Things are looking up for Serve Robotics , a company that is capturing Wall Street’s attention given its expansion in the increasingly hot investment space of “physical AI.” Serve Robotics, an autonomous sidewalk delivery robot maker that was spun out of Uber in 2021, maintains a close partnership with Nvidia even after the chipmaker sold its stake in the company last year. Nvidia CEO Jensen Huang highlighted the company’s food delivery robot during his keynote presentation at the CES 2026 show on Monday, pointing to an image of the Serve Robotics robot and stating, “I love those guys.” After Huang’s comment, Northland Capital Markets analyst Michael Latimore on Tuesday reiterated his outperform rating on Serve Robotics. He added it was the “only delivery robot” presented during Huang’s speech and that it remains one of the firm’s top stock picks for 2026. “Via physical AI, their virtual driver steers delivery robots through public spaces and produces a huge ROI. SERV is one of the best investments in physical AI, we believe, and has myriad 2026 catalysts,” Latimore said in a Jan. 1 note to clients, when he first named the stock a top pick. Latimore’s $26 price target on the stock implies 98.5% potential upside for the stock. Shares of Serve Robotics are up 25% since the start of this year, but their history has been volatile. The stock has lost roughly 30% over the past year and is down 28% since it went public in April 2024, partly because of Nvidia’s on-and-off history with the company. Shares plunged more than 39% on Feb. 14 after a regulatory filing revealed that Nvidia had completely exited its position in the company by the fourth quarter of 2024. On July 19, 2024, however, Serve Robotics jumped about 187% after Nvidia disclose it had obtained 3.7 million shares — which at the time represented a 10% stake in the firm. SERV 1Y mountain Serve Robotics stock performance over the past year. Latimore and other analysts are getting bullish on the growth potential of Serve Robotics’ sidewalk delivery robots, which have expanded across major U.S. cities over the past several months given the company’s partnerships with delivery platforms Uber Eats and DoorDash. The company announced in December it had successfully deployed over 2,000 autonomous delivery robots , meeting its goals for the year within budget and forming the largest sidewalk delivery fleet in the U.S. Noting the company’s growing addressable markets, Oppenheimer analyst Colin Rusch initiated coverage of Serve Robotics with an outperform rating and $20 price target on Dec. 18. He believes fiscal year 2026 will be pivotal in revenue growth for Serve Robotics as its geographic footprint and AI development accelerates. “We see Serve Robotics as a Physical AI pioneer targeting last mile delivery as its first application,” Rusch wrote in mid-December. “We expect Serve to enjoy both top-line growth and an inflection to positive margins as robot deployments accelerate, branding collaborations grow, and incremental autonomy applications materialize for the company’s technology.” Rusch pointed out that the company can also leverage the data it collects from its robots each day, which could lead to a “compound AI approach” to boost route optimization, hardware design and safety performance. Serve Robotics was also initiated at a buy rating from Freedom Capital Markets analyst Dmitriy Pozdnyakov last month. Pozdnyakov, who has a $16 price target on the robotics stock, is bullish on the company’s eventual profitability and continued growth given its aggressive fleet expansion and partnerships with two major companies in the U.S. food delivery market.
