Archer Aviation (ACHR) Stock Forecast & Price Target

Archer Aviation Inc. is actively developing a fully electric vertical takeoff and landing (eVTOL) aircraft, signifying its commitment to sustainable urban air mobility and presenting a forward-looking business model. The company's partnership with Anduril and EDGE Group marks a strategic diversification of revenue through the provision of its electric powertrain technology, further strengthening its operational framework. Furthermore, with $2 billion in balance sheet liquidity, Archer is well-positioned within the industry, suggesting robust capital resources to fuel growth and navigate regulatory challenges, particularly in light of the anticipated acceleration of FAA certification processes.

Archer Aviation faces significant challenges that undermine its stock outlook, primarily due to delays in flight test programs and regulatory certifications, which negatively impact production expectations and push profitability further out. The increasing regulatory barriers and project cancellations within its aircraft pipeline contribute to heightened uncertainty compared to competitors engaged in more advanced development stages. Additionally, external pressures such as inflation and supply chain issues are exacerbating costs, with the projected adjusted EBITDA loss for Q3 2025 anticipated to range between $110 million and $130 million, signaling ongoing financial difficulties.