cheaper for commuters. So I’m interested to see how this space develops.
However, there’s no telling what individual companies will turn out to be the best investments. And there’s no guarantee McCall’s “v-toll” picks will make you money.
I also want to point out that I’m not making any recommendations about what you should or shouldn’t do regarding the companies mentioned in this post. My aim was purely to share my take on the presentation and try to uncover the stocks McCall was teasing.
And with that said, thanks for reading; I hope you found this helpful. I’m keen to hear your thoughts on all of this too. So if you feel like chiming in, drop a comment below.