Surf Air Mobility Inc. (NYSE: SRFM) shares rose 9.01% to $1.21 in Monday premarket trading. The gain followed the company's announcement that it signed a Memorandum of Agreement with the Federal Aviation Administration (FAA) to participate in the Strategic Management of Airspace, Routes, and Trajectories (SMART) program.

This partnership positions Surf Air Mobility as a Participating Airspace User in the evaluation of tools designed to modernize the National Airspace System. The agreement aligns with the company’s broader strategy to expand its software and operational capabilities.

Operational expertise and data contribution

The SMART initiative is a key component of the FAA’s broader Brand-New Air Traffic Control System overhaul. It operates through two tracks: SMART Schedules, which analyzes airline schedules, weather, airport capacity, and airspace conditions months to days before departure to identify conflicts; and SMART Trajectories, which supports day-of coordination between airlines and air traffic control from pre-departure through arrival. The goal is to provide controllers, the FAA, and airlines with a shared, data-driven view of the airspace to address issues before flights depart.

As a Participating Airspace User, Surf Air Mobility will assign subject matter experts from network planning, flight performance engineering, dispatch, and flight operations to the FAA’s SMART Innovation Lab. The company will contribute operational data and feedback to refine the scheduling and trajectory models used in the evaluation.

The company’s participation draws on its experience operating Southern Airways and Mokulele Airlines, as well as the AI and data infrastructure built through SurfOS, its software operating system powered by Palantir Technologies (NASDAQ: PLTR). The scheduled airline operations provide direct, day-to-day experience with the scheduling and trajectory challenges SMART aims to address, while the development of AI-enabled SurfOS tools offers relevant technical experience for the FAA’s evaluation.

Strategic alignment with profitability goals

This agreement aligns with Surf Air Mobility’s broader strategic initiatives, including becoming a platform for advanced air mobility and developing SurfOS as the operating system for the Part 135 and private aviation industry. The company also plans to be the first Part 135 operator to commercialize electric passenger flights for scheduled service and On Demand charter.

Surf Air Mobility is focused on accelerating paths to profitability across its three business lines:

• SurfOS: Software operating system for aviation
• Scheduled airline operations: Commuter services via Southern Airways and Mokulele Airlines
• Surf On Demand: Private charter services

These capabilities position the company to leverage operational scale and real-world data to validate and deploy its software solutions.

Analyst views and price action

Market sentiment regarding Surf Air Mobility remains mixed but leans toward potential upside based on consensus ratings. The stock carries a Buy consensus rating with an average price forecast of $3. Forecasts range from $1 to $5.

Recent analyst actions include:

Canaccord Genuity maintained a Hold rating while cutting its price forecast to $1 on August 17. Conversely, Northland Capital Markets initiated coverage with an Outperform rating and a $5 price forecast on May 7.

Surf Air Mobility Inc. (NYSE: SRFM) shares traded higher by 15.58% to $0.89 on Wednesday following the announcement of a definitive agreement with SkyDance Air for its OperatorOS flight operations software.

This marks the second commercial contract for the platform, following the initial deal with Sprintbach Aviation. The company plans to have five operators live on OperatorOS by the end of 2026. Surf Air Mobility will earn a percentage of revenue for all SkyDance flights managed through the software.

Commercial Launch Details

OperatorOS is powered by Palantir Technologies (NASDAQ: PLTR). It manages aircraft and crew scheduling, flight management, reporting, and distribution for Part 135 operators. The Federal Aviation Administration recently approved it as an authorized system of record for electronic signatures and recordkeeping.

SkyDance Air is the second largest single-fleet operator of Cirrus Vision Jets in North America. The company currently operates 3 aircraft and plans to grow to approximately 10 aircraft in 2027. Liam Fayed, Co-founder of Surf Air Mobility, stated that the agreement reinforces a trend of operators seeking a single platform to replace fragmented systems.

David Hackett, President of SkyDance, noted that the platform allows them to build on their technology-forward approach as they scale. He emphasized that OperatorOS provides capabilities and insights specifically designed for growing Part 135 operators.

Strategic Context

Surf Air Mobility has used OperatorOS internally for Southern Airways and Mokulele Airlines since 2025. The company states this internal validation supports its deployment to external partners.

OperatorOS is one of three flagship products in the SurfOS suite, alongside BrokerOS and OwnerOS. These tools aim to connect brokers, operators, and aircraft owners on a single platform to replace fragmented software. Each new operator adds supply data to the platform, strengthening dynamics between OperatorOS and BrokerOS.

Market Reaction and Technicals

The stock is attempting to repair longer-term damage after falling 82.74% over the past 12 months. At 86 cents during premarket activity, SRFM traded about 39.9% above its 20-day SMA (64 cents) and about 24.5% above its 50-day SMA (72 cents). However, it remained about 2.8% below its 100-day SMA (92 cents) and about 36.3% below its 200-day SMA ($1.40).

Momentum indicators show improvement, with MACD above its signal line and a positive histogram, suggesting easing downside pressure. Despite this, the broader moving-average structure remains a headwind, characterized by a "death cross" formed in December 2025 where the 50-day SMA sits below the 200-day SMA.

Analyst Sentiment

The stock carries a Buy rating with an average price forecast of $3.00. Recent analyst moves include:

• Canaccord Genuity: Hold (Lowers Target to $1.00) on August 17
• Northland Capital Markets: Initiated with Outperform (Target $5.00) on May 7
• Canaccord Genuity: Hold (Lowers Target to $2.25) on March 16

What the Numbers Show

The revenue model relies on a percentage of flight revenue rather than fixed licensing fees. This aligns Surf Air Mobility’s earnings directly with partner operational volume, creating a variable income stream tied to flight activity.

With Sprintbach operating 9 aircraft and SkyDance currently at 3 aircraft with plans to reach 10, the combined fleet under management represents a growing base for recurring revenue generation as these operators scale.