Archer Aviation, listed on the NYSE as ACHR, went public in September 2021 through a merger with a special purpose acquisition company. Its stock began trading at $9.90 per share but now hovers around $8.
In a pre-merger presentation, the company projected ambitious production goals, including ten Midnight eVTOLs in 2024 and 650 by 2027, with revenue expected to reach $3.4 billion that year. However, in 2024, Archer delivered only one test aircraft to the U.S. Air Force, generated no meaningful revenue, and reported a net loss of $537 million.
As of last August, the company had manufactured just two commercial eVTOLs, with six more in production. The Federal Aviation Administration has not yet approved its commercial flights in the United States.
Archer's Midnight eVTOL carries a pilot and four passengers, travels up to 100 miles, and flies at speeds of 150 miles per hour. The company expects these aircraft to replace traditional helicopters in urban areas. Several major companies, including United Airlines, Future Flight Global, Soracle, Ethiopian Airlines, and Abu Dhabi Aviation, plan to use Archer's aircraft for short-range air taxi services.
By late 2025, Archer had an indicative backlog of $6 billion for about 1,200 aircraft. The company relies on its top investor, Stellantis, as a contract manufacturer for mass production, but this partnership is advancing slower than expected. At the end of 2024, Archer predicted it would produce two aircraft per month by the end of 2025, aiming for 650 annually by 2030, though recent production numbers suggest it may miss this target.
Commercial flights face regulatory hurdles. In Abu Dhabi, air taxi flights scheduled for late 2025 were deferred to 2026 as regulators evaluate safety. In the U.S., Archer needs four separate FAA certifications: maintenance and repair, air carrier and operator, type certification, and production certification. As of now, it has obtained only the maintenance and repair and air carrier and operator certificates, with type and production certifications still pending.
Analysts do not expect Archer to receive its final type certification until 2028. The company also competes with firms like Joby Aviation, which has achieved higher speeds and longer ranges with its S4 eVTOLs.
Analysts project Archer will generate $32 million in revenue in 2026 and $305 million in 2027, but its net loss is expected to widen to $718 million in 2026 and narrow to $682 million in 2027. At the end of the third quarter of 2025, Archer had $1.6 billion in cash and equivalents, but it may need additional stock offerings to stay afloat.
With a market capitalization of $6.5 billion, Archer is valued at 21 times its projected 2027 sales, a high ratio that could limit upside potential unless production ramps up or commercial flights launch in Abu Dhabi.
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