logo
Why Archer Aviation Stock Skyrocketed Last Week

Why Archer Aviation Stock Skyrocketed Last Week

Globe and Mail4 days ago
Key Points
Archer Aviation stock saw big gains in conjunction with news that Joby Aviation had doubled its vehicle production capacity.
Archer and Joby are competitors, but promising indicators in the eVTOL market often boost both companies valuations.
Archer stock is also getting a boost from interest surrounding drones for the defense industry.
10 stocks we like better than Archer Aviation ›
Archer Aviation (NYSE: ACHR) stock closed out the past week of trading with big gains. At the end of Friday's trading, the electric-vertical-takeoff-and-landing (eVTOL) specialist's share price was up 26.5% from the previous week's market close.
Archer Aviation roared higher following news that its competitor Joby Aviation is scaling up its manufacturing operations. Archer stock also got a boost from rising excitement surrounding drones for the defense industry.
Archer stock soars on Joby news and drone bets
On July 15, Joby Aviation published a press release announcing that it had doubled its vehicle production capacity at its Marina, California, manufacturing facility. The company also announced that it was ramping up components manufacturing and testing operations at its renovated plant in Dayton, Ohio.
Even though Archer Aviation and Joby Aviation are competitors, the fledgling eVTOL market is still in its infancy and should be able to support multiple winners. At this stage, Joby's progress actually appears to be a bullish indicator for Archer's outlook.
In addition to the Joby news, Archer stock got a boost as investors bet on companies that could be poised to benefit as the U.S. moves to strengthen its position in defense drones. Despite some volatile swings across the stretch, Archer Aviation stock is now up 36% across 2025's trading. With its latest valuation gains, Archer now has a market capitalization of roughly $7.3 billion.
What's next for Archer Aviation?
Joby's move to significantly increase its manufacturing operations could be a sign that the company expects to receive the necessary regulatory permits to begin operating in some key markets soon. If Joby receives regulatory approvals, there's a good chance that Archer Aviation will also be in good position to receive approvals to begin commercial operations for its Midnight craft. But while the potential commencement of commercial operations in the air-taxi space is likely to be the biggest factor in whether Archer posts meaningful revenue this year this year, news about eVTOLs and other drones designed for the defense industry could actually be a bigger catalyst for the stock in the near term.
Should you invest $1,000 in Archer Aviation right now?
Before you buy stock in Archer Aviation, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Archer Aviation 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 $652,133!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $1,056,790!*
Now, it's worth noting Stock Advisor's total average return is 1,048% — a market-crushing outperformance compared to 180% for the S&P 500. Don't miss out on the latest top 10 list, available when you join Stock Advisor.
See the 10 stocks »
*Stock Advisor returns as of July 15, 2025
Orange background

Try Our AI Features

Explore what Daily8 AI can do for you:

Comments

No comments yet...

Related Articles

Why Shares of Tesla Are Surging Today
Why Shares of Tesla Are Surging Today

Globe and Mail

time3 minutes ago

  • Globe and Mail

Why Shares of Tesla Are Surging Today

Key Points Tesla's stock struggled yesterday after a tough earnings report. CEO Elon Musk continued to tout the robotaxi business. Musk said Tesla's robotaxi fleet should be able to cover a significant portion of the U.S. by year end. These 10 stocks could mint the next wave of millionaires › One day after its stock fell due to poor second-quarter earnings results, shares of Tesla (NASDAQ: TSLA) rebounded and traded nearly 3.6% higher, as of 2:03 p.m. ET today, on renewed optimism about the company's emerging robotaxi business. Get ready, San Francisco Tesla's stock fell over 8% yesterday after the company reported second-quarter earnings that showed revenue fell 12% year over year and operating income came in 25% lower than expected. Investors knew a rough quarter was in the works earlier this month after the company reported that second-quarter deliveries declined 14% year over year. CEO Elon Musk also hinted at a "few rough quarters" ahead, especially with the sale of regulatory credits expected to continue to fall due to President Donald Trump's One Big Beautiful Bill Act. However, on the company's earnings call, Musk said that Tesla is planning to roll out more affordable electric vehicles for the public by the fourth quarter of the year. Musk also said that Tesla expects to grow Tesla's robotaxi network rapidly in the back half of the year, with half of the U.S. population able to access it by the end of 2025. I'm not sure how many investors believed that to be possible after the call, but there seems to be more optimism today after a report from Business Insider said Tesla will launch robotaxis in San Francisco this weekend. Citing an internal memo, Business Insider reported that select Tesla owners will be invited to participate in the launch and will pay for the rides. The launch will be geofenced. The valuation is still high Tesla still seems far away from having its robotaxi fleet cover half of the U.S. population, especially with driverless vehicles that don't require some form of human supervision. I could certainly end up being wrong about this, but Tesla's sky-high valuation seems to imply huge success with robotaxis, despite still being in the early innings. For this reason, I continue to avoid the stock. Don't miss this second chance at a potentially lucrative opportunity Ever feel like you missed the boat in buying the most successful stocks? Then you'll want to hear this. On rare occasions, our expert team of analysts issues a 'Double Down' stock recommendation for companies that they think are about to pop. If you're worried you've already missed your chance to invest, now is the best time to buy before it's too late. And the numbers speak for themselves: Right now, we're issuing 'Double Down' alerts for three incredible companies, available when you join Stock Advisor, and there may not be another chance like this anytime soon. See the 3 stocks » *Stock Advisor returns as of July 21, 2025

Commercial Weekly Dumpster Service Rental Options by Jordan Disposal in Joplin, MO
Commercial Weekly Dumpster Service Rental Options by Jordan Disposal in Joplin, MO

Globe and Mail

time33 minutes ago

  • Globe and Mail

Commercial Weekly Dumpster Service Rental Options by Jordan Disposal in Joplin, MO

From Main Street storefronts to busy job sites, Joplin businesses now have a smoother way to keep things clean. Jordan Disposal has expanded its weekly roll-off dumpster service to help commercial clients in Joplin toss the trash without the stress. From Main Street storefronts to busy job sites, Joplin businesses now have a smoother way to keep things clean. Jordan Disposal has expanded its weekly roll-off dumpster service to help commercial clients in Joplin toss the trash without the stress. Whether you're running a restaurant, managing a warehouse, or building something big, you shouldn't have to worry about overflowing waste or missed pickups. Jordan Disposal delivers set-it-and-forget-it waste solutions so you can stay focused on business. 'Our roots are right here in the Four-State Area, and we take pride in helping Joplin businesses run more smoothly,' said Michelle Murphy of Jordan Disposal. 'Our commercial roll off dumpsters are more than just bins — they come with dependable service, flexible scheduling, and a whole lot of local care.' Jordan Disposal's weekly commercial roll-off services are built for Joplin's real-world pace. Choose from multiple dumpster sizes, all made to handle heavy commercial use. Whether you're cleaning up construction debris or tackling regular weekly waste, Jordan's team makes it easy — no long waits, no surprise fees. Just clean service, right on time. Businesses can schedule a rental, request quotes, or explore service options directly through the website or by giving Jordan Disposal a call. For more info on commercial roll off dumpsters in the Joplin area, check out their latest updates online. Ready to take control of your waste management once and for all? Call today or request a quote online — your dumpster could be rolling in as early as tomorrow. Don't wait for the mess to pile up. Media Contact Company Name: Jordan Disposal Contact Person: Michelle Murphy Email: Send Email Phone: (417) 624-4469 Address: 1040 E Front St City: Galena State: KS Country: United States Website:

Volkswagen reports first-half $1.5-billion tariff hit, looks to accelerate cost-cutting efforts
Volkswagen reports first-half $1.5-billion tariff hit, looks to accelerate cost-cutting efforts

Globe and Mail

time33 minutes ago

  • Globe and Mail

Volkswagen reports first-half $1.5-billion tariff hit, looks to accelerate cost-cutting efforts

Volkswagen VWAGY reported a €1.3-billion (US$1.5-billion) first-half hit from tariffs and cut its full-year sales and profit margin forecasts in the German carmaker's first assessment of the damage from U.S. President Donald Trump's trade war. Global automakers have booked billions of dollars of losses and some have issued profit warnings due to U.S. import tariffs. The European industry is also facing stiffening competition from China, and domestic regulations aimed at speeding up the electric vehicle transition. Volkswagen, Europe's biggest carmaker, now expects this year's operating profit margin between four per cent and five per cent, compared with a previous forecast of 5.5 per cent to 6.5 per cent. Full-year sales, earlier seen up to five per cent higher, are expected to be level with the previous year. In February: Volkswagen counts on talks to avoid trade conflict after Trump imposes tariffs Volkswagen shares dropped by as much as 4.6 per cent in early Friday trade, before recovering as the day progressed. They were one per cent higher at 13:05 GMT. Investors had largely anticipated a guidance cut, after the company held off on assessing the damage of tariffs in the previous quarter, and appeared calmed by assurances that the group's luxury brands Audi and Porsche would recover next year following heavy losses in the second quarter. CEO Oliver Blume told investors the company must accelerate its cost-cutting efforts in response to the tariffs. 'We need to shift our cost efforts into high gear and accelerate implementation. After all, we cannot assume that the tariff situation is only temporary,' Blume said. Volkswagen and its competitors are pressing European trade negotiators to strike a deal to reduce a 25 per cent U.S. tariff they have faced since April. EU diplomats have indicated that the bloc could be moving towards a broad 15 per cent tariff as it seeks to avoid a threatened 30 per cent levy from Aug. 1. A deal struck between the U.S. and Japan earlier this week raised hopes for a similar agreement for Europe, boosting carmakers' shares. EU says U.S. trade deal is within reach, while approving potential countermeasures Finance chief Arno Antlitz said Volkswagen's profit margin would roughly land in the middle of its guidance with a Japan-style deal, which had a 15 per cent tariff rate. He warned, however, that the clock was ticking on finding a deal. 'We are already in July, so the longer we go into the second half of the year, the more we tend to the lower end of the guidance,' he said. Antlitz declined to comment on price increases when pressed by investors on how the company planned to protect its margins against tariffs. Volkswagen reported an operating profit of €3.8-billion in the quarter ended June 30, down 29 per cent on the previous year, citing tariffs and restructuring costs, as well as higher sales of lower-margin all-electric models. While Volkswagen was able to boost deliveries globally by 1.5 per cent in the first six months of 2025, the group saw a decline of almost 10 per cent in deliveries to the United States. Hyundai Motor sees profit decline in second quarter, warns of bigger impact from U.S. tariffs North American sales revenue accounted for 18.5 per cent of the carmaker's global sales in the first half. Car sales data for June highlighted a broader slowdown in Europe's struggling auto sector – and showed Volkswagen among the laggards as the company undergoes a major overhaul to cut over 35,000 jobs by the end of the decade. Porsche and Audi are particularly exposed to U.S. tariffs given they have no production there, and rely heavily on exports. In the second quarter, Porsche's operating result plunged by over 90 per cent to €154-million and Audi's by 64 per cent to 550-million. 'For both companies, Audi and Porsche, we are expecting that we will touch the bottom this year with positive momentum from 2026 onwards,' Blume said.

DOWNLOAD THE APP

Get Started Now: Download the App

Ready to dive into a world of global content with local flavor? Download Daily8 app today from your preferred app store and start exploring.
app-storeplay-store