Archer Aviation Partners with Karem to Enhance eVTOL Technology
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 2h ago
0mins
Source: Fool
- Technological Partnership: Archer Aviation's deal with Karem Aircraft grants access to 'military-grade' technology validated by the U.S. Army, aimed at enhancing the efficiency of its electric vertical takeoff and landing (eVTOL) air taxi, thereby strengthening its competitive position in the U.S. market.
- Acquisition Progress: The company has completed the first phase of acquiring Hawthorne Airport, expected to serve as an operational hub for the 2028 Los Angeles Olympics, although the certainty of meeting this timeline remains in question.
- Financial Challenges: Archer reported a reduced net loss of $93.4 million in Q1 2025, but losses more than doubled to $206 million in Q2, with a 12% year-over-year worsening in Q3, indicating ongoing financial pressures.
- Market Competition: Joby Aviation, a key competitor, is also pursuing FAA certification and plans to double its manufacturing capacity to four aircraft per month by 2027, potentially gaining full FAA approval before Archer, intensifying market competition.
ACHR
$7.63+Infinity%1D
Analyst Views on ACHR
Wall Street analysts forecast ACHR stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for ACHR is 12.20 USD with a low forecast of 8.00 USD and a high forecast of 18.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
5 Analyst Rating
4 Buy
1 Hold
0 Sell
Strong Buy
Current: 7.700
Low
8.00
Averages
12.20
High
18.00
Current: 7.700
Low
8.00
Averages
12.20
High
18.00
About ACHR
Archer Aviation Inc. is an aerospace company. It is engaged in providing customers with advanced aircraft and related technologies and services in the United States and internationally in both the commercial and defense sectors. Its commercial line of business consists of the sale of its commercial aircraft (Archer Direct), such as Midnight, to aircraft operators as well as technologies and services related thereto, including commercial launch (certification, testing, training, demonstration, market survey and early trial operations), and maintenance and repair. Its defense line of business consists of the sale of aircraft and related technologies for defense applications. Its initial product is intended to be a hybrid-propulsion, vertical take-off and landing (VTOL) aircraft. Its Midnight aircraft is designed around its proprietary 12-tilt-6 distributed electric propulsion platform. It carries four passengers plus a pilot. The aircraft is purpose-built for air taxi operations.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
