Archer Aviation (NYSE:ACHR) Stock Price Down 4.1% - Time to Sell?

Key Points

• Archer Aviation shares fell 4.1% on Wednesday, trading around $5.04 after touching a low of $5.00, with volume slightly above average.
• Wall Street sentiment is still mixed-to-positive: the stock carries a Moderate Buy consensus, though Weiss Ratings reiterated a sell rating and several analysts recently cut price targets.
• The company missed earnings expectations in its latest quarter, reporting a larger-than-expected loss of $0.28 per share and revenue of $1.60 million, while insiders also sold shares recently for tax withholding purposes.

Archer Aviation Inc. (NYSE:ACHR - Get Free Report) fell 4.1% during trading on Wednesday . The stock traded as low as $5.00 and last traded at $5.0370. Approximately 40,638,250 shares changed hands during trading, an increase of 6% from the average daily volume of 38,476,250 shares. The stock had previously closed at $5.25.

Wall Street Analysts Forecast Growth

Several brokerages have recently weighed in on ACHR. Weiss Ratings reissued a "sell (d-)" rating on shares of Archer Aviation in a research note on Monday, April 20th. Canaccord Genuity Group cut their price target on shares of Archer Aviation from $13.00 to $12.00 and set a "buy" rating on the stock in a report on Tuesday, May 12th. Finally, Needham & Company LLC reduced their price objective on shares of Archer Aviation from $10.00 to $9.00 and set a "buy" rating on the stock in a research report on Tuesday, March 3rd. Five analysts have rated the stock with a Buy rating, two have assigned a Hold rating and one has given a Sell rating to the company's stock. According to MarketBeat.com, the company currently has a consensus rating of "Moderate Buy" and an average target price of $11.83.

Archer Aviation Price Performance

The stock's 50 day moving average price is $5.98 and its 200-day moving average price is $6.78. The company has a quick ratio of 18.06, a current ratio of 18.06 and a debt-to-equity ratio of 0.06. The stock has a market capitalization of $3.83 billion, a PE ratio of -4.58 and a beta of 3.14.

Archer Aviation (NYSE:ACHR - Get Free Report) last posted its quarterly earnings results on Monday, May 11th. The company reported ($0.28) EPS for the quarter, missing the consensus estimate of ($0.25) by ($0.03). The company had revenue of $1.60 million for the quarter, compared to the consensus estimate of $1.66 million. During the same quarter in the previous year, the company earned ($0.17) earnings per share. As a group, equities analysts forecast that Archer Aviation Inc. will post -1.47 EPS for the current year.

Insider Activity at Archer Aviation

In other news, CFO Priya Gupta sold 9,860 shares of Archer Aviation stock in a transaction that occurred on Monday, May 18th. The shares were sold at an average price of $5.95, for a total transaction of $58,667.00. Following the completion of the sale, the chief financial officer owned 189,050 shares of the company's stock, valued at approximately $1,124,847.50. The trade was a 4.96% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is accessible through this link. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CAO Harsh Rungta sold 12,414 shares of the business's stock in a transaction that occurred on Monday, May 18th. The shares were sold at an average price of $5.95, for a total value of $73,863.30. Following the completion of the sale, the chief accounting officer owned 87,210 shares of the company's stock, valued at $518,899.50. The trade was a 12.46% decrease in their position. The disclosure for this sale is available in the SEC filing. The sale was made to cover tax withholding obligations related to the vesting of equity awards. In the last three months, insiders sold 250,743 shares of company stock valued at $1,497,672. 5.55% of the stock is owned by insiders.

Institutional Investors Weigh In On Archer Aviation

A number of institutional investors and hedge funds have recently bought and sold shares of ACHR. Farther Finance Advisors LLC increased its stake in shares of Archer Aviation by 7.0% during the fourth quarter. Farther Finance Advisors LLC now owns 18,659 shares of the company's stock valued at $140,000 after buying an additional 1,220 shares during the period. Gerber Kawasaki Wealth & Investment Management lifted its stake in Archer Aviation by 8.2% in the third quarter. Gerber Kawasaki Wealth & Investment Management now owns 16,702 shares of the company's stock worth $160,000 after acquiring an additional 1,268 shares during the period. Integrated Wealth Concepts LLC lifted its stake in Archer Aviation by 11.1% in the first quarter. Integrated Wealth Concepts LLC now owns 13,770 shares of the company's stock worth $98,000 after acquiring an additional 1,373 shares during the period. Meridian Investment Counsel Inc. grew its holdings in Archer Aviation by 3.4% during the 4th quarter. Meridian Investment Counsel Inc. now owns 43,950 shares of the company's stock worth $331,000 after acquiring an additional 1,440 shares in the last quarter. Finally, Choreo LLC increased its position in Archer Aviation by 8.1% during the 4th quarter. Choreo LLC now owns 20,802 shares of the company's stock valued at $157,000 after purchasing an additional 1,555 shares during the period. 59.34% of the stock is owned by institutional investors.

Archer Aviation Company Profile

Archer Aviation, Inc NYSE: ACHR is a California-based aerospace company developing electric vertical takeoff and landing (eVTOL) aircraft designed to serve as sustainable urban air mobility solutions. Founded in 2018 by Adam Goldstein and Brett Adcock, Archer focuses on the design, development and certification of zero-emissions air taxis aimed at reducing traffic congestion in densely populated metropolitan areas. The company's flagship prototypes, “Maker” and “Midnight,” have been engineered to deliver quiet, efficient short-haul flights with ranges of up to 100 miles per charge.

Headquartered in Palo Alto, California, Archer operates a manufacturing facility in nearby Santa Cruz County and maintains research partnerships with automotive and energy companies, including a collaboration with Stellantis to integrate advanced battery systems.

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