27-05-2025
‘Buy as Archer Nears Liftoff,' Says Investor About ACHR Stock
There's plenty of electrifying news in the air for Archer Aviation (NYSE:ACHR) stock, which has been making headlines quite a bit in recent weeks. The latest buzz came in mid-May, when the eVTOL company was named the official 'air taxi' for the 2028 LA Summer Olympics.
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That milestone adds to a growing list of achievements. Strategic partnerships with United Airlines, Ethiopian Airlines, and Abu Dhabi Airports reflect meaningful progress toward commercial deployment and global market expansion.
Still, Archer's path to liftoff is not entirely clear. The company must first clear a key regulatory hurdle: securing FAA Type Certification for its Midnight aircraft, an essential requirement before it can begin commercial operations in the U.S.
Even so, some investors see potential in getting ahead of the curve. One such voice, known by the pseudonym First Principles Partners, argues that this could be just the time to climb onboard.
'The type certification is in the final stages of commercialization, which is an ideal position to speculate a strong upside trend,' explains the 5-star investor.
Archer has already completed 402 test flights and mapped out its commercial strategy for Abu Dhabi. With no major design changes expected from the FAA, the path to approval, according to First Principles, may be clearer than it seems.
Moreover, as the path to commercialization becomes clear, there should be plenty of demand for Archer's services. The investor estimates that more than 2,000 commercial eVTOLs will come online by 2030, representing a global CAGR of 54.9% during the coming years.
'I conclude that Archer is a bullish investment to watch, given its capability to enter the eVTOL market early,' sums up First Principles, who rates ACHR shares a Buy. (To watch First Principles' track record, click here)
Wall Street seems to share the optimism. With 6 Buys and just 1 Hold, ACHR earns a Strong Buy consensus rating. The average 12-month price target stands at $12.29, suggesting a 16% upside potential for the year ahead. (See ACHR stock forecast)
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