Latest news with #airtaxi
Yahoo
3 hours ago
- Business
- Yahoo
Archer Aviation (NYSE:ACHR) Partners With Jetex To Expand Global Air Taxi Network
Archer Aviation has recently announced a strategic partnership with Jetex, aimed at expanding its infrastructure for air taxi operations globally, starting with the UAE. This collaboration, alongside other initiatives like partnerships in Indonesia and New York, aligns with the company's ambitious global expansion strategy. Within the last quarter, Archer's stock price increased by 23%, a movement that may have been influenced by these positive developments, especially in a flat market environment. Although the market rose 10% over the past year, Archer's robust partnerships and product advancements likely added weight to its notable quarterly performance. Archer Aviation has 4 warning signs (and 2 which are concerning) we think you should know about. Find companies with promising cash flow potential yet trading below their fair value. Over the past year, Archer Aviation's total shareholder return reached 233.33%, highlighting a substantial increase and outpacing both the US Aerospace & Defense industry and the broader market. Comparatively, the industry achieved a return of 33.4% and the market returned 9.9% during the same timeframe. This growth suggests a positive reception to the company's ongoing partnerships and expansion efforts. The strategic collaborations, particularly in the UAE, New York, and Indonesia, may bolster Archer's revenue and earnings forecasts, despite its current unprofitable status. Analysts project a robust 58.1% annual revenue growth, which is significantly higher than the US market's expected growth. This aligns with the company's ambitious global expansion activities outlined in recent announcements. Regarding valuation, Archer's current share price represents a 17% discount to the consensus analyst price target of $11.94, indicating potential for future appreciation if forecasts align with strategic execution. However, with a Price-To-Book Ratio of 6.4x, it remains more expensive compared to the US Aerospace & Defense industry average of 3.3x, which investors should consider when evaluating Archer's future prospects. Our comprehensive valuation report raises the possibility that Archer Aviation is priced lower than what may be justified by its financials. This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Companies discussed in this article include NYSE:ACHR. This article was originally published by Simply Wall St. Have feedback on this article? Concerned about the content? with us directly. Alternatively, email editorial-team@ Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
4 hours ago
- Business
- Yahoo
Archer Aviation (NYSE:ACHR) Partners With Jetex To Expand Global Air Taxi Network
Archer Aviation has recently announced a strategic partnership with Jetex, aimed at expanding its infrastructure for air taxi operations globally, starting with the UAE. This collaboration, alongside other initiatives like partnerships in Indonesia and New York, aligns with the company's ambitious global expansion strategy. Within the last quarter, Archer's stock price increased by 23%, a movement that may have been influenced by these positive developments, especially in a flat market environment. Although the market rose 10% over the past year, Archer's robust partnerships and product advancements likely added weight to its notable quarterly performance. Archer Aviation has 4 warning signs (and 2 which are concerning) we think you should know about. Find companies with promising cash flow potential yet trading below their fair value. Over the past year, Archer Aviation's total shareholder return reached 233.33%, highlighting a substantial increase and outpacing both the US Aerospace & Defense industry and the broader market. Comparatively, the industry achieved a return of 33.4% and the market returned 9.9% during the same timeframe. This growth suggests a positive reception to the company's ongoing partnerships and expansion efforts. The strategic collaborations, particularly in the UAE, New York, and Indonesia, may bolster Archer's revenue and earnings forecasts, despite its current unprofitable status. Analysts project a robust 58.1% annual revenue growth, which is significantly higher than the US market's expected growth. This aligns with the company's ambitious global expansion activities outlined in recent announcements. Regarding valuation, Archer's current share price represents a 17% discount to the consensus analyst price target of $11.94, indicating potential for future appreciation if forecasts align with strategic execution. However, with a Price-To-Book Ratio of 6.4x, it remains more expensive compared to the US Aerospace & Defense industry average of 3.3x, which investors should consider when evaluating Archer's future prospects. Our comprehensive valuation report raises the possibility that Archer Aviation is priced lower than what may be justified by its financials. This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Companies discussed in this article include NYSE:ACHR. This article was originally published by Simply Wall St. Have feedback on this article? Concerned about the content? with us directly. Alternatively, email editorial-team@
Wall Street Journal
3 days ago
- Business
- Wall Street Journal
The Hybrid-Electric Plane Maker That Wants to Change the Way We Fly
Investors are betting billions on air travel's next big things, from all-electric air taxis to supersonic jetliners. The chief executive of aerospace startup Electra says he's looking to deliver a practical option: a hybrid-electric plane that can take off and land—quickly and quietly—on a surface no bigger than a soccer field. 'It's just an airplane,' says Marc Allen, who was a Boeing executive before becoming Electra's CEO last year. But he believes this hybrid, also known as an 'ultra short,' will answer travelers' desire to fly without traffic-clogged trips to the airport, long security lines or inconvenient connections. Helicopters are too loud and expensive, and small jets still must use traditional airports, while air taxis have limited range, he says. 'We're consolidating these existing technologies in a totally unique and novel way to finally deliver direct aviation, to make it real.'
Globe and Mail
3 days ago
- Business
- Globe and Mail
Is Archer Aviation (ACHR) Getting Closer to Lift-Off? $850M Bet Says Yes
Archer Aviation (ACHR) has been gaining solid ground in the electric air mobility space, and now it's adding even more fuel to its climb. The company just secured a fresh $850 million in funding. That's more than just a big number. It clearly signals that investors believe in Archer's mission to bring air taxis into everyday life. Confident Investing Starts Here: Easily unpack a company's performance with TipRanks' new KPI Data for smart investment decisions Receive undervalued, market resilient stocks right to your inbox with TipRanks' Smart Value Newsletter The announcement follows recent executive orders from President Donald Trump aimed at speeding up the development of electric vertical takeoff and landing (eVTOL) aircraft, a sector long held back by complex rules. The orders also support progress in supersonic planes and defenses against hostile drones, giving a broader push to next-gen aviation. For Archer, that could mean quicker approvals and an earlier launch window. And with this new tailwind, investors are betting the skies may open up sooner than expected. Strong Backing Fuels Archer's Ascent Even though it hasn't started making revenue yet, Archer stock has soared about 260% over the past year. That kind of climb is unusual for a pre-commercial firm and highlights growing belief in its long-term potential. Earlier this year, Archer secured $300 million from major investors, including BlackRock (BLK). Now, with the fresh $850 million in backing, the company now has close to $2 billion in available cash. That's a solid amount to build more aircraft, ramp up testing, and get closer to launching real-world air taxi services. ACHR Is Expanding Into Real-World Skies Archer is making real progress toward going commercial. In April, the company announced a partnership with United Airlines (UAL) to launch air taxi services in New York City. The goal? Help travelers skip hours of airport traffic with short, 5–15 minute electric air taxi rides. Then in May, Archer hit a major milestone. It was named the Official Air Taxi Provider for the 2028 Los Angeles Olympic and Paralympic Games. Its Midnight aircraft will shuttle VIPs, fans, and staff across the city, with special takeoff and landing zones planned near key venues. The company will also assist with logistics, security, and emergency response. With enough capital in hand, government support, and growing partnerships, Archer looks ready to take flight. Is ACHR Stock a Buy, Sell, or Hold? ACHR stock price target of $11.83 implies about 0.85% upside potential. See more ACHR analyst ratings
Globe and Mail
3 days ago
- Business
- Globe and Mail
1 Magnificent Aviation Stock Down 24% to Buy and Hold Forever
Archer Aviation (NYSE: ACHR), a builder of electric vertical take-off and landing (eVTOL) aircraft, went public by merging with a special purpose acquisition company (SPAC) on Sep. 17, 2021. Its stock opened at $9.40 on its first day but sank to an all-time low of $1.63 on Dec. 27, 2022 as it missed its pre-merger estimates, and rising interest rates squeezed its valuations. But Archer's business stabilized as it delivered its first aircraft and secured new partnerships, and its stock closed at a new record high of $13.30 per share on May 16, 2025. It's pulled back about 24% since then, but I think it could still be a great stock to buy and hold forever. Why does Archer have a lot of upside potential? Archer's Midnight eVTOL aircraft can carry one pilot and four passengers, travel up to 100 miles on a single charge, and fly at a maximum speed of 150 miles per hour. It promotes the Midnight as a cheaper and greener alternative to traditional helicopters, and it's easier to land in densely populated urban areas. That makes them well suited for short-range air taxi services. Archer's top commercial customers include United Airlines, which ordered 200 aircraft; Future Flight Global, which ordered 116 aircraft; and Soracle (a joint venture between Japan Airlines and Sumimoto), which placed an order for 100 aircraft. It's secured additional air taxi deals with Ethiopian Airlines and Abu Dhabi Aviation, and it plans to launch its own first-party air taxi service within the next two years. Archer also holds contracts worth up to $142 million with the U.S. Department of Defense (DoD); it's working with the automaker Stellantis to produce its own branded eVTOLs; and it partnered with Palantir this March to accelerate its own production and strengthen its aviation systems with its AI services. Why is Archer a difficult stock to value? Archer has a market cap of $6.4 billion, but it hasn't generated any meaningful revenue yet. That makes it a tough stock to value and an easy target for short sellers. Archer delivered its first Midnight to the U.S. Air Force (USAF) last August, but that variant version of its aircraft didn't generate any direct revenue and was only used for testing purposes. It's contracted to deliver up to five more Midnight aircraft to the USAF over the next few years. Archer can't ramp up its deliveries in the U.S. until it competes the Federal Aviation Administration's (FAA's) five-phase certification process: conceptual design, requirements definition, compliance planning, implementation, and certification. It's already on the fourth phase and expects to clear the final phase to certify its aircraft this year. If the FAA certifies its Midnight aircraft, Archer plans to ramp up its deliveries and gradually start its U.S. air taxi services by the end of 2025. It will also continue the deployment of its air taxi services in Abu Dhabi, where it faces fewer regulatory hurdles. Archer then aims to increase its annual production to 10 aircraft in 2025, 48 aircraft in 2026, 252 aircraft in 2027, and 650 aircraft in 2028. Stellantis, its top investor, will support that expansion with its cash and manufacturing capabilities. The bulls believe that by 2028, Archer's Midnight aircraft will have established an early mover's advantage in the nascent air taxi market. It was already selected as the official air taxi provider for the Los Angeles Olympics in 2028, and that increased brand visibility could attract more commercial customers. Archer also believes its own first-party air taxi service will eventually cost about the same as Uber 's premium UberBlack service. Why could it be a great stock to buy and hold forever? Archer is a risky and speculative stock. It won't turn a profit anytime soon; it will take on more debt to fund its expansion; and it will keep diluting its investors with more secondary offerings. However, analysts expect Archer's annual revenue to rise from $13 million in 2025 to $437 million in 2027 if it successfully ramps up its production. A lot of Archer's near-term growth has already been baked into its shares at 15 times its projected sales for 2027, but the eVTOL market could grow much larger over the next decade. According to Markets and Markets, the eVTOL market could expand at a compound annual growth rate (CAGR) of 35.3% from 2024 to 2030, and keep growing at a CAGR of 27.6% from 2031 to 2035. If Archer stays at the top of that blooming market, it could expand and evolve into an aviation giant over the next decade. So as long as you can tune out the near-term noise about tariffs, geopolitical conflicts, and other macroheadwinds, it looks like a great stock to buy and hold forever. 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