Archer Aviation Inc. (ACHR) - What Are Researchers Thinking About This Stock?

Key Points

• Analyst sentiment is generally positive: Eight brokerages give Archer Aviation a consensus “Moderate Buy” rating, with six Buys, one Hold and one Sell; the average 12-month price target is $10.58.
• Quarterly results were mixed: Revenue of $5.10 million topped expectations, while EPS of -$0.35 missed consensus by one cent. The shares fell 7% to $4.03, and some analysts lowered price targets after the results.
• Certification remains a key uncertainty: FAA progress and liquidity may support the company, but further regulatory hurdles, ongoing losses and the long road to commercial operations remain risks.

Archer Aviation Inc. (NYSE:ACHR - Get Free Report) has been given an average rating of "Moderate Buy" by the eight brokerages that are currently covering the firm, MarketBeat reports. One research analyst has rated the stock with a sell recommendation, one has assigned a hold recommendation and six have assigned a buy recommendation to the company. The average 1-year price objective among brokerages that have issued a report on the stock in the last year is $10.58.

A number of brokerages have commented on ACHR. HC Wainwright reissued a "buy" rating on shares of Archer Aviation in a report on Tuesday, August 11th. Cantor Fitzgerald cut their target price on Archer Aviation from $11.00 to $10.00 and set an "overweight" rating on the stock in a research note on Tuesday, November 10th. Needham & Company LLC reduced their target price on Archer Aviation from $9.00 to $7.00 and set a "buy" rating for the company in a report on Tuesday, November 10th. Barclays raised Archer Aviation from an "equal weight" rating to an "overweight" rating and increased their price target for the company from $4.50 to $8.00 in a research report on Friday, October 9th. Finally, UBS Group reiterated an "overweight" rating on shares of Archer Aviation in a report on Tuesday, August 11th.

Insider Transactions at Archer Aviation

In related news, CFO Priya Gupta sold 10,015 shares of the firm's stock in a transaction dated Monday, August 17th. The shares were sold at an average price of $6.41, for a total transaction of $64,196.15. Following the completion of the sale, the chief financial officer owned 202,784 shares in the company, valued at approximately $1,299,845.44. This trade represents a 4.71% decrease in their ownership of the stock. The transaction was disclosed in a 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, insider Eric Lentell sold 100,000 shares of the business's stock in a transaction dated Thursday, August 20th. The shares were sold at an average price of $6.31, for a total transaction of $631,000.00. Following the completion of the transaction, the insider owned 85,011 shares in the company, valued at approximately $536,419.41. The trade was a 54.05% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold 176,657 shares of company stock worth $1,122,371 in the last ninety days. Company insiders own 5.55% of the company's stock.

Hedge Funds Weigh In On Archer Aviation

Institutional investors and hedge funds have recently bought and sold shares of the company. Voya Investment Management LLC grew its stake in shares of Archer Aviation by 48.2% during the 3rd quarter. Voya Investment Management LLC now owns 10,118,847 shares of the company's stock worth $50,291,000 after acquiring an additional 3,289,910 shares during the period. Sumitomo Mitsui Trust Group Inc. boosted its position in Archer Aviation by 7.3% during the third quarter. Sumitomo Mitsui Trust Group Inc. now owns 8,072,347 shares of the company's stock worth $40,120,000 after purchasing an additional 549,998 shares during the period. Renaissance Technologies LLC boosted its position in Archer Aviation by 703.3% during the first quarter. Renaissance Technologies LLC now owns 2,514,300 shares of the company's stock worth $12,999,000 after purchasing an additional 2,201,300 shares during the period. Bank of America Corp DE increased its stake in shares of Archer Aviation by 33.2% in the first quarter. Bank of America Corp DE now owns 2,136,942 shares of the company's stock worth $11,048,000 after purchasing an additional 532,762 shares in the last quarter. Finally, Bank of New York Mellon Corp purchased a new position in shares of Archer Aviation in the second quarter worth about $10,190,000. 59.34% of the stock is owned by institutional investors.

Latest Archer Aviation News

Here's some of the latest news about ACHR:

• Neutral Sentiment: Archer reported quarterly revenue above analyst expectations but missed the EPS consensus by one cent. Its FAA certification progress and liquidity are potential supports, though certification still has further hurdles. FAA certification milestone
• Negative Sentiment: Analyst price-target reductions following the quarterly results weighed on sentiment; reports cited cuts from Cantor Fitzgerald and Needham. Canaccord Genuity, however, maintained a Buy rating and set a $9.50 target. Analyst ratings Canaccord rating
• Negative Sentiment: The stock has underperformed over the past year, and continued losses and the long path to commercial operations remain important risks. Performance and outlook

Archer Aviation Trading Down 7.0%

Archer Aviation stock traded down $0.30 during mid-day trading on Friday, hitting $4.03. 19,827,225 shares of the stock were exchanged, compared to its average volume of 22,795,962. The company has a quick ratio of 10.21, a current ratio of 8.02 and a debt-to-equity ratio of 0.10. Archer Aviation has a 12 month low of $3.62 and a 12 month high of $9.29. The firm's fifty day simple moving average is $4.76 and its two-hundred day simple moving average is $5.63. The stock has a market capitalization of $3.10 billion, a price-to-earnings ratio of -3.27 and a beta of 3.59.

Archer Aviation (NYSE:ACHR - Get Free Report) last announced its earnings results on Monday, November 9th. The company reported ($0.35) earnings per share for the quarter, missing analysts' consensus estimates of ($0.34) by ($0.01). The firm had revenue of $5.10 million for the quarter, compared to the consensus estimate of $3.57 million. Archer Aviation had a negative return on equity of 46.62% and a negative net margin of 7,869.17%. During the same period in the prior year, the business earned ($0.20) EPS. Analysts forecast that Archer Aviation will post -1.37 EPS for the current year.

Archer Aviation Company Profile

Archer Aviation is an aerospace company based in San Jose, California, that develops electric vertical takeoff and landing (eVTOL) aircraft and related services. Its aircraft are designed for short passenger trips, including potential air taxi routes between urban areas and nearby airports. The company's primary aircraft is Midnight, a piloted eVTOL designed to carry four passengers and a pilot. Archer is working to bring the aircraft to commercial service, subject to regulatory approvals, and is pursuing operations in the United States and international markets.

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