Joby Aviation, Inc. (JOBY) shares plunged 6.56% on Wednesday, extending a recent downtrend as investors grew increasingly wary of the electric aviation startup's soaring cash burn and consequent risks of share dilution.

The intraday selloff followed the company's filing to raise up to $300 million through an "at-the-market" stock offering, hot on the heels of a $202 million equity raise just two months ago. With an operating loss of $156.7 million in its latest quarter, driven largely by research and development costs for its electric vertical take-off and landing (eVTOL) aircraft, Joby is rapidly depleting its $737.8 million cash reserves.

Analysts warn that without a clear path to profitability, Joby's ambitious plans to manufacture eVTOLs and operate an air taxi service could force the company to seek even more external funding, further diluting existing shareholders. While Joby has made technical strides, the capital-intensive nature of its venture is clearly giving investors pause, overshadowing near-term progress.