Archer Aviation (NYSE:ACHR) Trading Up 6.9% - Still a Buy?

Key Points

• Archer Aviation stock rose 6.9% on Tuesday, trading as high as $4.88 after closing at $4.55. Volume was lighter than average, with about 28.3 million shares traded.
• Analyst sentiment remains mixed but constructive: Archer has a consensus “Moderate Buy” rating and an average price target of $11.83, though Weiss Ratings reiterated a sell rating and Canaccord trimmed its target to $12 from $13.
• The company reported a wider-than-expected loss in its latest quarter, with EPS of -$0.28 versus estimates of -$0.25 and revenue of $1.6 million. Despite that, Archer maintains a strong liquidity position with a quick ratio and current ratio of 18.06 and low debt-to-equity of 0.06.

Shares of Archer Aviation Inc. (NYSE:ACHR - Get Free Report) traded up 6.9% on Tuesday . The stock traded as high as $4.88 and last traded at $4.8650. 28,292,316 shares were traded during mid-day trading, a decline of 25% from the average session volume of 37,803,336 shares. The stock had previously closed at $4.55.

Analyst Ratings Changes

ACHR has been the subject of several recent analyst reports. Weiss Ratings reaffirmed a "sell (d-)" rating on shares of Archer Aviation in a report on Monday, April 20th. Canaccord Genuity Group lowered 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. Five investment analysts have rated the stock with a Buy rating, two have given a Hold rating and one has given a Sell rating to the company. Based on data from MarketBeat.com, the stock has a consensus rating of "Moderate Buy" and a consensus target price of $11.83.

Archer Aviation Trading Up 6.9%

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's 50 day moving average is $5.70 and its two-hundred day moving average is $6.45. The company has a market capitalization of $3.70 billion, a PE ratio of -4.42 and a beta of 3.19.

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

Insider Buying and Selling at Archer Aviation

In other Archer Aviation news, CFO Priya Gupta sold 9,860 shares of the company's stock in a transaction that occurred on Monday, May 18th. The stock was sold at an average price of $5.95, for a total value of $58,667.00. Following the sale, the chief financial officer owned 189,050 shares in the company, valued at approximately $1,124,847.50. This represents a 4.96% decrease in their position. The transaction was disclosed in a document filed 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, insider Eric Lentell sold 48,169 shares of the company's stock in a transaction that occurred on Monday, May 18th. The stock was sold at an average price of $5.95, for a total value of $286,605.55. Following the completion of the sale, the insider owned 141,084 shares in the company, valued at approximately $839,449.80. This represents a 25.45% 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 worth $1,497,672. 5.55% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

A number of large investors have recently modified their holdings of ACHR. AQR Capital Management LLC acquired a new stake in shares of Archer Aviation during the 1st quarter valued at about $293,000. Integrated Wealth Concepts LLC raised its holdings in Archer Aviation by 11.1% in the 1st quarter. Integrated Wealth Concepts LLC now owns 13,770 shares of the company's stock worth $98,000 after purchasing an additional 1,373 shares during the period. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. boosted its position in Archer Aviation by 44.7% during the first quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 192,164 shares of the company's stock worth $1,366,000 after purchasing an additional 59,317 shares in the last quarter. NewEdge Advisors LLC boosted its position in Archer Aviation by 5.1% during the first quarter. NewEdge Advisors LLC now owns 35,739 shares of the company's stock worth $254,000 after purchasing an additional 1,738 shares in the last quarter. Finally, UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC grew its holdings in Archer Aviation by 51.1% in the first quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 844,017 shares of the company's stock valued at $6,001,000 after purchasing an additional 285,414 shares during the period. Institutional investors and hedge funds own 59.34% of the company's stock.

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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