Archer Aviation (NYSE:ACHR) Announces Earnings Results

Archer Aviation (NYSE:ACHR) issued its quarterly earnings results on Monday. The company reported ($0.35) earnings per share for the quarter, missing analysts’ consensus estimates of ($0.34) by ($0.01), FiscalAI reports. The company had revenue of $5.10 million during the quarter, compared to the consensus estimate of $3.57 million. Archer Aviation had a negative net margin of 7,869.17% and a negative return on equity of 44.78%. During the same period last year, the company earned ($0.20) earnings per share.

Here are the key takeaways from Archer Aviation’s conference call:

• The FAA granted Midnight a Market Survey Special Airworthiness Certificate, allowing Archer to begin flights in Los Angeles and advance toward passenger-carrying operations. The authorization covers the aircraft’s current CTOL configuration; Archer says it plans to pursue the same process for VTOL operations.
• Archer reported progress in the final phase of FAA type certification and said piloted transition flights are on track to reach a milestone by year-end. Management cited more than 260 piloted test flights, while acknowledging certification remains a rigorous process.
• Third-quarter revenue was $5.1 million, driven in part by initial engine deliveries for Anduril’s Omen program, and the adjusted EBITDA loss of $178.5 million was within guidance. Archer ended the quarter with $1.4 billion in liquidity.
• Archer expects its pending acquisition of Wisk, SkyGrid, and Insitu from Boeing to close soon, with one approval still outstanding. Management said Insitu has historically generated more than $200 million in annual revenue and positive operating cash flow, though post-close growth and integration plans remain to be detailed.
• For the fourth quarter, Archer forecast standalone revenue of $5 million to $6 million and an adjusted EBITDA loss of $185 million to $205 million. The projected loss range is higher than the third-quarter loss as the company continues investing in certification, flight testing, and development programs.

Archer Aviation Stock Performance

NYSE:ACHR opened at $4.97 on Wednesday. The stock has a market capitalization of $3.83 billion, a P/E ratio of -3.95 and a beta of 3.59. The company has a current ratio of 10.21, a quick ratio of 10.21 and a debt-to-equity ratio of 0.06. Archer Aviation has a 1 year low of $3.62 and a 1 year high of $9.29. The firm has a 50 day moving average of $4.83 and a 200-day moving average of $5.69.

Analysts Set New Price Targets

A number of research analysts have recently commented on ACHR shares. Cantor Fitzgerald cut their price objective on shares of Archer Aviation from $11.00 to $10.00 and set an “overweight” rating for the company in a research report on Tuesday. HC Wainwright reissued a “buy” rating on shares of Archer Aviation in a research report on Tuesday, August 11th. Weiss Ratings restated a “sell (d-)” rating on shares of Archer Aviation in a research note on Thursday, October 15th. Barclays raised Archer Aviation from an “equal weight” rating to an “overweight” rating and upped their price target for the company from $4.50 to $8.00 in a report on Friday, October 9th. Finally, Needham & Company LLC reduced their price objective on Archer Aviation from $9.00 to $7.00 and set a “buy” rating for the company in a research report on Tuesday. Six research analysts have rated the stock with a Buy rating, one has given a Hold rating and one has issued a Sell rating to the company’s stock. According to data from MarketBeat, Archer Aviation presently has a consensus rating of “Moderate Buy” and a consensus target price of $11.00.

Insider Buying and Selling

In related news, insider Eric Lentell sold 100,000 shares of the firm’s stock in a transaction on Thursday, August 20th. The stock was sold at an average price of $6.31, for a total transaction of $631,000.00. Following the completion of the sale, the insider directly owned 85,011 shares of the company’s stock, valued at $536,419.41. This trade represents a 54.05% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CAO Harsh Rungta sold 13,880 shares of the firm’s stock in a transaction on Monday, August 17th. The shares were sold at an average price of $6.41, for a total value of $88,970.80. Following the sale, the chief accounting officer directly owned 110,847 shares of the company’s stock, valued at $710,529.27. This represents a 11.13% decrease in their ownership of the stock. 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. Insiders have sold a total of 176,657 shares of company stock worth $1,122,371 in the last three months. Insiders own 5.55% of the company’s stock.

Archer Aviation News Summary

Here are the key news stories impacting Archer Aviation this week:

• Positive Sentiment: Archer received an FAA market-survey certificate for its Midnight aircraft, enabling piloted operations in Los Angeles and advancing its plans tied to the 2028 Olympics. This is a meaningful operational milestone, but it is not final type certification or approval for regular passenger service. Archer Q3 results and FAA certificate
• Positive Sentiment: Q3 revenue of $5.1 million topped estimates, and Archer said its Boeing transaction was nearing completion. The deal is expected to expand its defense business and make Boeing its largest shareholder. Q3 call highlights
• Positive Sentiment: ARK Invest reportedly bought about $6.3 million of Archer shares after the earnings release, signaling investor interest in the company’s longer-term eVTOL opportunity. ARK Invest purchase
• Neutral Sentiment: Archer forecast Q4 revenue of $5 million to $6 million, slightly above the cited consensus estimate. Analysts at Cantor Fitzgerald, Needham and Deutsche Bank lowered price targets but maintained favorable ratings, reflecting both execution concerns and anticipated commercialization catalysts. Analyst target changes
• Negative Sentiment: The main near-term drag was Q3’s $0.35-per-share loss, slightly wider than the $0.34 expected and larger than the year-ago loss. Despite beating revenue estimates, Archer’s substantial losses and cash burn raised questions about the cost of reaching planned passenger service in 2027. The company reported about $1.4 billion in cash, providing a significant funding cushion. Q3 results and cash-burn discussion

About Archer Aviation

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.