Archer Aviation (NYSE:ACHR) Trading Up 2.7% - Should You Buy?

Key Points

• Shares rose 2.7% to $5.565 on Monday (intraday high $5.71) on ~24.8M shares traded, about 30% below average, and the stock remains below its 50-day ($6.56) and 200-day ($8.30) moving averages.
• Analysts carry a consensus "Moderate Buy" rating with a $12 average target (five Buys, two Holds, one Sell); Needham cut its target to $9 and Weiss Ratings reiterated a sell (D-).
• Archer reported a quarterly loss (EPS -$0.26) and missed revenue estimates ($0.30M vs. $1.4M expected) despite large YoY revenue growth; the balance sheet shows very high liquidity (quick/current ratio 19.89) and low leverage (debt/equity 0.05), while insiders have sold ~255,750 shares in the last 90 days and institutions own ~59.3% of the stock.

Archer Aviation Inc. (NYSE:ACHR - Get Free Report)'s share price rose 2.7% on Monday . The company traded as high as $5.71 and last traded at $5.5650. Approximately 24,761,217 shares traded hands during mid-day trading, a decline of 30% from the average daily volume of 35,348,359 shares. The stock had previously closed at $5.42.

Analysts Set New Price Targets

ACHR has been the subject of a number of analyst reports. Weiss Ratings restated a "sell (d-)" rating on shares of Archer Aviation in a research note on Wednesday, January 21st. Needham & Company LLC decreased their price objective on 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 equities research analysts have rated the stock with a Buy rating, two have given a Hold rating and one has assigned a Sell rating to the company's stock. According to data from MarketBeat.com, the stock presently has an average rating of "Moderate Buy" and a consensus target price of $12.00.

Archer Aviation Stock Up 2.7%

The company has a quick ratio of 19.89, a current ratio of 19.89 and a debt-to-equity ratio of 0.05. The firm has a fifty day moving average of $6.56 and a 200-day moving average of $8.30. The firm has a market cap of $4.14 billion, a P/E ratio of -5.62 and a beta of 3.24.

Archer Aviation (NYSE:ACHR - Get Free Report) last announced its quarterly earnings results on Monday, March 2nd. The company reported ($0.26) earnings per share for the quarter, missing analysts' consensus estimates of ($0.17) by ($0.09). The business had revenue of $0.30 million during the quarter, compared to analysts' expectations of $1.40 million. The business's quarterly revenue was up 29900.0% on a year-over-year basis. On average, equities research analysts anticipate that Archer Aviation Inc. will post -1.32 earnings per share for the current year.

Insider Transactions at Archer Aviation

In other Archer Aviation news, insider Eric Lentell sold 8,059 shares of Archer Aviation stock in a transaction dated Friday, March 13th. The stock was sold at an average price of $6.27, for a total value of $50,529.93. Following the transaction, the insider owned 150,119 shares in the company, valued at $941,246.13. The trade was a 5.09% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available at this link. Also, insider Tosha Perkins sold 10,949 shares of the firm's stock in a transaction that occurred on Friday, March 13th. The shares were sold at an average price of $6.27, for a total transaction of $68,650.23. Following the completion of the sale, the insider owned 384,768 shares in the company, valued at $2,412,495.36. This represents a 2.77% decrease in their position. The disclosure for this sale is available in the SEC filing. In the last 90 days, insiders have sold 255,750 shares of company stock worth $1,645,333. 7.65% of the stock is owned by insiders.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently bought and sold shares of the stock. Bank of Jackson Hole Trust raised its holdings in shares of Archer Aviation by 45.9% in the 3rd quarter. Bank of Jackson Hole Trust now owns 3,136 shares of the company's stock worth $30,000 after acquiring an additional 986 shares during the last quarter. Prime Capital Investment Advisors LLC lifted its stake in shares of Archer Aviation by 2.5% during the 3rd quarter. Prime Capital Investment Advisors LLC now owns 46,262 shares of the company's stock valued at $443,000 after buying an additional 1,107 shares in the last quarter. Farther Finance Advisors LLC lifted its position 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 worth $140,000 after acquiring an additional 1,220 shares in the last quarter. HighPoint Advisor Group LLC lifted its holdings in Archer Aviation by 3.6% during the 3rd quarter. HighPoint Advisor Group LLC now owns 35,919 shares of the company's stock worth $344,000 after purchasing an additional 1,237 shares in the last quarter. Finally, Clear Creek Financial Management LLC boosted its holdings in Archer Aviation by 2.9% in the 3rd quarter. Clear Creek Financial Management LLC now owns 44,084 shares of the company's stock valued at $422,000 after purchasing an additional 1,254 shares during the period. 59.34% of the stock is owned by institutional investors.

About Archer Aviation

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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