Bear Cave Raises Red Flags On Sidewalk Delivery Robots, Serve Robotics Stock Falls

Serve Robotics Inc (NASDAQ:SERV) shares are trading lower Thursday morning after The Bear Cave published a new report raising concerns about the sidewalk delivery robotics company.

• Serve Robotics stock is facing resistance. What’s driving SERV stock lower?

Community Resistance Threatens 2026 Revenue Expectations

In "More Problems at Serve Robotics (SERV)," the Bear Cave’s Edwin Dorsey reiterated his bearish view that Serve is "a well-intentioned experiment with poor economics," saying it has lost about $80 million on roughly $2 million in revenue over the past 12 months and has about $100 million in average daily trading volume.

The Bear Cave argued expectations for a sharp revenue ramp in 2026 could be undermined by community resistance, robot performance issues in traffic and on sidewalks, and restaurants that have dropped Serve or not expanded beyond early pilots.

Benzinga has reached out to Serve Robotics for comment regarding the report.

Serve operates food-delivery robots in cities including Los Angeles, Miami and Chicago. Chicago was a key focus in the report, which pointed to a petition site opposing sidewalk robots with more than 3,400 signatures and efforts to funnel complaints through the city's 311 system. Dorsey also cited local political feedback that could limit expansion.

Safety Incidents And Prior Critiques Raise Red Flags

The Bear Cave report also referenced incidents in which Serve robots allegedly blocked emergency vehicles and train tracks, including a January episode in Miami in which a Brightline train stopped after striking a robot that had broken down on the tracks.

The critique follows The Bear Cave's December report on Serve, which similarly characterized the technology as a subpar solution for last-mile delivery.

SERV Shares Edge Lower Thursday Morning

SERV Price Action: Serve Robotics shares were down 4.67% at $9.38 at the time of publication on Thursday, according to Benzinga Pro data.

Image: Courtesy of Serve Robotics