ACHR stock has soared 181% in a year, but its lack of revenues and negative ROIC raise caution amid eVTOL momentum.
Archer Aviation NYSE: ACHR has hit an important new stage in getting its Midnight electric air taxi ready for passengers. The company announced in early June that its innovative aircraft had started piloted flight tests.
Archer Aviation NYSE: ACHR recently found itself in the spotlight after a critical report from short-seller Culper Research on May 20th caused its stock to dip. However, in the days since, Archer's shares have shown signs of stabilizing.
ACHR outpaces JOBY in terms of stock price gain. Both eVTOL firms face steep hurdles in a pre-revenue, capital-heavy urban air mobility race.
When I'm thinking about potential sectors of the economy that could provide meaningful upside for investors looking to put some capital to work for two or three decades (yes, that long-term), I like to think about what pain points society has that companies with revolutionary technologies are looking to solve.
Investors interested in ACHR stock should wait for a better entry point, considering its negative ROIC and a downward revision in its earnings estimates.
I reiterate my bullish rating on Archer Aviation Inc. (ACHR) due to its FAA certifications and the launch of the Midnight aircraft in Abu Dhabi. The Midnight launch edition is a significant milestone towards type certification, paving the way for Archer's commercial footprint and next-generation air taxis. Archer's strong balance sheet with $1.1 billion in cash and liquidity supports its commercialization efforts, positioning it ahead of competitors like Joby Aviation.
Archer Aviation NYSE: ACHR delivered a positive first-quarter 2025 financial report on May 12, 2025, surpassing analyst expectations for earnings per share (EPS) and showcasing an improved net loss.
Shares of aerospace stock Archer Aviation Inc (NYSE:ACHR) are up 22.7% at $11.14 at last glance, after the company's upbeat first-quarter earnings results.
Nvidia made early investors rich, but there is a new class of ‘Next Nvidia Stocks' that could be even better.
Archer Aviation's Midnight eVTOL is advancing urban air mobility, with strong liquidity and strategic partnerships, despite no significant revenues yet. The company posted an EBITDA loss of $109 million, but a >$1 billion cash balance mitigates future cash burn risks. Archer Aviation's partnerships and piloted flight tests signal significant progress toward commercial service entry, with a 28% upside potential.
Archer Aviation Inc. (NYSE:ACHR ) Q1 2025 Earnings Conference Call May 12, 2025 5:00 PM ET Company Participants Eric Lentell - General Counsel Adam Goldstein - Founder and CEO Tom Muniz - CTO Priya Gupta - Interim CFO Conference Call Participants Andres Sheppard - Cantor Fitzgerald Edison Yu - Deutsche Bank Josh Sullivan - The Benchmark Company Bill Peterson - JPMorgan Savi Syth - Raymond James Austin Moeller - Canaccord David Zazula - Barclays Chris Pierce - Needham Amit Dayal - H. C. Wainwright Operator Good afternoon.