Is Waymo Stock a Good Potential Investment

In the rapidly evolving landscape of autonomous vehicles, Waymo stands out as a leading force in revolutionising transportation. As a subsidiary of Alphabet Inc. (Google’s parent company), Waymo is pioneering the development of self-driving technology. 

This article will explore Waymo’s stock potential, autonomous vehicles, and self-driving technology, providing clarity on how Waymo compares to traditional ridesharing services like Uber, while also addressing the costs of Waymo’s self-driving cars and how they might impact the market.

What is Waymo?

Waymo is a subsidiary of Alphabet Inc., the parent company of Google, and it has set its sights on transforming the future of transportation with self-driving cars. The company is at the forefront of autonomous vehicle technology, using artificial intelligence (AI), sensors, and machine learning to create vehicles that can operate without human drivers.

Waymo’s Journey

Launched in 2009 as part of Google’s self-driving car project, Waymo has since made significant strides in developing a fleet of autonomous vehicles. These vehicles are now deployed in several cities across the United States, offering commercial services, including robotaxi rides through the Waymo One app.

With its innovative approach, Waymo aims to make transportation safer, more efficient, and widely accessible, positioning itself as a leader in the autonomous driving space. The company has already accumulated over 14 million rides as of early 2025, with projections for continued growth.

How Much Does a Waymo Car Cost?

A common question among investors and consumers alike is “How much does a Waymo car cost?” While Waymo does not sell its cars directly to the public, it is important to understand the cost structure behind the technology that powers these vehicles.

Cost of a Waymo Self-Driving Car

The majority of Waymo’s self-driving cars are based on the Jaguar I-Pace, a luxury electric vehicle. The base price of a Jaguar I-Pace is around £60,000, but once it is outfitted with the necessary hardware and autonomous technology (such as sensors, LiDAR, and advanced computing systems), the total cost can increase to around £130,000-£150,000.

This is far more expensive than traditional vehicles, which is one reason why Waymo has not yet begun selling self-driving cars directly to consumers. Instead, the company deploys its fleet of autonomous vehicles in select cities for ridesharing services. 

In the future, however, as the technology matures and economies of scale come into play, Waymo’s vehicles could become more affordable.

Is Waymo Cheaper Than Uber?

Another one of the most commonly asked questions is whether Waymo is cheaper than traditional ridesharing services like Uber and Lyft.

Comparing Prices: Waymo vs. Uber

The answer isn’t simple. Currently, Waymo’s autonomous rides tend to be priced similarly to Uber’s fares in some areas. However, Waymo faces a cost disadvantage because its self-driving vehicles involve expensive hardware and technology, which can lead to higher operational costs compared to Uber’s traditional ridesharing model.

Service	Price Range (approx.)
Waymo	~$20.43 (per ride)
Uber	~$15.58 (per ride)
Lyft	~$14.44 (per ride)

As shown in the table, Waymo is more expensive than Uber and Lyft in some locations. However, as Waymo scales and technology advances, the potential for cost reduction exists.

Long-Term Price Potential

The key to Waymo’s long-term cost reduction is its focus on eliminating human drivers. While Waymo’s current cost structure is higher due to the need for expensive technology, the savings from not having to pay drivers could lead to a more cost-effective model in the future.

Waymo and the Future of Autonomous Vehicles

With Waymo leading the charge in autonomous vehicles, many investors are keen to understand its stock potential. While Waymo stock itself is not publicly traded as a standalone entity, investors can gain exposure through Alphabet Inc. (GOOGL), the parent company of Waymo.

Investment Opportunity

As of 2025, Waymo has raised over $16 billion in funding and is valued at over $126 billion. The company is projected to continue growing, with forecasts suggesting it could eventually dominate the robotaxi and autonomous vehicle space. 

Currently, Waymo’s self-driving technology is leading the industry in terms of rides per week, revenue growth, and public adoption. 

For those interested in the broader robotaxi market, investing in Alphabet Inc. (GOOGL) provides indirect exposure to Waymo and its developments in self-driving technology. 

However, it’s important to consider that, while Waymo stock shows promise, there are risks involved. The company still faces stiff competition from other autonomous vehicle companies like Tesla and Zoox, which could impact its market share and future growth.

Conclusion

As Waymo continues to lead the charge in autonomous vehicles, it’s clear that the company is well-positioned for long-term growth. Waymo stock could be an exciting opportunity for investors looking to gain exposure to the self-driving car industry. 

Although Waymo’s self-driving cars are currently more expensive than Uber and Lyft rides, the company’s focus on eliminating the need for human drivers could make it a more cost-effective option in the future.

With the robotaxi market expected to continue expanding, investors and consumers alike should keep a close eye on Waymo and its evolving technology. For those interested in learning more about robotaxi stocks and their potential in the years to come, check out our in-depth analysis on Robotaxi stock.

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