logo
‘Load Up,' Says Needham About Archer Aviation Stock

‘Load Up,' Says Needham About Archer Aviation Stock

Archer Aviation (NYSE:ACHR) shares may be feeling the impact of the stock market's ongoing tariff-driven volatility – down roughly 25% year-to-date – but the company's long-term promise remains as enticing as ever.
Stay Ahead of the Market:
Discover outperforming stocks and invest smarter with Top Smart Score Stocks.
Filter, analyze, and streamline your search for investment opportunities using Tipranks' Stock Screener.
At least, that's the take from Needham analyst Chris Pierce, who sees compelling momentum behind the eVTOL innovator, especially after two recent events that highlighted the progress the company has been making.
One of those moments came at the company's 'Meet Midnight' event in Manhattan, where it unveiled its Midnight aircraft. According to Pierce, the event 'checked the necessary boxes,' sparking plenty of enthusiasm among potential passengers based on the potential for a new and improved way to reach metro NYC airports.
And this wasn't just a PR stunt. Heavy hitters like United Airlines and the New York City Economic Development Corporation, which oversees key heliports including East 34th Street and Downtown Manhattan, were in attendance, adding further credibility to the 'potential transformation' of airport transportation.
'We left the event more bullish on eVTOL vertiport potential at larger airports after speaking with representatives from United's Newark team,' Pierce commented on the matter.
The other recent event Archer was involved in was the eVTOL Insights' North America Conference, with Archer and peers Joby Aviation and Beta Technologies all taking part. Pierce views commercial eVTOL aircraft certification in the US as a three-horse race, with the three companies 'emerging as winners.'
What stood out to Pierce the most at the conference was how 'little share of the event' the major eVTOL players actually had, despite being 'clearly felt in the room.' Company reps and panelists largely acknowledged the dominance of these key players in the metropolitan eVTOL market and instead directed their focus toward electrification as a means to boost regional airport usage.
'We're bullish on electrification driving increased regional airport usage, replacing a wide swath of inefficient and environmentally damaging 2-6 hour road trips done in ICE vehicles,' says the analyst on this issue.
Beta Technologies, for example, has already installed charging infrastructure at more than 20 regional airports east of the Mississippi and recently wrapped a six-week piloted flight tour across 22 U.S. states. Meanwhile, companies like Surf Mobility are tapping into real-world travel patterns to figure out where people actually want to go, not just where planes happen to land.
All told, Pierce is staying firmly in the bull camp with a Buy rating on ACHR shares and a $13 price target, implying a nearly 80% upside from current levels. (To watch Pierce's track record, click here)
The broader Street isn't far behind. The average price target stands at $12.83, pointing to a potential 75% gain over the next year. With 6 Buys and just 1 Hold on record, the stock earns a Strong Buy consensus rating. (See ACHR stock forecast)
To find good ideas for stocks trading at attractive valuations, visit TipRanks' Best Stocks to Buy, a tool that unites all of TipRanks' equity insights.

Orange background

Try Our AI Features

Explore what Daily8 AI can do for you:

Comments

No comments yet...

Related Articles

Alibaba, Tencent Freeze AI Photo Tools for Gaokao
Alibaba, Tencent Freeze AI Photo Tools for Gaokao

Yahoo

time13 minutes ago

  • Yahoo

Alibaba, Tencent Freeze AI Photo Tools for Gaokao

Alibaba's (NYSE:BABA) AI chatbots and rival platforms paused critical features during China's annual gaokao college entrance exams to uphold test integrity and prevent cheating. Warning! GuruFocus has detected 3 Warning Signs with BABA. During the exam window from June 710, Alibaba disabled picture-recognition on its Qwen chatbot after receiving student-submitted test-paper images, while Tencent's (TCEHY) Yuanbao and Moonshot's Kimi likewise suspended photo-based queries. Gaokaoa multi-day exam taken by roughly 12 million studentstriggers nationwide digital restrictions, including app blackouts and internet curbs, reflecting authorities' zero-tolerance stance on academic dishonesty. Though ByteDance's (BDNCE) Doubao initially kept photo recognition live, it later flagged uploaded images as not in compliance with rules. The moves underscore the balance Chinese tech giants must strike between offering cutting-edge AI services and adhering to government policies during high-stakes national events. Investors saw a modest 1.2% bump in Alibaba shares on the news, with Tencent also trading higher amid confidence that regulators aren't cracking down on AI broadly but expect companies to self-police sensitive periods. Looking ahead, the industry will monitor how quickly these platforms restore full functionality and whether authorities introduce formal guidelines for AI usage during exams. This article first appeared on GuruFocus.

Why Space Stock Redwire Soared Today
Why Space Stock Redwire Soared Today

Yahoo

time15 minutes ago

  • Yahoo

Why Space Stock Redwire Soared Today

Redwire announced in January that it will buy drone maker Edge Autonomy for $925 million. The deal has been modified to pay slightly more cash, slightly less stock. The basic outlines of the purchase remain unchanged. 10 stocks we like better than Redwire › Redwire Corporation (NYSE: RDW) stock jumped a lucky 7.7% Monday morning after the company gave an update on its plan to acquire privately held Edge Autonomy, "a leader in providing innovative autonomous systems, advanced optics, and resilient energy solutions" (i.e., drones). As you may recall, Redwire announced in January that it will buy the maker of Penguin unmanned aerial vehicles for $925 million, payable in $150 million cash plus $775 million in Redwire stock. That's still the basic plan, but this morning Redwire announced that the purchase will actually be made with $160 million in cash (so $10 million more) and $765 million in shares of Redwire common stock (so $10 million less). Furthermore, $100 million of the "cash" portion of the price will be "paid" in the form of an unsecured promissory note from a Redwire subsidiary. Why would Redwire make this change, and is it good news or bad news for the stock? Well, consider that Redwire stock cost less than $15 before the Edge acquisition was announced but is worth nearly $20 today. Consider too that the Redwire stock being paid to Edge is still valued back near its January price -- $15.07 per share. So Edge is already making out like a bandit, receiving shares worth almost $20 when it expected to get shares worth less than $15. Owners of the private company have already made a tidy profit. It makes sense that Redwire now wants to pay less in shares and more in cash. The adjustment is modestly good news for the stock -- probably not worth a 7% share price bump, but still good news. Before you buy stock in Redwire, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the for investors to buy now… and Redwire wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $669,517!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $868,615!* Now, it's worth noting Stock Advisor's total average return is 792% — a market-crushing outperformance compared to 173% for the S&P 500. Don't miss out on the latest top 10 list, available when you join . See the 10 stocks » *Stock Advisor returns as of June 9, 2025 Rich Smith has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. Why Space Stock Redwire Soared Today was originally published by The Motley Fool Error while retrieving data Sign in to access your portfolio Error while retrieving data Error while retrieving data Error while retrieving data Error while retrieving data

Northland Raises Ciena (CIEN) Price Target, Maintains Outperform Rating
Northland Raises Ciena (CIEN) Price Target, Maintains Outperform Rating

Yahoo

time15 minutes ago

  • Yahoo

Northland Raises Ciena (CIEN) Price Target, Maintains Outperform Rating

Ciena Corporation (NYSE:CIEN) is one of the 10 tech stocks on Wall Street's radar right now. Northland analyst Tim Savageaux increased the price target on Ciena Corporation (NYSE:CIEN) to $85 from $75 and maintained an Outperform rating on June 6, after the company reported 'mixed' fiscal Q2 results. Savageaux highlighted the strong demand that led to raising the FY25 growth forecast to 14%, up from the previous 8-11% range. He also pointed out that in the Optical industry, it is common to buy systems providers when margins are lower due to higher line system and equipment revenue. A team of telecom engineers discussing a communication infrastructure diagram. While Northland showed a bullish sentiment on the stock, Evercore ISI analyst Amit Daryanani cut the price target for Ciena (NYSE:CIEN) to $75 from $82 and maintained an In Line rating on the same day. According to the firm, the recent quarter showed mixed results, with revenue beating estimates but earnings per share falling short. Growth in the cloud segment drove revenue, but weaker gross margins, affected by product mix and tariffs, hurt profits, and the analyst noted that margin challenges continue to be a worry. Ciena (NYSE:CIEN) delivers a broad range of hardware, software, and services focused on optical networking, network management, and automation, supporting network operators with solutions for transport, routing, orchestration, and maintenance. While we acknowledge the potential of CIEN as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock. READ NEXT: The Best and Worst Dow Stocks for the Next 12 Months and 10 Unstoppable Stocks That Could Double Your Money. Disclosure: None.

DOWNLOAD THE APP

Get Started Now: Download the App

Ready to dive into the world of global news and events? Download our app today from your preferred app store and start exploring.
app-storeplay-store