Serve Robotics, an autonomous sidewalk delivery company, is taking its talents to South Beach. The robotics firm on Wednesday announced the launch of its restaurant delivery service in the Miami metro area. SERV stock had been a top performer until one-time investor Nvidia disclosed last week that it had sold its stake.
Serve Robotics will provide deliveries for Shake Shack and Mister O1 Extraordinary Pizza in the Miami Beach and Brickell districts through its existing partnership with Uber Eats. Uber Eats is the delivery platform for Uber Technologies.
This expansion builds on Serve's successful multiyear growth in Los Angeles and its planned entry into the Dallas-Fort Worth market.
"Expanding to the Miami Metro is a major step in our mission to make sustainable, autonomous delivery a reality across the U.S.," Serve Robotics Chief Executive Ali Kashani said in a news release. "By bringing robotic delivery to forward-thinking communities that embrace innovation, we're helping reduce emissions and traffic congestion while supporting local restaurants and enhancing the customer experience."
On the stock market today, SERV stock rose 13.1% to close at 13.36. Last week, SERV stock plunged below its 50-day moving average line after Nvidia revealed that it was no longer an investor in Serve Robotics.
Serve's Miami launch marks a key milestone in its strategic plan to deploy 2,000 robots across the U.S. by the end of 2025.
Serve Robotics was born out of the robotics division of Postmates. After Uber's acquisition of Postmates, Serve Robotics spun out as an independent company in 2021. SERV stock made its IPO debut on Nasdaq in April 2024.
SERV Stock Ranks Third In Industry Group
In an interview last month at CES 2025, Kashani said many people prefer dealing with a robot rather than a human delivery person. Not having to tip is a major plus, he said.
"Customers love the fact that they don't have to tip, Kashani said. "The tip is the biggest cost that the customers perceive because most of the other costs of delivery is hidden in the menu prices."
Adding 15% to 20% to the bill for a tip is a "pretty sizable hit" to the customer's wallet, he said.
For restaurants, robots help alleviate a shortage of delivery drivers, he said.
Serve Robotics provides an example of physical AI that Nvidia Chief Executive Jensen Huang spotlighted in his keynote speech at CES.
"It's the year of robotics. I have no doubt," Kashani said. "This is the year people will look back at and say, 'Robots happened.'"
SERV stock ranks third out of 14 stocks in IBD's Machinery-Materials Handling and Automation industry group, according to IBD Stock Checkup. It has an IBD Composite Rating of 60 out of 99.
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