Latest news with #Midnight
CNET
3 days ago
- CNET
My Favorite All-in-One Kitchen Appliance Is on Sale for 20% Off
Too often, all-in-one kitchen appliances end up doing a lot of things poorly instead of doing one thing well. And, because some models have a lot of components, they can be a nightmare to clean. But the Chefman Everything Maker quickly won me over. The nonstick cooking surfaces heat up quickly and cleanup takes minimal effort (a serious win in my book). I've made crispy hash browns, gooey grilled cheese, breakfast sandwiches and perfectly golden pancakes -- all in one compact machine. And it's not just a breakfast tool. I've used it for late-night quesadillas and quick lunches more times than I can count in the past few weeks. The design is intuitive, easy to store upright (although I rarely put it away) and surprisingly durable. No extra bells and whistles here. It's just a well-made, easy-to-use appliance that works every time. Right now you can get a sweet 20% discount on the Everything Maker. The normal list price of $60 on the Chefman website already feels like a good deal for what this appliance can accomplish. Which is, well, everything. But right now on Amazon you can get it in the Midnight color for just $48, which is a steal. The concrete version is also on sale for a few bucks more. How I use my Everything Maker Macy Meyer/CNET The Chefman Everything Maker lives up to its name by offering a versatile, all-in-one cooking solution that fits easily on a countertop. With a 12-inch nonstick cooking surface and a slim, compact design, it's well-suited for small kitchens or anyone looking to simplify meal prep. I've found it particularly convenient for cooking breakfast foods like eggs and pancakes with the lid open, then switching to grilled sandwiches or quesadillas with the lid closed. It also heats quickly and evenly, reaching up to 428 degrees Fahrenheit (220 degrees Celsius), which is enough for searing, sautéing or even light grilling. I made a summer flatbread (with burrata, pesto and prosciutto) over the weekend and used the Everything Maker to lightly sear some peaches to add as a topping. They came out perfectly. Hey, did you know? CNET Deals texts are free, easy and save you money. Cleanup is another strong point. The nonstick surface wipes down easily after use -- no scrubbing or soaking required -- which has made it a reliable go-to for quick weekday meals. The Everything Maker also comes with a digital cookbook featuring 16 chef-crafted recipes, which I've used as inspiration for trying new dishes beyond my usual routine. While it doesn't replace every kitchen tool, the Everything Maker handles a surprising variety of tasks in a compact footprint. My buying advice Whether you're shopping for a gift or just want to level up your own cuisine game, the Chefman Everything Maker is a surprisingly versatile little appliance. Even at full price, it offers solid value and delivers big on convenience, but for just $48, you really can't beat the value. While the Everything Maker isn't on sale on the Chefman website currently, it's still worth checking Chefman's website from time to time. They run promotions regularly (in fact, my favorite blender is almost 20% off right now). If you're looking for other useful, fun gifts for your favorite hostess or the chef in your life, here are our favorite kitchen gifts under $50.
Business Insider
4 days ago
- Business
- Business Insider
Archer Aviation (ACHR) Eyes FAA Approval and Ramps Production Ahead of 2025 Commercial Launch
Archer Aviation (ACHR) is moving closer to launching its first commercial electric air taxi service, backed by expanding partnerships, reaching new test milestones, and holding over $1 billion in cash. While revenue remains at zero and FAA certification is pending, the company is lining up the necessary pieces to begin passenger flights in 2025. In this piece, we examine the milestones already achieved and what still lies ahead for the company ahead of its first commercial flight. Elevate Your Investing Strategy: Take advantage of TipRanks Premium at 50% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence. Make smarter investment decisions with TipRanks' Smart Investor Picks, delivered to your inbox every week. Milestones Already Achieved Only recently, Archer's Midnight aircraft completed a successful test flight in Abu Dhabi under desert heat, humidity, and dust, a key step in demonstrating its ability to perform in real-world conditions. UAE officials and regulators observed the flight, adding institutional weight to the progress. The test supports Archer's Launch Edition program with Abu Dhabi Aviation, which aims to introduce a fleet of Midnight aircraft as air taxis in the capital later this year. To support this rollout, Archer also secured an agreement with Jetex, a global aviation services provider. The two companies plan to retrofit 40 terminals across more than 30 countries to accommodate Midnight aircraft. Their focus begins in the UAE, where Jetex will provide infrastructure, passenger logistics, and concierge support. This enables Archer to skip costly vertiport construction and expand more quickly across key markets. In the U.S., Archer has partnered with United Airlines (UAL), which has placed a $1 billion order, and is also working with the Department of Defense and defense-tech firm Anduril. These collaborations not only help fund operations but also open doors across commercial, defense, and international markets. Financially, Archer reported a Q1 2025 GAAP net loss of $93.4 million, down from $116.5 million the year prior. It ended the quarter with $1.03 billion in cash and added another $300 million through a direct equity raise. Production is on track to scale to two Midnight aircraft per month by year-end at its Georgia facility. Milestones Left Before Commercial Flights To begin commercial service, Archer still needs FAA Type Certification for its Midnight aircraft. This is the final major regulatory step. The aircraft must complete flight and systems testing under the FAA's Type Inspection Authorization (TIA) process, which is expected to run for 9 to 12 months. At the same time, Archer is scaling production at its Georgia facility. The company is targeting two aircraft per month by the end of the year, a move that supports supply chain readiness and prepares it for early-stage fleet deployment. Several regulatory boxes are already checked. Archer holds Part 135 certification, which allows it to operate as an air carrier, and Part 141 approval for pilot training. That gives the company a head start on preparing flight crews ahead of launch. It's also working with partners to get vertiport infrastructure and ground operations in place across key launch markets. The list of what's left is short. Archer is not yet flying passengers, but most of the groundwork is done. With operational approvals secured, production lines active, and pilot programs in motion, FAA Type Certification is now the final item on the list. Is Archer Aviation Stock a Good Buy? average ACHR stock price target sits at $11.75, implying a 3.34% upside.
Yahoo
5 days ago
- Automotive
- Yahoo
Is Archer Aviation Ready to Prove the Model?
Archer Aviation Inc. (NYSE:ACHR) has had an eventful half-year since I last covered the company's ambitions in urban air mobility (UAM). After raising $850 million at near-peak prices, completing its first piloted Midnight flights, and watching Washington fast-track eVTOL integration, investors hope the company will turn plans into action within the next six months. The stock has been volatile with each new development while investors await the FAA's final decision, yet it remains roughly flat year-to-date. Warning! GuruFocus has detected 2 Warning Sign with ACHR. In this article, I will examine how Archer stacks up on each front and whether the potential payoff justifies the risk. Source: Archer Archer's mission is to unlock urban skies with its all-electric Midnight aircraft, aiming to transform how people move within and between cities. Midnight is essentially an air taxi with one pilot and four passenger seats, designed for short hops of up to 100 miles at speeds as high as 150 mph. By taking off and landing vertically like a helicopter yet cruising on wing-borne lift like an airplane, Midnight can exploit unused vertical airspace to bypass big-city traffic. Archer's value proposition centers on speed and convenience: a typical ride could be three to five times faster than driving, shrinking a 70-minute slog to the airport to about 15 minutes. The company promises a safe, quiet, zero-emission ride that will ultimately be cost-competitive with premium ground transport. At the center of everything is the Midnight aircraft. Archer's design choices prioritize safety and reliability to win regulator trust and public acceptance. Midnight uses 12 propellers (six tilt rotors and six fixed) to ensure stability and redundancy. It carries six separate battery packs so that a single failure will not bring down the vehicle, a critical safety advantage over traditional helicopters that rely on one engine. Reducing noise is another design goal: Midnight's smaller, distributed rotors and electric propulsion make it up to 100 times quieter than a helicopter at cruise. Archer is also exploring next-generation batteries, such as solid-state cells, to double energy density and extend range over time. Archer intends to sell its Midnight aircraft or operate them itself as a service and has already obtained a Part 135 Air Carrier certificate from the FAA, which is required to run commercial air-taxi flights. This suggests a hybrid model: Archer will likely act as an airline in certain launch cities while also selling aircraft to partners abroad. In the United States, Archer and United Airlines plan to launch an urban air shuttle network, including an initial Chicago route and an air-taxi service in New York City once Midnight is certified. Internationally, Archer is forming joint ventures and supplier deals to seed its technology in major markets. For example, it is the primary eVTOL partner for the UAE's planned air-taxi network in Abu Dhabi (targeting service by Q4 2025) and has struck agreements in Japan (with Sumitomo) and, more recently, Indonesia to pave the way for early commercial use ahead of U.S. approval. With the test flights in Abu Dhabi, Archer achieved a critical milestone as it prepares for commercial deployment. Operating the aircraft in peak summer heat gives the company real-world performance data that will feed directly into certification efforts in both the UAE and the United States. By planting flags globally, Archer hopes to generate initial revenue abroad and refine operations while U.S. regulators finalize the green light at home. Market Opportunity The total addressable market (TAM) for UAM is widely projected to be enormous, though it will take years to materialize. A recent industry forecast pegs the UAM/eVTOL market at roughly $23 billion by 2030, a 31 percent compound annual growth rate from essentially zero today. Source: Markets and Markets Early applications will focus on high-density cities where roads are jammed, and travelers will pay a premium for time savings. Think airport shuttles in New York, Los Angeles, London, and Tokyo, and eventually intercity hops replacing short regional flights or long drives. Archer's $6 billion order book hints at demand. It includes provisional orders and options for up to 200 aircraft from United Airlines, 100 for the UAE, 100 for Japan, and others, many backed by deposits or government funding. For perspective, Archer's indicative orders roughly match its current market capitalization, highlighting the high expectations embedded in the stock. Converting those orders into revenue, however, depends on meeting certification and production milestones on schedule. It's important to note that no company has commercialized eVTOL service yet, so market share is currently about positioning and partnerships rather than revenue. Archer faces a pack of well-funded rivals racing to be first in the air. The closest U.S. competitor is Joby Aviation (NYSE:JOBY), whose eVTOL prototype and timeline closely parallel Archer's. Joby, backed by Toyota and Delta Air Lines, has also targeted a 2025 launch and secured FAA Part 135 operating authority, in addition to a contract with the U.S. Air Force. Joby has delivered its first aircraft to the UAE and begun commercial market-readiness work, including multiple piloted flights. Another peer, Eve Air Mobility (NYSE:EVEX), a spin-off of Embraer, plans to start services in 2026 and aircraft sales in 2027. Europe's entrants, Lilium (LSE:0AB4) and Vertical Aerospace (NYSE:EVTL), have struggled; Lilium's market cap has collapsed to about $30 million, essentially pricing in a high risk of failure, while Vertical has a more modest $500 million valuation and a later timeline. China's EHang (NASDAQ:EH) pursues an autonomous two-seater drone model and has generated a few million dollars in pilot-program revenue. Archer and Joby are generally viewed as the U.S. front-runners, with Archer arguably ahead in some respects and lagging in others. Archer's Edge Archer has been extremely pragmatic in its certification strategy. Rather than reinvent every wheel, it sources key components from established aerospace suppliers. Avionics from Garmin, flight controls from Honeywell, electric motors from Safran, etc., where those parts are already FAA-certified in traditional aircraft. This approach minimizes the regulatory unknowns. The idea is to streamline approvals by using proven tech wherever possible and focusing certification on the novel integration (the eVTOL design itself). Indeed, Archer has steadily checked off milestones: it achieved its first full transition to wing-borne flight last year, and more recently it began piloted flight tests where Midnight successfully took off, cruised at 125 mph, and landed conventionally on a runway. Those piloted tests demonstrate that Archer's aircraft handles as expected in real conditions just like the simulator, according to its test pilot, building confidence with regulators. Another differentiator is Archer's focus on operational versatility. Uniquely, Midnight is being tested for both VTOL and conventional runway takeoffs/landings (CTOL). Robust landing gear allows it to use airports or airstrips when available, which can save batteries and enhance safety (by providing more options in an emergency). Finally, Archer's strategic partners and backers lend it credibility (and capital). United Airlines' early $10 million deposit not only validates Archer's market but also gives it a ready launch customer. Automaker Stellantis has become a major investor and manufacturing partner, agreeing to help build Midnight at scale using automotive production techniques. This is a big deal producing aircraft efficiently is notoriously difficult, and Stellantis' involvement could accelerate Archer's ramp to the targeted 650 units per year by 2030. Archer is also leveraging Palantir's (NASDAQ:PLTR) AI software to optimize its operations and flight data, and it has teamed up with Anduril Industries on a defense variant of its eVTOL. Nonetheless, competitors have their own partnerships. Joby Aviation, for example, also has strong partners (Toyota, SkyWest, and a deal with Delta Air Lines for airport shuttles) and a head start serving the U.S. Air Force with pre-production eVTOLs. In my view, any breakthrough by a rival could cut both ways. Capital could flood into the winner and punish the laggards, or investors might see the advance as sector-wide validation and bid up everyone. Either way, this isn't a winner-take-all arena. Several operators are likely to carve out durable niches. Nonetheless, Archer's ability to claim first-mover advantage will depend on flawless execution in the next 18 months. With FAA type certification expected by late 2025, Archer is effectively in a high-stakes race to the finish line. The good news is that recent U.S. policy moves may help. Washington announced an eVTOL pilot program to accelerate approvals and infrastructure, signaling federal desire to see American players lead this new industry. Following that announcement, Archer's $850 million raise timed perfectly with the White House order calling for American dominance in eVTOLs. These tailwinds could help Archer more than smaller rivals, but the crown remains up for grabs until paying passengers are flying regularly. Archer remains a pre-revenue company, so its financial story centers on cash burn, funding, and leverage. In the first quarter of 2025, Archer reported a net loss of $93.4 million. Losses are normal for a startup in R&D mode, but investors are watching the trend closely. On that front, Archer's Q1 net loss narrowed from $116.5 million in Q1 2024 and beat analysts' EPS expectations with a loss of $0.17 per share. Operating expenses were $144 million, but heavy non-cash charges padded that figure. On an adjusted basis, operating costs were $113 million as the company hires and builds infrastructure. The burn rate (cash used in operating and investing) was about $105 million, implying roughly $35 million per month and, before new funding, less than one year of runway. Source: Gurufocus The balance sheet, however, has transformed with recent fund-raises. Archer ended March 2025 with just over $1.03 billion in cash, then raised another $850 million in June by selling 85 million new shares at $10 each. The infusion boosted liquidity to roughly $2 billion, raised at a favorable price that limited dilution. Even so, dilution has been significant and will likely continue; the share count has ballooned more than fivefold since the SPAC merger and now exceeds 540 million shares before including the June issuance. Early investors have paid for ample funding with significant dilution. With $2 billion in cash, Archer is funded through at least 2026 by most estimates. At the current $100 million quarterly burn, that represents two full years of cushion. Burn may increase as Archer shifts from prototyping to manufacturing. The company plans to start low-volume production in the second half of 2025, targeting two aircraft per month by year-end, and then scale to dozens per month by 2026-27. Management aims to produce up to 10 Midnight aircraft in 2025, including several test vehicles, and to conduct for-credit flight tests that count toward certification. Progress on these fronts will signal whether the first revenue is on track for 2025. Ramping production will require capital investment in tooling, supply chain, and personnel. Archer's 400,000-square-foot factory in Covington, Georgia, is complete and ready to scale, while Stellantis likely brings manufacturing expertise and potentially off-balance-sheet resources. Archer has not published an expected unit cost or sale price for Midnight, but management uses roughly $5 million per aircraft when converting MOUs into backlog dollars. If Archer gets a dozen aircraft in commercial service in 2025-26, it will finally record revenue, and investors can begin modeling utilization and profitability per aircraft. Until then, traditional multiples (P/E, EV/EBITDA, even P/S) are not applicable in the absence of earnings or revenue. Archer's valuation rests almost entirely on future expectations, making the stock a venture-style bet. That said, the market is assigning a multi-billion-dollar value to Archer, so investors clearly see a sizable payoff down the road. Archer's market cap is just under $6.6 billion, up from less than $3 billion a year ago, reflecting increased optimism that the first aircraft are closer than ever. The market cap roughly equals the $6 billion backlog, implying a price-to-backlog ratio of about 1x. For a pre-revenue firm that is rich, but it suggests investors believe a large portion of those orders will convert. By comparison, Joby Aviation currently commands about $9.5 billion in market value, while Eve Holding is around $2.1 billion, and the smaller peers (Vertical, Lilium) are well under $1 billion. Archer plans to scale to 650 aircraft a year by 2030. Assuming each Midnight generates $2 to 3 million in annual revenue (either via operating lease/ride services or via sales price recognized), that implies $1.5 to 2 billion in annual revenue by 2030. If Archer achieves that, today's $6 billion market cap is about 4x a potential 2030 revenue. Of course, that scenario is speculative and five years out, but it shows the upside the market is pricing in. In the near term, Wall Street analysts expect around $20-50 million in revenue in 2025 and $180 million in 2026, ramping to roughly half a billion by 2027. The market values Archer as if it will become a major player in UAM. At the end of the day, valuing Archer is a bet on execution at this stage. The stock is not cheap by any conventional metric, but if Archer becomes one of the winners in an entirely new industry, today's market cap could prove modest. If UAM truly takes off in the 2030s, leading eVTOL manufacturers/operators could justify tens of billions in value. Archer is positioning to be in that conversation. That potential upside is what investors are paying for today, with full acknowledgement that the company may stumble and never fully justify the valuation if things go south. Hitting milestones could justify the valuation and then some. Conversely, any shortfall, delays, fewer deliveries, cost overruns, could drive the stock lower. It's entirely possible that eVTOL adoption will be slower and bumpier than optimists expect, which would pressure all players, including Archer. Moreover, once the FAA signs off and Midnight aircraft start shipping, the focus shifts to phase two: unit cost, fleet utilization, and gross margins, the hard numbers that will decide how scalable this industry can be. Archer's story remains high-risk, high-reward, but it is far more advanced than a year ago. Investors with a high tolerance for volatility may find Archer a compelling play on transportation's future, while those with lower risk appetite may wait for clear revenue traction. As always, execution is the key. The coming 12 to 18 months will likely determine whether Archer Aviation can truly fly above the pack or if these ambitious plans start to lose altitude. Given everything, I am optimistic that management can execute the plan and start to deliver. The skies of urban mobility are almost within reach, and Archer is one big step (or flight) away from making history. This article first appeared on GuruFocus. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
5 days ago
- Business
- Yahoo
Archer Aviation and the Field of Dreams Business Model
The disconnect between short-seller criticism and Archer's strengthening financial position reveals a fundamental misunderstanding of how aerospace innovation works. With an exceptional balance sheet, test flights underway in Abu Dhabi, and regulatory momentum from a five-country certification alliance, Archer is executing its methodical path to commercialization. While critics focus on production timelines, the company's transformation from concept to global test case demonstrates why building strategic partnerships and investor confidence creates the foundation for revolutionary technology. 10 stocks we like better than Archer Aviation › If you build it, they will come -- but in aerospace, you need more than vision. You need capital, regulatory traction, and global partnerships just to reach the runway. Critics of Archer Aviation (NYSE: ACHR) seem to have missed this fundamental truth about how transformative technologies reach the market. The short thesis fixates on whether the company can meet its stated production and certification targets, as if timeline adjustments in a complex regulatory environment somehow invalidate the entire enterprise. Here's what the skeptics are missing: Archer's stock trades around $11.40 per share, as of this writing (July 15), supporting a $6.3 billion market cap for a pre-revenue company. That's not irrational exuberance -- it's the market pricing in the systematic de-risking of what was once considered science fiction. Nearly four years after going public, the company has assembled one of the strongest balance sheets in the advanced air mobility industry, with over $1.4 billion in cash and committed capital following its recent $850 million strategic funding round. Here's why Archer's "Field of Dreams" business model -- if you build it, they will come -- is not only succeeding, but creating value ahead of schedule. The catalyst? A White House executive order establishing an electric vertical takeoff and landing (eVTOL) Integration Pilot Program designed to accelerate deployment of electric air taxis in the U.S. This wasn't random government largesse -- it followed years of patient coalition-building by Archer and its peers. The company's CEO, Adam Goldstein, joined Transportation Secretary Sean Duffy at the Paris Air Show to announce a five-country alliance including the U.S., U.K., Australia, Canada, and New Zealand that will streamline global certification. Once Archer obtains FAA-type certification -- targeted for late 2025 -- this alliance creates a smooth pathway to deploy its Midnight aircraft internationally. Critics highlight delays in piloted flight testing. But in July 2025, test flights officially began in Abu Dhabi, validating the Midnight aircraft in real-world conditions. Production scaling targets of just two aircraft per month by year-end underscore the methodical approach Archer is taking. While some view these as execution risks, patient investors recognize that rushing aviation certification would be far riskier. Archer has already secured Part 135 operating authority and Part 145 maintenance certification, with flight simulation (Part 142) pending. That's tangible regulatory progress that positions the company for success, whenever the final approval arrives. Abu Dhabi isn't a marketing stunt. It's a crucible. The region's extreme conditions of heat, humidity, and dust will stress-test Midnight's systems far beyond what it might encounter in Los Angeles or New York. Abu Dhabi Aviation, the Middle East's largest commercial helicopter operator, has signed on as Archer's first Launch Edition customer, with Ethiopian Airlines also joining the program. This partnership brings operational expertise that will accelerate the learning curve across multiple continents. While critics point to quarterly losses as evidence of unsustainability, Archer's Q1 2025 results beat analyst expectations on the bottom line, demonstrating disciplined financial management. They're measuring tomorrow's transportation revolution by yesterday's financial metrics. That burn rate funds partnerships with Palantir Technologies for artificial intelligence (AI)-driven aviation software, collaborations with Anduril for defense applications, and manufacturing facilities in both Silicon Valley and Georgia. Archer's order book has swelled to nearly $6 billion, including agreements with United Airlines and Southwest Airlines, as well as its designation as the official air taxi provider for the 2028 Los Angeles Olympics. Scaling production from prototype to commercial volume presents significant hurdles -- establishing robust supply chains, optimizing manufacturing processes, and ensuring consistent quality for an entirely new category of aircraft. This isn't SaaS. It's aircraft. Archer's collaboration with Stellantis provides valuable automotive manufacturing expertise, with an additional $400 million contract manufacturing agreement to help scale manufacturing. This is precisely why the company's methodical approach matters: build awareness, strengthen the balance sheet, develop the technology, establish regulatory frameworks, then scale. The competitive landscape is fierce. Joby Aviation, backed by Toyota with $500 million in funding, is pursuing a similar certification timeline. Beta Technologies focuses on cargo applications. Each competitor has unique strengths, but Archer differentiates itself through its targeted Launch Edition program for early international deployment, its unique 12-tilt-6 aircraft configuration, and its diversified partnership network spanning commercial aviation, defense, and global infrastructure providers like Jetex. While technological and regulatory pathways are clearing, widespread public acceptance isn't guaranteed. Initial concerns about noise, safety perception, and affordability could impact adoption rates. Archer's strategy of focusing first on premium routes between airports and city centers, leveraging partnerships with established airlines, aims to build confidence before broader market penetration. The company must deliver a compelling value proposition at scale -- not just a novelty for the wealthy. This is the real test of the company's business model and unique transportation platform, not if Archer can meet completely arbitrary internal production targets during its initial ramp. Consider that just one year ago, most investors couldn't define "eVTOL" without an internet search. Today, the term shows up in White House executive orders and international regulatory frameworks. That's not hype. That's infrastructure being built. Critics who fixate on production delays are missing the broader shift. Aerospace doesn't move on quarterly timelines. What's unfolding isn't a missed deadline. It's the emergence of a new category of transportation. The market isn't betting on Archer to beat near-term earnings. It's betting on the convergence of technology, policy, and environmental necessity to drive adoption. That future is coming. Even if it takes a few extra quarters, it still changes everything. Before you buy stock in Archer Aviation, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 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 $680,559!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $1,005,670!* Now, it's worth noting Stock Advisor's total average return is 1,053% — 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 George Budwell has positions in Archer Aviation, Joby Aviation, Palantir Technologies, and Toyota Motor. The Motley Fool has positions in and recommends Palantir Technologies. The Motley Fool recommends Southwest Airlines and Stellantis. The Motley Fool has a disclosure policy. Archer Aviation and the Field of Dreams Business Model was originally published by The Motley Fool Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
6 days ago
- Business
- Yahoo
This Growth Stock Is a Pure No-Brainer Buy Right Now
Archer Aviation is still in the early stages of its development. Everything is starting to line up for the aviation upstart. Although the stock has risen sharply of late, there's a material opportunity ahead. 10 stocks we like better than Archer Aviation › Archer Aviation (NYSE: ACHR) is trying to break into the aerospace industry, which is dominated by a few large companies. That's an audacious goal, but the company is using new technology to gain a foothold that could, realistically, leave it as a leading provider of air taxis. If you are an aggressive investor, buying now could be a no-brainer move that gets you in before the good news really starts to roll for this growth stock. Archer Aviation builds an aircraft it calls Midnight. Midnight isn't a competitor to the types of planes that carry passengers from city to city around the world. It is a vertical lift plane that can only carry a few passengers at a time and that can only travel relatively short distances. While most airplanes today are more comparable to long-distance buses, Archer Aviation's Midnight aircraft is like a city taxi. The big benefit of an air taxi is that it can carry passengers over congested city streets. Most people probably won't find the expense of an air taxi worth the time they could save. However, it is likely that there will be many wealthier individuals that will find the time savings on offer well worth the cost. Archer Aviation already has plans for air taxi services in New York and California, with it pegged to be the official air taxi service of the 2028 Olympics. Before getting too excited about 2028, the truth is that, at this point, that's a bit of an aspirational goal. Right now Archer Aviation doesn't have any of its Midnight aircraft acting as air taxis in commercial operation anywhere in the world. It is still a money-losing start-up that is attempting to get regulatory approval for its Midnight aircraft. Don't write Archer Aviation off, however. The stock is up over 100% over the past year. That's not a random price move, there has been some notable good news. That includes slow and steady progress on the FAA approval front. But it also includes the signing of multiple agreements to start air taxi services outside of the United States. The first one is planned in Abu Dhabi, with Midnight aircraft already being tested in that market. Archer Aviation is planning to use this setup as a blueprint for future air taxi services. Right now it has potential deals lined up in Ethiopia and Indonesia. So once the business model is proven out in Abu Dhabi, it seems highly likely that the next air taxi services will be far easier to get off the ground. That all leads back to the U.S. market. This is likely to be where Archer Aviation has the most opportunity for growth. It can't even begin to tap that opportunity until it receives FAA approval. But progress is being made, with management noting that it expects the approval process to start picking up steam from here on out. In other words, Archer Aviation is quickly starting to look like it has a real business. Archer Aviation is not for the faint of heart. It is still a money-losing upstart that will likely continue to lose money for a few more years. But it looks like the air taxi concept is on the cusp of going from a good idea to a real thing. And that means that Archer Aviation is about to move from a good idea to a company with attractive long-term growth prospects. As long as you can handle the risk, buying now, before the company's business "takes off," could be a no-brainer move. Before you buy stock in Archer Aviation, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 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 $671,477!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $1,010,880!* Now, it's worth noting Stock Advisor's total average return is 1,047% — 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 . See the 10 stocks » *Stock Advisor returns as of July 14, 2025 Reuben Gregg Brewer 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. This Growth Stock Is a Pure No-Brainer Buy Right Now was originally published by The Motley Fool
