Key Takeaways Serve Robotics' Q2 revenues surged 404% to $3.24M, with recurring revenues above 50% of sales.SERV cut 2026 revenue guidance to $9-$10M after weaker Uber Eats volume, despite 2,000 robots deployed.SERV ended Q2 with $240.4M in liquidity, but used $84.7M in operating cash during the first half. Serve Robotics Inc. (SERV - Free Report) ended the second quarter of 2026 with $240.4 million in cash and marketable securities, giving the autonomous delivery company a cushion as it scales its robot ambitions. But the bigger question is how efficiently that capital can drive revenues and better economics.
SERV’s second-quarter 2026 revenues jumped 404% year over year to $3.24 million, supported by fleet services, advertising and software. Recurring revenues exceeded 50% of total sales, while advertising accounted for nearly half of robotic food-delivery revenues. DoorDash revenues also grew nearly 50% sequentially, highlighting the potential of a more diversified business model. Still, liquidity is being tested by heavy spending. Serve Robotics reported a $64.1 million net loss in the second quarter, while cash used in operations reached $84.7 million during the first half of 2026. The company also raised about $84.9 million through its ATM stock offering, highlighting the capital-intensive nature of its expansion.
Management is responding with tighter spending priorities. Serve Robotics lowered 2026 adjusted operating expense guidance to $140-$150 million and capital expenditures to $15-$17 million, while maintaining investments in autonomy and software. The company is also targeting higher robot utilization, direct merchant relationships and recurring revenue streams.
However, the cut in 2026 revenue guidance to $9-$10 million from $26 million following weaker Uber Eats volume remains a concern. With more than 2,000 robots deployed, the next phase is less about fleet expansion and more about monetization. Thus, Serve Robotics’ $240.4 million liquidity position provides runway, but sustained revenue growth, utilization gains and tighter cash burn will determine whether that cushion can fund a scalable robotics platform.
Serve Robotics vs. NVIDIA & Symbotic: AI Robotics RaceServe Robotics, alongside renowned market players like NVIDIA Corporation (NVDA - Free Report) and Symbotic Inc. (SYM - Free Report) , is benefiting from the accelerating adoption of AI-powered robotics, but each occupies distinct positions in the value chain.
SERV focuses on deploying autonomous robots for last-mile delivery and healthcare, using its proprietary autonomy stack, real-world data and fleet scale to improve utilization and unit economics. NVIDIA has a broader infrastructure advantage, providing GPUs, edge computing, simulation tools and robotics software through platforms such as Isaac. Its technology enables robots to perceive, learn and make real-time decisions across industries, giving NVIDIA exposure to the expanding physical AI ecosystem without relying on a single robotics application.
Meanwhile, Symbotic specializes in AI-powered warehouse automation, combining robotic systems with proprietary software to orchestrate inventory movement, routing and fulfillment. Its end-to-end platform targets large retail and supply-chain customers, creating a more established warehouse automation model.
Overall, Serve Robotics offers higher exposure to emerging autonomous delivery, NVIDIA to the underlying AI-computing infrastructure and Symbotic to scalable warehouse automation. As demand for physical AI expands, each could capture different layers of the robotics opportunity.
SERV Stock’s Price Performance & Valuation TrendShares of this San Francisco-based sidewalk delivery robot developer have plunged 51.4% in the past six months, significantly underperforming the Zacks Computers - IT Services industry, the broader Zacks Computer and Technology sector and the S&P 500 Index, as the trendlines highlight below.
Image Source: Zacks Investment Research
SERV stock is currently trading at a premium compared with the industry peers, with a forward 12-month price-to-sales (P/S) ratio of 13.99, as the trend lines suggest below.
Image Source: Zacks Investment Research
EPS Trend of SERVSERV’s bottom-line estimates for 2026 and 2027 indicate losses per share of $2.71 and $2.22, respectively, which have widened over the past 30 days. The revised estimated figures for 2026 imply a year-over-year decline of 66.3%, while the same for 2027 indicates year-over-year growth of 18.2%.
Image Source: Zacks Investment Research
Serve Robotics currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Key Takeaways Serve Robotics is expanding its platform with 2,000 robots across more than 40 cities.Symbotic's fiscal Q3 revenues rose 22%, led by 57% growth in software revenues.Serve Robotics trades at a higher forward P/S multiple while its loss estimates have widened. The rapid adoption of AI, automation and robotics is reshaping how goods move through cities, warehouses and other physical environments. As businesses seek greater efficiency, reliability and productivity, companies developing robotics platforms and software are gaining increasing attention. Serve Robotics Inc. (SERV - Free Report) , a last-mile autonomy company focused on autonomous delivery robots, and Symbotic Inc. (SYM - Free Report) , a warehouse automation company focused on robotics and software, offer distinct approaches to the broader opportunity in physical automation.
Both companies are expanding the role of software, AI and proprietary data within their robotics platforms. Serve Robotics is focused on improving robot productivity, utilization, merchant integration and operational leverage while broadening its last-mile use cases. Symbotic is enhancing its automation system through physical AI, LiDAR, vision, software and modularized robotics designed to optimize warehouse operations and supply chains. Their differing applications, technology strategies and paths toward greater automation make the two stocks an interesting comparison for investors.
Let’s dive deep and closely compare the fundamentals of the two stocks to determine which one is a better investment now.
The Case for Serve Robotics StockServe Robotics is broadening its robotics platform as demand grows for automation across last-mile delivery and other physical-world logistics applications. The company is expanding beyond food delivery through software, recurring revenues and hospital robotics, while continuing to invest in autonomy, artificial intelligence, fleet capabilities and data infrastructure. Its partnerships with Uber Technologies, Inc. (UBER - Free Report) and DoorDash, Inc. (DASH - Free Report) are also helping develop its delivery network, while the company pursues additional partnerships and direct merchant relationships to expand the reach of the robotics platform.
The company is also focused on improving robot utilization and the economics of its delivery network. DoorDash deliveries grew nearly 50% sequentially in the quarter, providing another distribution channel, while Serve Robotics is working to reduce merchant integration barriers through Beacon, allowing restaurants to connect directly with its network without relying on existing internet or point-of-sale systems. The company has also expanded its fleet to 2,000 robots across more than 40 cities, providing a broader base from which to increase utilization and expand last-mile use cases.
However, weaker delivery volumes and a reduced revenue outlook remain key challenges for Serve Robotics. The Uber partnership also adds uncertainty following a decline in delivery activity and differences in the companies’ operating models. At the same time, continued investment in its robotics platform is keeping profitability under pressure, making higher robot utilization, stronger revenue growth and improved operating efficiency important for the company’s financial outlook.
Serve Robotics is focused on making its robots safer, faster, smarter and more reliable while expanding the applications and environments they can serve. Advances in autonomy, AI, software and proprietary data, together with broader distribution and merchant access, could improve robot utilization and unit economics while helping the company establish a more diversified robotics platform across physical-world logistics.
The Case for Symbotic StockSymbotic is expanding its robotics platform as businesses increasingly adopt automation to improve warehouse and supply-chain operations. The company is combining robotics, software, physical AI, LiDAR and vision to enhance the efficiency and performance of its systems. In the fiscal third quarter of 2026, revenues increased 22% year over year, while software revenues grew 57% and operations services revenues increased 49%, reflecting the growing contribution from operational systems and recurring revenues.
The company is also broadening its platform through new robotics and software capabilities. SymBot upgrades, modularized software development tools, SymMicro and LiDAR are designed to support different tasks and improve system performance, while ARMS expands the software opportunity into warehouse operations optimization. The company is also using Fox Robotics to enter dock automation, giving it additional ways to apply robotics and software across physical-world logistics.
However, deployment timing and project mix can create some lumpiness in revenues, while the company continues to invest in research and development as it pursues newer opportunities. The expansion of products such as SymMicro, ARMS and additional robotics capabilities also requires continued integration and customer adoption, while operating expenses could increase as the company maintains flexibility to invest in its innovation pipeline.
Looking ahead, Symbotic is moving toward a more software-centric robotics platform, with AI agents designed to communicate directly with robots and help predict system issues before they occur. The company is also using proprietary data, LiDAR and AI to improve automation, while newer software add-ons and robotics applications could expand its role beyond individual warehouse processes toward broader warehouse operations and supply-chain optimization.
Stock Performance & ValuationAs witnessed from the chart below, in the year-to-date period, Serve Robotics' share price performance has stood below that of Symbotic.
Image Source: Zacks Investment Research
Considering valuation, Serve Robotics is currently trading at a premium compared with Symbotic on a forward 12-month price-to-sales (P/S) ratio basis.
Image Source: Zacks Investment Research
What Do Analyst Estimates Signal for SERV & SYM?Serve Robotics’ bottom-line estimates for 2026 and 2027 indicate losses per share of $2.71 and $2.22, respectively, which have widened over the past 30 days. The revised estimated figures for 2026 imply a year-over-year decline of 66.3%, while the same for 2027 indicates growth of 18.2%.
SERV's EPS Trend
Image Source: Zacks Investment Research
The Zacks Consensus Estimate for Symbotic’s fiscal 2026 and 2027 earnings has trended upward over the past 30 days to 58 cents and 75 cents per share, respectively. The revised estimated figures for fiscal 2026 imply a year-over-year decline of 68.1%, while the same for fiscal 2027 indicates growth of 28.5%.
SYM’s EPS Trend
Image Source: Zacks Investment Research
Which Stock Has More Upside Now?Both Serve Robotics and Symbotic are positioned to benefit from the growing adoption of AI, automation and robotics across physical-world logistics. SERV offers greater exposure to last-mile autonomy, while SYM benefits from its warehouse automation platform, expanding software capabilities and physical AI opportunities.
SERV has strong long-term potential from broader merchant adoption, higher robot utilization and continued advances in autonomy. However, weaker delivery volumes and profitability remain concerns. Both SERV and SYM carry a Zacks Rank #3 (Hold) at present. SYM also faces deployment and execution challenges, but its stronger earnings trajectory and broader automation platform provide a more balanced growth profile.
Although SERV offers significant long-term potential, SYM presents a more balanced combination of earnings visibility, valuation and growth prospects. Overall, SYM has a slight edge over SERV at present.
You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
For the quarter ended June 2026, Serve Robotics Inc. (SERV - Free Report) reported revenue of $3.24 million, up 405.9% over the same period last year. EPS came in at -$0.80, compared to -$0.36 in the year-ago quarter.
The reported revenue represents a surprise of -8.45% over the Zacks Consensus Estimate of $3.54 million. With the consensus EPS estimate being -$0.69, the EPS surprise was -15.94%.
While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to determine their next move, some key metrics always offer a more accurate picture of a company's financial health.
Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock's price performance.
Here is how Serve Robotics Inc. performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:
Daily Active Robots: 792 compared to the 1,510 average estimate based on two analysts.Revenue- Software services: $0.93 million versus the three-analyst average estimate of $0.31 million. The reported number represents a year-over-year change of +199%.Revenue- Fleet services: $2.31 million versus $3.25 million estimated by three analysts on average. Compared to the year-ago quarter, this number represents a +598.5% change.View all Key Company Metrics for Serve Robotics Inc. here>>>
Shares of Serve Robotics Inc. have returned -3.9% over the past month versus the Zacks S&P 500 composite's +3.3% change. The stock currently has a Zacks Rank #3 (Hold), indicating that it could perform in line with the broader market in the near term.
The company is targeting food delivery services with its robots.
*Stock prices used were the afternoon prices of Aug. 3, 2026. The video was published on Aug.5, 2026.
Parkev Tatevosian, CFA has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Serve Robotics. The Motley Fool has a disclosure policy. Parkev Tatevosian is an affiliate of The Motley Fool and may be compensated for promoting its services. If you choose to subscribe through his link, he will earn some extra money that supports his channel. His opinions remain his own and are unaffected by The Motley Fool.
3 Stocks Under $20 to Buy Before a Broader Market RallyServe Robotics NASDAQ: SERV reported second-quarter revenue growth but sharply reduced its full-year outlook after delivery volume through Uber declined for the first time in 17 quarters, prompting the company to reassess the future of the partnership and redirect resources toward other channels.
Chief Executive Officer and Co-Founder Ali Kashani said delivery volume through Uber had increased for 17 consecutive quarters from the first quarter of 2022 through the first quarter of 2026. That trend reversed in the second quarter because of lower-than-expected robot utilization.
Get Serve Robotics alerts:
5 Robotics Stocks to Watch as Physical AI Builds MomentumKashani said customer and merchant demand remained steady and fleet performance improved, but the company attributed the volume decline largely to changes in the operating model and integration between Serve and Uber. He said the companies have differing views on issues including fleet coordination and merchant integration.
“Based on the volume decline and some of these recent broader discussions with Uber, we don't currently expect that it would make sense to renew our agreement when it expires in early 2027,” Kashani said, unless the operating model improves meaningfully. He added that Serve remains engaged with Uber and is open to finding a path to continue working together.
Revenue Guidance Cut as Expected Uber Ramp Is Removed SERV Robotics Delivers Catalyst for Short-SqueezeServe reported second-quarter revenue of $3.2 million, up 9% from the first quarter and more than 400% year-over-year. However, Kashani said the result was below the level needed to support the company’s previous full-year outlook.
The company cut its full-year 2026 revenue guidance to $9 million to $10 million from a prior forecast of $26 million. CFO Brian Read said the revised range would still represent nearly 3.5 times year-over-year revenue growth.
According to management, the guidance reduction reflects both the delivery decline that occurred during the second quarter and the removal of a previously expected substantial increase in Uber delivery volume during the second half of the year.
Kashani emphasized that Uber represented a limited portion of second-quarter revenue. He said the size of the guidance cut reflected the removal of an anticipated future ramp rather than the loss of a large existing revenue stream.
Read said total revenue increased sequentially because other business lines more than offset a meaningful quarter-over-quarter decline in delivery revenue. Daily active robots were steady, while software revenue was nearly $1 million.
Second-quarter revenue: $3.2 million, compared with $3 million in the first quarter. Second-quarter gross loss: approximately $8.8 million. Second-quarter gross margin: negative 271%. GAAP operating expenses: $57.3 million. Non-GAAP operating expenses: approximately $40.4 million. GAAP net loss: $64 million, or $0.80 per share. Non-GAAP net loss: $47.1 million, or $0.59 per share. Read said fleet gross margin improved sequentially despite the Uber delivery decline, which he attributed to operational efficiency and cost discipline. He said the company’s path toward positive gross margin depends on higher revenue per robot operating hour, improved operational productivity, and a larger contribution from recurring software and platform revenue.
Diversification Efforts Include DoorDash, Advertising and Healthcare Management pointed to growth in other delivery and non-delivery channels as evidence of the company’s diversification strategy. Kashani said deliveries with DoorDash grew nearly 50% sequentially in the second quarter, and grew another 50% between June and July.
Serve also said it plans to announce another major delivery marketplace partnership in coming weeks. Kashani said the company is advancing commercial programs intended to support denser order allocation, simpler merchant integration and higher robot utilization.
Advertising accounted for nearly half of Serve’s robotic food-delivery revenue during the quarter, management said. Kashani said advertising spending had shown softness following the start of a war, but the company worked to offset that pressure. The business is seeing both local and national advertising campaigns, according to management, primarily involving robot wraps, along with growth in experiential uses of robots.
Recurring revenue exceeded 50% of total revenue in the quarter. The company’s healthcare robotics business, which includes Diligent Robotics, continued to provide contracted multiyear revenue, management said. Serve said it has signed seven multiyear contract extensions with hospital customers so far this year and added two new hospitals.
Read said software revenue could be “a little softer” in the second half, though he said Diligent would continue to support the company’s revenue mix and margin profile. Kashani said Diligent is investing in new hardware designed to position the business for more rapid scaling in future years.
New Products and Market Expansion Planned Serve plans to provide a summer business update on Aug. 17 covering a new delivery marketplace partnership, two market launches, a merchant integration product and technology developments.
One planned product, called Beacon, is a standalone countertop device intended to connect restaurants and customers directly with Serve robots. Kashani said nearly two-thirds of delivery orders in Serve’s operating areas cannot currently use robotic last-mile delivery because of back-of-house integration barriers.
Beacon has cellular connectivity and requires only a consistent power source from restaurants, Kashani said. The company expects the product to allow it to work with restaurants regardless of their existing internet or point-of-sale infrastructure, including merchants not connected to third-party delivery platforms.
Later in the fall, Serve expects to introduce another product intended to expand direct customer demand and support additional types of goods and delivery use cases beyond restaurant food. Kashani cited the company’s recently announced work with laundry business NoScrubs as an example of non-food delivery activity.
The company also expects to discuss developments in its autonomy stack later this year. Kashani said Serve has reached milestones in developing AI models intended to make robots safer, faster, smarter, more reliable and more capable.
Cost Reductions Preserve Investment in Autonomy With the lower revenue outlook, Serve is reducing planned capital expenditures and operating expenses. The company lowered its 2026 capital expenditure outlook to approximately $15 million to $17 million from about $25 million. It also reduced non-GAAP operating expense guidance to approximately $140 million to $150 million from $160 million to $170 million.
Read said the company expects the cost discipline to come from headcount controls, optimized deployment infrastructure spending and tighter discretionary spending. Serve is also evaluating opportunities to consolidate overlapping general and administrative functions and shared services through the Diligent integration.
The company said it will continue investing in autonomy and software, including its next-generation autonomy platform, which management expects to improve unit economics and expand the geography its fleet can serve.
Serve ended the quarter with more than $240 million in cash and marketable securities. Kashani said the company has 2,000 robots distributed across more than 40 cities nationwide and intends to focus fleet capacity, capital and operating attention on channels with stronger demand signals, higher expected utilization and more attractive economics.
About Serve Robotics (NASDAQ:SERV)Serve Robotics develops and operates autonomous sidewalk delivery robots designed to transform last-mile logistics for restaurants, retailers and grocery brands. By combining proprietary hardware, sensor suites and dispatch software, the company enables on-demand deliveries of food, beverages and consumer goods while minimizing reliance on traditional vehicle fleets.
The core Serve robot integrates four-wheeled mobility, LiDAR and vision cameras with AI-driven navigation algorithms to detect obstacles, traverse urban sidewalks and interact safely with pedestrians.
This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected].
Continue following MarketBeat
Add MarketBeat as your preferred source on Google to see our latest stories in your feed.
Should You Invest $1,000 in Serve Robotics Right Now?Before you consider Serve Robotics, you'll want to hear this.
MarketBeat keeps track of Wall Street's top-rated and best performing research analysts and the stocks they recommend to their clients on a daily basis. MarketBeat has identified the five stocks that top analysts are quietly whispering to their clients to buy now before the broader market catches on... and Serve Robotics wasn't on the list.
While Serve Robotics currently has a Moderate Buy rating among analysts, top-rated analysts believe these five stocks are better buys.
View The Five Stocks Here
Tesla, Nvidia, and Google helped shape the last era of market growth, but the next wave could come from a new group of companies. Inside this report, you’ll find 7 stocks that could play a major role in the next tech-driven market boom.
Serve Robotics Inc. (NASDAQ:SERV) shares are trading lower Friday morning as investors digest slashed fiscal 2026 revenue guidance following the company’s second-quarter update.
Serve Robotics stock is among today’s weakest performers. Why is SERV stock dropping? What Drove Serve Robotics’ Stock Drop?Serve Robotics reported a second-quarter loss of 59 cents per share, better than the expected loss of 68 cents, but revenue of $3.28 million missed the $3.49 million estimate.
More importantly for the premarket reaction, the company cut its fiscal 2026 revenue outlook from $26 million to a new $9 million to $10 million range, citing lower-than-expected delivery volume through its Uber Eats partnership.
The company said the revision reflects a decline already seen in the second-quarter and the removal of projected demand in the second half of 2026, sharpening concerns about near-term fleet utilization.
CEO Ali Kashani reiterated the company’s "scaled robot fleet" strategy and push toward "more diversified revenue streams," but the guidance delta is what’s driving the repricing.
SERV Stock Price Movement Friday MorningSERV Stock Price Activity: Serve Robotics shares were down 13.38% at $4.92 Friday morning, according to Benzinga Pro data.
Read Next
Image: Shutterstock
Market News and Data brought to you by Benzinga APIs
Key Takeaways Serve Robotics posted an 80-cent Q2 loss per share, while revenues climbed 404.4% to $3.24 million.Fleet services revenues jumped 598.5%, while daily active robots rose 395% to an average of 792.SERV cut 2026 revenue guidance to $9-$10 million, citing lower-than-expected Uber Eats delivery volumes. Serve Robotics Inc. (SERV - Free Report) reported a wider-than-expected loss for the second quarter of 2026, while also decreasing sharply year over year. Revenues also missed the estimate but increased from the prior-year quarter levels.
Following the earnings release, SERV stock declined 14.1% during after-hours yesterday.
SERV’s Q2 Earnings & Revenue DiscussionThe company posted a loss of 80 cents per share compared with the Zacks Consensus Estimate of a loss of 69 cents, representing an unfavorable surprise of 15.9%. The loss widened from 36 cents per share a year ago.
Revenues surged 404.4% year over year to $3.24 million but missed the Zacks Consensus Estimate of $3.54 million by 8.5%. The company said growth was supported by a diversified revenue portfolio spanning delivery, branding and software services.
Serve Robotics’ Q2 Segment DiscussionFleet Services revenues reached $2.31 million, up 598.5% year over year from $0.33 million. The increase reflected broader deployment and diversification across delivery and branding services, with advertising accounting for nearly 50% of food delivery revenues.
Software Services revenues increased 199% to $0.93 million from $0.31 million. Total revenues also rose 8.5% sequentially from $2.98 million, although software services declined from the first quarter while fleet services advanced.
SERV's Cost Base Climbs With ExpansionSERV reported a gross loss of $8.78 million in the quarter compared with a loss of $2.86 million incurred in the year-ago quarter. Cost of revenues increased to $12.02 million from $3.50 million. Gross margin improved sequentially as the mix of higher-margin recurring revenues increased.
General & administrative expenses increased to $24.84 million from $8.08 million in the year-ago quarter. Operations expenses rose to $7.86 million from $2.12 million.
Research & development expenses increased to $20.28 million from $9.12 million, while sales and marketing expenses rose to $4.30 million from $0.46 million. SERV reported a loss from operations of $66.07 million compared with a loss of $22.64 million a year ago. Adjusted EBITDA loss widened to $44.47 million from $14.94 million.
Serve Robotics' Fleet and Partnership ProgressDaily active robots averaged 792 in the quarter, up 395% from 160 a year earlier. Daily supply hours increased 469.3% to 9,809 from 1,723, reflecting a substantially larger operating footprint across the outdoor and indoor fleets.
Revenues derived from the DoorDash partnership increased nearly 50% sequentially and exceeded management's expectations. Serve Robotics also added a delivery partnership with NoScrubs Laundry, broadening its applications beyond existing food, health care and grocery delivery operations.
Health care revenues remained steady and in line with management's expectations. The company signed seven multiyear contract extensions with hospital customers and added two new hospitals during the first half of 2026.
SERV's Balance Sheet Retains Strong LiquidityThe company exited the quarter with cash and cash equivalents of $79.11 million, down from $106.24 million as of Dec. 31, 2025. Short-term marketable securities totaled $156.3 million, while long-term marketable securities were $5.00 million. Total liquidity stood at $240.4 million as of June 30, 2026.
Net cash used in operating activities was $84.74 million during the first six months of 2026 compared with $25.43 million a year earlier. Financing activities provided $85.33 million, primarily supported by $84.92 million in net proceeds from at-the-market common-stock offerings.
SERV Cuts Its 2026 Revenue OutlookServe Robotics revised its 2026 revenue guidance to $9-$10 million. The reduction reflects lower-than-expected delivery volumes through the Uber Eats partnership, including weakness experienced in the second quarter and the removal of projected demand for the second half.
The company lowered its 2026 non-GAAP operating expense outlook to $140-$150 million from $160-$170 million. Management plans to concentrate its fleet and capital behind higher-return opportunities while continuing investments in autonomous-network expansion and technology.
SERV’s Zacks Rank & Key PicksServe Robotics currently carries a Zacks Rank #3 (Hold).
Some better-ranked stocks in the broader Zacks Computer and Technology sector are NVIDIA Corporation (NVDA - Free Report) , Broadcom Inc. (AVGO - Free Report) and Dell Technologies Inc. (DELL - Free Report) .
NVIDIA carries a Zacks Rank #2 (Buy) at present. It has a trailing four-quarter earnings surprise of 5.5% on average. Shares of NVDA have declined 19.8% year to date. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
The Zacks Consensus Estimate for NVIDIA’s fiscal 2027 EPS indicates 90.6% growth on a 106.9% revenue rise from the year-ago levels.
Broadcom currently holds a Zacks Rank of 2. It has a trailing four-quarter earnings surprise of 2.2%, on average. Shares of AVGO have gained 22.7% year to date.
The Zacks Consensus Estimate for Broadcom’s fiscal 2026 EPS implies a 72.1% rise on 66% revenue growth from the year-ago levels.
Dell currently carries a Zacks Rank of 2. It has a trailing four-quarter earnings surprise of 18.7%, on average. Shares of DELL have surged 238.7% year to date.
The Zacks Consensus Estimate for Dell’s fiscal 2027 sales and EPS indicates 82.5% and 67.6% growth, respectively, from the year-ago levels.
Serve Robotics Inc. reported weak operational momentum in Q2. SERV's 2000 robot fleet isn't being utilized well enough due to too low demand from Uber Eats and other partners. The company's positioning in food delivery is uncertain. Unit economics remain poor, and SERV's operating expenses cause the company to burn through cash rapidly.
Key Takeaways Serve Robotics' Q2 revenues jumped 404% to $3.2M, with recurring revenues exceeding half of total sales.Healthcare expansion added two hospitals and seven multiyear contract extensions in the first half.SERV cut 2026 revenue guidance to $9-$10M as weaker Uber growth pressured utilization and economics. Serve Robotics Inc. (SERV - Free Report) is attempting to transform itself from a sidewalk food-delivery operator into a broader Physical AI platform, with applications spanning healthcare, advertising, software and other autonomous services. Its recent initiatives suggest that diversification is becoming increasingly important as it looks to improve utilization and build a more durable revenue model.
SERV generated $3.2 million of revenues in the second quarter of 2026, up a whopping 404% year over year and 9% sequentially. More importantly, recurring revenues represented more than 50% of total revenues, while software revenues remained close to $1 million. The company also saw revenues from its DoorDash partnership rise nearly 50% sequentially.
Healthcare robotics is emerging as a key growth avenue for Serve Robotics. Following its acquisition of Diligent Robotics, SERV has expanded into hospital automation, where robots support logistics and workflow activities. In the first half of 2026, the company added two hospitals and secured seven multiyear contract extensions, improving revenue visibility and potentially supporting stronger margins than delivery channels. SERV is also developing products to expand its merchant reach. Its Beacon countertop device is designed to connect restaurants directly with Serve Robotics and address back-of-house integration barriers.
Still, scaling Physical AI will not be easy. Serve Robotics lowered its 2026 revenue guidance to $9-$10 million from $26 million, primarily because expected Uber delivery growth failed to materialize. Management is therefore reallocating fleet capacity toward channels offering better utilization and economics while reducing planned 2026 capital expenditures to $15-$17 million and adjusted operating expenses to $140-$150 million. Overall, Serve Robotics’ healthcare, software and autonomy initiatives could help it evolve into a diversified Physical AI platform. Yet improving robot utilization, revenue per robot and unit economics will be essential for converting that opportunity into sustainable growth.
Serve Robotics, Symbotic & Richtech Robotics: Is AI Automation the Next Boom?Serve Robotics is benefiting from rising demand for AI-driven automation, as labor shortages, wage pressures and the need for greater operational efficiency encourage businesses to deploy robotics. Amid this favorable scenario, SERV is competing with other market peers, including Symbotic Inc. (SYM - Free Report) and Richtech Robotics Inc. (RR - Free Report) .
Symbotic has a stronger scale advantage, focusing on AI-powered warehouse and supply-chain automation. Its 70 deployed systems and $22.7 billion contracted backlog highlight robust demand from large enterprises seeking productivity gains. Richtech Robotics, meanwhile, is broadening beyond hospitality into industrial robotics and embodied AI, addressing labor constraints across manufacturing, healthcare and other markets.
Overall, Serve Robotics offers the more differentiated exposure to autonomous delivery and Physical AI, while Symbotic benefits from greater scale and financial maturity. Richtech Robotics provides broader early-stage exposure to service and industrial robotics, but faces greater execution risks.
SERV Stock’s Price Performance & Valuation TrendShares of this San Francisco-based sidewalk delivery robot developer have plunged 40.1% in the past three months, significantly underperforming the Zacks Computers - IT Services industry, the broader Zacks Computer and Technology sector and the S&P 500 Index, as the trendlines highlight below.
Image Source: Zacks Investment Research
SERV stock is currently trading at a discount compared with the industry peers, with a forward 12-month price-to-sales (P/S) ratio of 7.37, as the trend lines suggest below.
Image Source: Zacks Investment Research
EPS Trend of SERVSERV’s bottom-line estimates for 2026 and 2027 indicate losses per share of $2.65 and $2.20, respectively, which have widened over the past seven days. The revised estimated figures for 2026 imply a year-over-year decline of 62.6%, while the same for 2027 indicates year-over-year growth of 16.9%.
Image Source: Zacks Investment Research
Serve Robotics currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Expansion to San Jose and Washington, DC, an innovative micro-depot in Miami, a new hardware product for merchants, and a new advertising service, all driving fleet utilization
A new hospital robot, Moxi 2.0, with 15x faster processing power, marking the introduction of a new robotic World Model
SAN FRANCISCO, Aug. 17, 2026 (GLOBE NEWSWIRE) -- Serve Robotics Inc. (Nasdaq: SERV), a leading autonomous sidewalk delivery company, and Grubhub, a subsidiary of Wonder, a vertically integrated food technology platform built to make great food more accessible, today announced a partnership bringing robot delivery to the Grubhub marketplace, beginning in Chicago, Los Angeles and Alexandria. Serve's robot delivery will be available from more than 100 participating Grubhub merchants in Chicago and nearly 200 in Los Angeles, with additional restaurants expected to join the program over time. Every platform that integrates widens the set of restaurants and neighborhoods our robots can serve.
The partnership headlines a wave of expansion announced today across every dimension of Serve's business:
Two new major markets: Serve has launched in Washington, DC and San Jose, California, both in partnership with DoorDash, to further expand its geo coverage and grow delivery volume.A new model for growth: Serve's first micro depots are set to open in Miami, low-cost, small-footprint sites that lets the company expand coverage faster.The next generation of its hospital robot: Moxi 2.0, from Diligent Robotics (a Serve company), begins rolling out to health systems nationwide, with a new robotic foundation model and 15x faster perception and improved autonomy.A first look at Beacon: Serve previews a new countertop product that unlocks robot delivery for any restaurant, regardless of their back-of-house infrastructure.A new product from Serve Advertising: Introducing Characters, a new class of interactive brand experiences built on Serve's robots. The product debuts with Chomp, a talking hamburger-wrapped robot, co-created with Grubhub. As part of the Grubhub partnership, Wonder's Alexandria location will offer robot delivery through Serve's autonomous network, providing customers with an even more flexible and convenient way to enjoy the Wonder experience.
“Not long ago, our robots were delivering dinner in a handful of neighborhoods. Today, they're rolling into new cities from San Jose, California’s third largest city, to Washington, DC, the nation's capital. Their hospital cousins, our new Moxi robots, are showing up in health systems across the country,” said Ali Kashani, Co-Founder and CEO of Serve Robotics. “Welcoming Wonder and Grubhub to our network is the clearest signal yet of where we are headed. Every new partner puts more robots to work, and every delivery makes the whole fleet smarter.”
“At Wonder, we're constantly looking for ways to make the customer experience more convenient and reliable,” said PJ Poykayil, EVP of Customer Delivery Operations at Wonder. “Our partnership with Serve brings autonomous delivery to Grubhub customers in Chicago, Los Angeles, and Alexandria, while also enabling robot delivery from Wonder’s Alexandria location. As we continue to grow, partnerships like this help us expand delivery options, improve efficiency and create a more seamless mealtime experience.”
Two New Markets and Serve's First Micro Depot
Serve has launched in Washington, DC and San Jose, California, its seventh and eighth major U.S. markets, both in partnership with DoorDash. The metros reach a total population of 8 million and join Los Angeles, Chicago, Atlanta, Dallas, and Miami on Serve's growing map, as the company grows its national footprint. In San Jose, Serve's first Bay Area market, robots have completed their first month of deliveries. In Washington DC, Serve robots will be delivering in Dupont Circle and parts of downtown, with early restaurant partners including Talkin’ Tacos.
As part of this continued expansion, Serve is launching its first microdepot in Miami, a new and innovative class of small-footprint operating sites that handle robot staging, charging, dispatch, and maintenance without the build-out time of a full-scale facility. Micro depots require minimal infrastructure and can be stood up rapidly in high-demand neighborhoods, giving Serve a repeatable model for entering new neighborhoods and cities faster and at lower cost.
The Next-Generation of Moxi Robots Begin Rolling Out to Hospitals
Diligent Robotics, a Serve Robotics company, has begun rolling out a new next-generation hospital robot, Moxi, to health systems including Endeavor Health Edward Hospital in the Chicago area, Providence Saint John’s Health Center in Los Angeles, and Children’s Hospital Los Angeles.
The update means Moxi can perceive and interpret its surroundings up to 15 times faster, has 10 times onboard compute, has improved autonomy and decision making, upgraded sensors and storage, and can operate for up to 18 hours with 30% faster battery charging. This is all without changes to existing infrastructure, making Moxi 2.0 react more quickly to dynamic hospital environments like crowded hallways, opening elevator doors and shifting foot traffic.
Moxi 2.0 is built on deliveries completed across 25+ U.S. hospitals and introduces Diligent’s robotic World Model, a learning system that improves every robot with the experience of the whole fleet.
A First Look at Beacon
Serve previewed Beacon, a standalone countertop product that will connect restaurants, customers, and Serve robots. With its built-in cellular, Beacon will alert restaurant staff the moment a robot arrives for pickup and will require nothing from a restaurant beyond power—no tablet, no additional hardware, and no changes to existing systems.
Beacon is designed to extend robot delivery to restaurants whose back-of-house setups previously could not support it and speed up pickup for Serve's current restaurant partners.
Serve Advertising Launches Characters, and Introduces Chomp
Serve Advertising launches its new product, Characters, expanding what brands can do with Serve's robots. Advertisers have long been able to wrap Serve robots in custom designs. Characters adds a personality: brands can now build a character that customers can talk with in real time, powered by a curated conversational AI model, in experiences developed together by Serve and the advertiser.
Serve and Grubhub launched the first Character, Chomp, a hamburger-wrapped robot who treats every delivery like a very important mission. Chomp will appear across social media and select customer experiences with Grubhub gift cards and swag. Following the announcement, other brands will have the opportunity to explore similar activations with Serve Advertising.
About Serve Robotics
Serve Robotics (Nasdaq: SERV) designs and operates autonomous robots that navigate complex, human-centric environments. Since spinning off from Uber in 2021, Serve has deployed more than 2,000 robots across the U.S., reaching a population of approximately 3 million and supporting delivery for more than 4,000 restaurants. In 2026, Serve acquired Diligent Robotics, expanding its operations beyond sidewalk delivery into indoor service robots used in hospitals. Serve designs both the hardware and software behind its robots, enabling them to work safely in public and private environments at scale.
For more information, visit www.serverobotics.com or follow the company on X, Instagram, and LinkedIn @serverobotics.
About Diligent
Founded in 2017, Diligent Robotics is an Austin-based physical AI company and a Serve Robotics (NASDAQ: SERV) company. Diligent creates socially intelligent, AI-native mobile manipulation robots to drive workflow efficiency in healthcare. Its robot assistant Moxi operates in 25+ hospitals across the U.S., helping care teams with routine tasks such as delivering medications and lab samples to free them for patient care and prevent burnout. Founded by a team of social robotics experts, Diligent is proud to be at the forefront of human-centered robotics. For more information, visit www.diligentrobots.com.
About Wonder
Wonder is a vertically integrated food technology platform built to make great food more accessible. From recipe development to kitchen robotics and autonomous delivery, Wonder owns mealtime from end to end, bringing a level of consistency, quality and speed to new geographies and at price points unattainable by traditional restaurants and delivery platforms. Wonder offers in-house and chef-created concepts, iconic restaurant brands, local restaurants for delivery nationwide and at-home meal kits in one seamless customer experience, with the aim of becoming the world's first choice for every meal.
To learn more, visit the Wonder Newsroom and LinkedIn page.
About GrubHub
Grubhub is a leading U.S. ordering and delivery marketplace dedicated to connecting customers with their favorite local restaurants, merchants and convenience retailers. Grubhub elevates online ordering through innovative restaurant technology, easy-to-use platforms, and an improved delivery experience. Part of Wonder, Grubhub features over 415,000 merchants in more than 4,000 U.S. cities.
Forward Looking Statements
This press release contains “forward-looking statements,” within the meaning of Section 27A of the Securities Act of 1933, as amended, Section 21E of the Securities Exchange Act of 1934, as amended, and the Private Securities Litigation Reform Act of 1995. Forward-looking statements may be identified by the context of the statement and generally arise when we or our management are discussing our beliefs, estimates or expectations. Such statements generally include the words “believes,” “plans,” “intends,” “targets,” “may,” “could,” “should,” “will,” “expects,” “estimates,” “suggests,” “anticipates,” “outlook,” “continues,” or similar expressions. These statements are not historical facts or guarantees of future performance, but represent management’s belief at the time the statements were made regarding future events which are subject to certain risks, uncertainties and other factors, many of which are outside of our control. Actual results and outcomes may differ materially from what is expressed or forecast in such forward-looking statements. Forward-looking statements include statements regarding the Company’s future revenue generation, business and investment strategy, ability to expand to additional markets, capabilities of the Company’s robots, outcomes of planned and completed acquisitions, partnerships with multiple delivery platforms, and timing and ability to scale to commercial production.
The forward-looking statements contained in this press release are also subject to other risks and uncertainties, including those more fully described in our filings with the Securities and Exchange Commission (“SEC”), including in the sections entitled “Risk Factors” and “Management’s Discussion and Analysis of Financial Condition and Results of Operations” in our Annual Report on Form 10-K for the year ended December 31, 2025, as supplemented by the sections entitled “Risk Factors” and “Management’s Discussion and Analysis of Financial Condition and Results of Operations” in our Quarterly Report on Form 10-Q for the quarter ended June 30, 2026, and in the Company’s subsequent SEC filings. The Company can give no assurance that the plans, intentions, expectations or strategies as reflected in or suggested by those forward-looking statements will be attained or achieved. The forward-looking statements in this press release are based on information available to the Company as of the date hereof, and the Company disclaims any obligation to update any forward-looking statements, except as required by law. These forward-looking statements should not be relied upon as representing the Company’s views as of any date subsequent to the date of this press release.
AUSTIN, Texas, Aug. 17, 2026 (GLOBE NEWSWIRE) -- Diligent Robotics, a Serve Robotics (Nasdaq: SERV) company and the team behind Moxi, one of the world’s largest deployed fleet of mobile manipulation robots working alongside hospital care teams, today announced it has begun rolling out Moxi 2.0 to health system customers across the U.S. The next generation platform is shaped by five years of operations from over 25 hospitals.
Its launch also marks the debut of Diligent’s learning flywheel: a proprietary World Model that learns from the experience of the company’s fleet and improves continually with every deployment. As part of Serve Robotics, Diligent benefits from shared investment in physical AI research, accelerating the pace of innovation across its hospital deployments.
For hospitals, the Moxi 2.0 means faster, more confident deliveries and longer robot operating hours, all without changes to existing infrastructure. Its platform was developed using NVIDIA Isaac Sim open simulation framework and aspects of the NVIDIA Cosmos open world models such as the 3D lidar tokenizer. Moxi 2.0 includes upgraded NVIDIA-powered A2000 compute that perceives and interprets its surroundings 10–15 times faster than the previous generation, enabling quicker responses in dynamic hospital environments like crowded hallways, opening elevator doors and shifting foot traffic.
The Moxi 2.0 platform architecture prioritizes modularity, with specialized packaging that facilitates seamless integration of next-generation compute systems as emerging technologies become available. In addition, Diligent’s learning flywheel turns real-world deployment into smarter software updates. Designed specifically for hospital workflows, Moxi operates within existing infrastructure from day one, with no facility modifications, specialized automation systems, or lengthy IT overhauls required.
“Today we’re deploying our most sophisticated physical AI platform yet,” said Andrea Thomaz, founder and CEO of Diligent Robotics. “Hospital hallways are some of the most dynamic environments a robot can operate in, full of fast-moving people, doors, and carts, all in tight spaces. To operate safely in that world, our first-generation platform often had to move conservatively. Moxi 2.0 is built with the compute, sensors and models to reason about that complexity in real time, so Moxi can move with more confidence without compromising safety.”
Moxi 2.0 is now rolling out to health systems including Endeavor Health Edward Hospital, Providence Saint John’s Health Center and Children’s Hospital Los Angeles, with deployments expanding across the U.S. Diligent is actively taking orders from health systems ready to bring the platform to their hospitals.
Key upgrades in the latest Moxi 2.0 platform include:
10x onboard compute, 10–15x faster perception: Upgraded processing enables faster real-time decision-making and more confident navigation through dynamic hospital environments.Robotic World Model: A new physical AI architecture purpose-built for the complexity of hospital environments, designed to strengthen navigation, task completion, and adaptation over time as the learning flywheel feeds new fleet experience back into the World Model.Up to 18 hours of operating time per day: With a runtime of up to 9 hours at a time and 30% faster charging Moxi is ready for long shifts.Improved autonomy and recovery: Enhanced handling of edge cases means Moxi can resolve more situations independently, keeping deliveries moving.Upgraded cameras, sensors, and storage: Moxi 2.0 adds an expanded sensor suite and redesigned storage drawers.Redesigned handles and ergonomics: Informed by direct feedback from nurses and pharmacy teams, making it easier for care teams to interact with Moxi when they need to. Our latest platform is designed to feed the learning flywheel faster. With upgraded sensors and enhanced edge compute, Moxi 2.0 now captures richer signals from the full complexity of working hospitals. As that experience flows into Diligent’s cloud training infrastructure, each iteration of the World Model sharpens Moxi’s understanding of hospital environments, edge-case recovery, and task execution, a compounding loop of better data, stronger models, and more capable robots that delivers more value to hospitals with every software update.
“We’ve spent years in the field learning what hospitals actually need,” said Thomaz. “This is just the beginning of what a true learning flywheel makes possible.”
The cloud infrastructure powering this flywheel was built in collaboration with Amazon Web Services (AWS). Diligent trained Moxi’s World Model on Amazon SageMaker HyperPod enabling continuous improvement from deployment data at scale. T-Mobile for Business has collaborated with Diligent to help ensure reliable network access across complex hospital environments and plan for private 5G hospital deployments ahead. All safety and autonomy behaviors run onboard, so Moxi completes tasks end-to-end even without Wi-Fi, with cellular fallback available when hospital networks have dead zones.
“Moxi has become an integral team member at Children’s Hospital Los Angeles,” says Omkar Kulkarni, Chief Innovation and Transformation Officer at Children’s Hospital Los Angeles. “Since Moxi joined our team, it has completed more than 40,000 deliveries, representing over 16,000 hours of work that our staff didn’t have to spend transporting supplies and medications across the hospital. We expanded our Moxi fleet from two to three robots over time, and utilization continues to grow, increasing more than 10% in the second quarter alone. Our nursing leaders and pharmacy team appreciate that we’re investing in technology that allows team members to work at the top of their skill set.”
To learn more about Moxi 2.0 or bring Moxi to your hospital, visit www.diligentrobots.com.
About Diligent Robotics
Founded in 2017, Diligent Robotics is an Austin-based physical AI company and a Serve Robotics (NASDAQ: SERV) company. Diligent creates socially intelligent, AI-native mobile manipulation robots to drive workflow efficiency in healthcare. Its robot assistant Moxi operates in 25+ hospitals across the U.S., helping care teams with routine tasks such as delivering medications and lab samples to free them for patient care and prevent burnout. Founded by a team of social robotics experts, Diligent is proud to be at the forefront of human-centered robotics. For more information, visit www.diligentrobots.com.
About Serve Robotics
Serve Robotics (Nasdaq: SERV) designs and operates autonomous robots that navigate complex, human-centric environments. Since spinning off from Uber in 2021, Serve has deployed more than 2,000 robots across the U.S., reaching a population of approximately 3 million and supporting delivery for more than 4,000 restaurants. In 2026, Serve acquired Diligent Robotics, expanding its operations beyond sidewalk delivery into indoor service robots used in hospitals. Serve designs both the hardware and software behind its robots, enabling them to work safely in public and private environments at scale.
For more information, visit www.serverobotics.com or follow the company on X, Instagram, and LinkedIn @serverobotics.
Forward Looking Statements
This press release contains “forward-looking statements,” within the meaning of Section 27A of the Securities Act of 1933, as amended, Section 21E of the Securities Exchange Act of 1934, as amended, and the Private Securities Litigation Reform Act of 1995. Forward-looking statements may be identified by the context of the statement and generally arise when we or our management are discussing our beliefs, estimates or expectations. Such statements generally include the words “believes,” “plans,” “intends,” “targets,” “may,” “could,” “should,” “will,” “expects,” “estimates,” “suggests,” “anticipates,” “outlook,” “continues,” or similar expressions. These statements are not historical facts or guarantees of future performance, but represent management’s belief at the time the statements were made regarding future events which are subject to certain risks, uncertainties and other factors, many of which are outside of our control. Actual results and outcomes may differ materially from what is expressed or forecast in such forward-looking statements. Forward-looking statements include statements regarding Diligent’s future revenue generation, business and investment strategy, ability to expand to additional markets, capabilities of the Moxi robots, and timing and ability to scale to commercial production.
The forward-looking statements contained in this press release are also subject to other risks and uncertainties, including those more fully described in filings made by Serve Robotics with the Securities and Exchange Commission (“SEC”), including in the sections entitled “Risk Factors” and “Management’s Discussion and Analysis of Financial Condition and Results of Operations” in the Annual Report on Form 10-K for the year ended December 31, 2025, as supplemented by the sections entitled “Risk Factors” and “Management’s Discussion and Analysis of Financial Condition and Results of Operations” in the Quarterly Report on Form 10-Q for the quarter ended June 30, 2026, and in its subsequent SEC filings. We can give no assurance that the plans, intentions, expectations or strategies as reflected in or suggested by those forward-looking statements will be attained or achieved. The forward-looking statements in this press release are based on information available to us as of the date hereof, and we disclaim any obligation to update any forward-looking statements, except as required by law. These forward-looking statements should not be relied upon as representing our views as of any date subsequent to the date of this press release.
Serve Robotics (SERV.O) said on Monday it is partnering with Grubhub to fulfill orders on the food delivery platform using its sidewalk delivery robots, tapping a new marketplace days after its years-long tie-up with Uber Eats fell through.
The San Francisco-based robotics company, known for its boxy, four-wheeled robots delivering Uber Eats (UBER.N) and DoorDash (DASH.O) orders, said its tie-up with Grubhub will initially launch in Chicago, Los Angeles and Alexandria.
The partnership comes as Serve is set to lose its Uber delivery alliance early next year. Uber exited its stake in the company and Serve said earlier this month that it does not currently plan to renew their agreement when it expires, citing declining order volumes and "differing views".
"We certainly see the lost volume from Uber more than replaced over time (through the Grubhub partnership and other initiatives). We believe this is a path where we will grow faster, that's the entire reason for this," Serve CEO Ali Kashani told Reuters.
Serve also said it launched in San Jose, California and Washington, D.C., with DoorDash, marking its seventh and eighth major U.S. markets.
It is also rolling out "micro depots" — or smaller sites to handle robot stationing, charging, dispatch, and maintenance — in Miami, to reduce costs and development timelines associated with a full-scale facility.
The micro depots require minimal infrastructure and can be set up quickly, allowing Serve to enter new markets faster and at a lower cost, Kashani said.
Meanwhile, Grubhub's parent company Wonder has doubled down on automation as food delivery firms turn to robots to slash labor costs. In June, the company said it would roll out drone deliveries in Texas starting January.
Serve also said it has begun rolling out the next generation of its Moxi hospital robots, banking on its acquisition of physical AI company Diligent Robotics earlier this year to tap into the healthcare automation market and diversify its revenue streams.
Serve Robotics (SERV +3.07%) believes robots and drones are ideal for delivering food, retail products, and other small commercial loads because they are more efficient and far less expensive than existing human-driven solutions.
Serve has already deployed over 2,000 of its latest Gen 3 robots across America, where they are making deliveries through platforms like DoorDash and Uber Eats. The company's revenue soared by 400% year over year in the second quarter of 2026 (ended June 30), suggesting business is booming.
However, management just significantly lowered its 2026 revenue forecast, sending Serve stock tumbling by around 15%. The stock is now down almost 80% from its 2024 peak. Here's why more downside might be ahead for shareholders.
Image source: Getty Images.
A potential $450 billion opportunity Serve says the median distance traveled for a food delivery order in the U.S. is about 2.5 miles, and it currently costs between $8 and $10 to deliver by car with a human driver. The company believes it can reduce that cost to just $1 per order by using its Gen 3 robots, because they can eliminate driver wages and operate for 14 hours straight on a single charge.
The Gen 3 robots are powered by Nvidia's Jeston Orin platform, which provides all of the hardware and software necessary to achieve Level 4 autonomy. That means Serve's robots can safely drive on sidewalks within designated areas without any human assistance, and they are now successfully doing so in at least eight major U.S. cities, including Los Angeles, Miami, and Chicago, where they boast an impressive 99.8% order completion rate.
Serve plans to grow its domestic and international presence to capture what it believes will be a $450 billion market for robotic and drone delivery. The company will have to expand beyond just food and retail delivery to build a formidable market share, which is why it acquired another robotics enterprise, Diligent, in January.
Diligent developed its own Nvidia-powered robot for the healthcare sector called Moxi. It operates within hospitals, transporting medication, lab samples, and equipment across departments so nurses and doctors can spend less time running around and more time with their patients. So far, the move into healthcare has broadened Serve's footprint to 44 U.S. cities across 14 states.
Serve just cut its 2026 revenue guidance by more than half Serve generated $3.2 million in revenue during the second quarter of 2026, which was a 404% increase from the year-ago period. The company benefited from the inclusion of Diligent's revenue, which was absent in the same quarter last year because it pre-dated the acquisition.
Serve came into 2026 expecting to generate $26 million in total revenue for the year, but management drastically reduced that forecast to $9 million to $10 million after the second quarter due to concerns about lower Uber Eats delivery volume than initially anticipated. Given that the company generated $6.2 million in revenue during the first half of 2026, that means it could bring in as little as $2.8 million in the second half -- a dramatic decline.
Premium Feature
Moneyball Superscore
54/100
Today's Change
(
3.07
%) $
0.15
Current Price
$
5.03
That also has implications for Serve's bottom line. The company already lost over $113 million on a generally accepted accounting principles (GAAP) basis during the first half of this year, so unless management significantly cuts costs to offset its lower revenue forecast, there could be an even steeper loss in the second half.
Serve only had $240 million in cash, cash equivalents, and marketable securities on hand as of June 30, so it simply can't afford to continue losing money at the current pace for much longer. If its bottom line doesn't improve soon, it might have to take on debt or raise money from investors, which would dilute every existing shareholder.
More downside might be ahead for Serve stock Despite already plunging by 80% from its 2024 record high, Serve stock is still very expensive. It's trading at a price-to-sales (P/S) ratio of 46, a whopping seven times higher than the P/S ratio of the Nasdaq-100 index, which is 6.3. In other words, it looks heavily overvalued compared to a basket of America's best technology stocks.
SERV PS Ratio data by YCharts
To make matters worse, investors who were willing to pay a premium for Serve stock because of its growth prospects just had their thesis shattered by management's reduced revenue forecast. If we assume Serve does bring in $10 million during 2026, its forward P/S ratio remains at a sky-high level of 42.
Simply put, it might be a good idea to avoid Serve stock for the foreseeable future because its rich valuation opens the door to even more downside.
Key Takeaways Serve Robotics' Q2 revenues surged 404% year over year to $3.2 million, but rose only 9% sequentially.SERV is targeting higher utilization and monetization as recurring revenues exceeded 50% of Q2 revenues.Lower-than-expected Uber volume cut 2026 revenue guidance to $9-$10 million from $26 million. Serve Robotics Inc. (SERV - Free Report) is betting that scale can become a powerful revenue catalyst as it seeks to turn its 2,000-plus robot fleet into a more productive and diversified growth engine. The company delivered an impressive 404% year-over-year revenue increase in the second quarter of 2026, reaching $3.2 million. However, sequential growth was only 9%, highlighting the challenge of converting fleet expansion into sustained monetization.
SERV's daily active robots averaged 792 in the second quarter of 2026, while daily supply hours reached 9,809. Management is, therefore, prioritizing utilization, revenue per robot and revenue per operating hour. The company is also shifting toward higher-quality revenue streams. Recurring revenues exceeded 50% of total second quarter of 2026 revenues, while advertising contributed nearly half of robotic food-delivery revenues. Healthcare automation is adding another layer of contracted revenues following the Diligent Robotics acquisition.
The biggest obstacle remains delivery-channel dependence. Lower-than-expected Uber volume prompted Serve Robotics to slash its 2026 revenue outlook to $9-$10 million from $26 million. Still, DoorDash revenues increased nearly 50% sequentially, while Serve Robotics is pursuing additional marketplace partnerships and direct merchant relationships. Its Beacon product could help unlock restaurants previously constrained by back-end integration requirements. Meanwhile, Serve Robotics’ strong liquidity of $240.4 million provides financial flexibility to invest in autonomy, software and fleet optimization. Management is also reducing 2026 adjusted operating expenses to $140-$150 million and capital expenditures to $15-$17 million.
The key question is no longer whether Serve Robotics can deploy robots—it has demonstrated that capability. The bigger test is whether it can consistently increase utilization and monetization. If new partnerships, advertising, healthcare and direct-demand initiatives gain traction, SERV’s large installed fleet could increasingly become a revenue growth engine rather than simply a technological achievement.
Serve Robotics vs. NVIDIA & Symbotic: AI Robotics RaceServe Robotics, alongside renowned market players like NVIDIA Corporation (NVDA - Free Report) and Symbotic Inc. (SYM - Free Report) , is benefiting from the accelerating adoption of AI-powered robotics, but each occupies distinct positions in the value chain.
SERV focuses on deploying autonomous robots for last-mile delivery and healthcare, using its proprietary autonomy stack, real-world data and fleet scale to improve utilization and unit economics. NVIDIA has a broader infrastructure advantage, providing GPUs, edge computing, simulation tools and robotics software through platforms such as Isaac. Its technology enables robots to perceive, learn and make real-time decisions across industries, giving NVIDIA exposure to the expanding physical AI ecosystem without relying on a single robotics application.
Meanwhile, Symbotic specializes in AI-powered warehouse automation, combining robotic systems with proprietary software to orchestrate inventory movement, routing and fulfillment. Its end-to-end platform targets large retail and supply-chain customers, creating a more established warehouse automation model.
Overall, Serve Robotics offers higher exposure to emerging autonomous delivery, NVIDIA to the underlying AI-computing infrastructure and Symbotic to scalable warehouse automation. As demand for physical AI expands, each could capture different layers of the robotics opportunity.
SERV Stock’s Price Performance & Valuation TrendShares of this San Francisco-based sidewalk delivery robot developer have plunged 45.7% in the past three months, significantly underperforming the Zacks Computers - IT Services industry, the broader Zacks Computer and Technology sector and the S&P 500 Index, as the trendlines highlight below.
Image Source: Zacks Investment Research
SERV stock is currently trading at a premium compared with the industry peers, with a forward 12-month price-to-sales (P/S) ratio of 13.77, as the trend lines suggest below.
Image Source: Zacks Investment Research
EPS Trend of SERVSERV’s bottom-line estimates for 2026 and 2027 indicate losses per share of $2.71 and $2.22, respectively, which have widened over the past 30 days. The revised estimated figures for 2026 imply a year-over-year decline of 66.3%, while the same for 2027 indicates year-over-year growth of 18.2%.
Image Source: Zacks Investment Research
Serve Robotics currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Serve Robotics Inc. SERV reported weak second-quarter 2026 results on Aug. 6, with both earnings and revenues missing the Zacks Consensus Estimate by 15.9% and 8.5%, respectively. The company's loss widened year over year, while revenues increased sharply from the prior-year quarter.
