Latest news with #airTaxi
Yahoo
01-07-2025
- Business
- Yahoo
As Joby Aviation Hits the Skies in Dubai, Should You Buy JOBY Stock Here?
Joby Aviation (JOBY) shares rallied nearly 20% this morning after the air taxi company said it has 'successfully completed a series of piloted' eVTOL flights in Dubai. According to its press release on Monday, the tests included full transition flights, in which the aircraft takes off vertically, then flies like a traditional airplane before ultimately landing vertically again. Jeff Bezos Unloads $5.4B in Amazon Shares: Should You Buy or Sell AMZN Stock Now? Options Flow Alert: Bulls Making Their Move in GOOGL Stock Is Palantir Stock a Buy, Sell, or Hold on New Nuclear Deal? Get exclusive insights with the FREE Barchart Brief newsletter. Subscribe now for quick, incisive midday market analysis you won't find anywhere else. Including today's surge, JOBY stock is up roughly 100% versus its year-to-date low in early April. Successfully completing piloted eVTOL flights in Dubai is significant for Joby Aviation since it signals its technical readiness and strengthens its overall credibility in a real-world, regulatory-rich environment. What the air taxi startup announced today aren't simulation-based milestones – they're high-stakes demonstrations in partnership with local authorities, including RTA and the GCAA. JOBY's press release also validates its path toward commercial operations by next year (2026), under its exclusive six-year agreement in Dubai. For a company currently navigating certification, infrastructure buildout, and first-mover pressure, the milestone offers a rare blend of tangible progress and future revenue visibility. It's this optimism that's driving Joby Aviation shares up on Monday. The piloted test flights news made Canaccord analysts reiterate their 'Buy' rating on JOBY stock with a $12 price target, indicating potential upside of another 11% from current levels. Canaccord expects the NYSE-listed firm to notably benefit from Toyota's (TM) $500 million investment. It also expressed confidence in the Megatent expansion that will increase the production capacity at Joby Aviation's Marina factory from one eVTOL to as many as four per month. Investors should note, however, that JOBY shares are more expensive to own than Archer Aviation (ACHR) at current levels. They're going for a price-to-book ratio of 8.71x at writing – well above 5.75x on ACHR. Wall Street recommends holding Joby Aviation shares since much of the good news may already be priced in following today's rally. According to Barchart, the consensus rating on JOBY stock currently sits at 'Hold' only with the mean target of about $8.25 indicating potential downside of just under 25% from here. On the date of publication, Wajeeh Khan did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. This article was originally published on 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
28-06-2025
- Business
- Yahoo
Should You Buy Archer Aviation Stock While It's Below $10.50?
Archer Aviation is a leader in the air taxi industry with its electric vertical takeoff and landing (eVTOL) aircraft, Midnight. The company is collaborating with U.S. regulators, who have announced a five-country alliance aimed at streamlining the certification and deployment of eVTOLs. Archer anticipates launching air taxi services in Abu Dhabi this year and major U.S. cities in 2026, although some have expressed concerns over potential delays. 10 stocks we like better than Archer Aviation › Archer Aviation (NYSE: ACHR) is a trailblazer in the exciting new world of air taxis. With its groundbreaking electric vertical takeoff and landing (eVTOL) aircraft, Archer is setting out to revolutionize urban transportation as we know it. The company is partnering closely with U.S. regulators to bring its game-changing aircraft, Midnight, to the skies. Recently, Adam Goldstein, Archer's founder and CEO, joined leaders from the Federal Aviation Administration (FAA) and the Department of Transportation (DOT) to announce a five-country alliance dedicated to streamlining the certification and deployment of eVTOLs worldwide. As Archer leads the way in this new form of transportation, investors may be wondering: Is now the time to dive in and buy stock while it's priced below $10.50 per share? Let's explore the potential of this innovative company and what investors have to look forward to. CEO Adam Goldstein recently joined U.S. Transportation Secretary Sean Duffy and acting FAA Administrator Chris Rocheleau to announce a five-country alliance, which includes the United States, the United Kingdom, Australia, Canada, and New Zealand, to streamline the rollout of eVTOLs globally. This news bodes well for Archer, a frontrunner in the air taxi industry that has been collaborating with major airlines, including United Airlines and Southwest Airlines. It plans to introduce air taxi services in major U.S. cities, including New York, Los Angeles, San Francisco, and Miami. It hopes to roll out these services as soon as next year, and has been designated as the official air taxi provider for the 2028 Olympic Games in Los Angeles. Archer has enjoyed robust demand, as evidenced by its order book for its Midnight aircraft, which is valued at nearly $6 billion. This demonstrates strong customer interest and shows the potential for significant growth in the years ahead as Archer fulfills these orders. The company is actively seeking approvals and certifications, and it appears that President Donald Trump's administration is keen on advancing this technology, helping it progress through regulatory hurdles. Archer has also introduced a Launch Edition program that allows it to deliver Midnight aircraft to customers in select countries before they receive full certification from the U.S. FAA. The company will roll out its air taxi service in Abu Dhabi, United Arab Emirates, later this year. As part of its initiative, it has chosen Abu Dhabi Aviation (ADA), the largest commercial helicopter operator in the Middle East, as its first "Launch Edition" customer. The General Civil Aviation Authority (GCAA) of the UAE has collaborated with Archer to create a certification plan for the Midnight aircraft. This plan outlines the necessary steps for the aircraft to enter the UAE market. Furthermore, the first hybrid heliport conversion in the UAE has received design approval, enabling Archer to capitalize on existing airspace regulations, zoning, and structures. Archer's management is optimistic about meeting its launch timeline, but analysts like Bill Peterson from J.P. Morgan have raised some concerns. He cautions that the commercialization process may take longer than anticipated. If that ends up being the case, Archer stock could take a hit on the delayed timeline. Archer is still in its early stages and hasn't yet started generating revenue. Its primary commercial operations are expected to kick off later this year and into next year in the U.S. However, the company will continue to spend money as it works through the certification process, scales up manufacturing of its Midnight aircraft, and rolls out its commercial services on a wide scale. As a pre-revenue company, funding is crucial for Archer's chances of success and scaling up. Fortunately, the company is well-positioned in this regard. Following the recent flurry of good news, Archer raised $850 million in funds, its most significant capital raise to date. The company now has over $1.85 billion in capital following the raise. Although the company has some funding now, it might need to raise more money to expand its production and develop its business as it grows. Another thing to keep in mind is that analysts don't forecast Archer becoming cash-flow-positive until 2028, making further capital raises, which dilute shareholders, a real possibility. Investors optimistic about the future growth of Archer and air taxis may consider buying some shares today. However, keep in mind that the company has yet to initiate commercial operations and must still achieve regulatory approvals and achieve widespread acceptance of its new mode of travel. For this reason, Archer is best suited for very aggressive investors with a long-term perspective who are willing to endure what will likely be a volatile few years. 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 $704,676!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $950,198!* Now, it's worth noting Stock Advisor's total average return is 1,048% — a market-crushing outperformance compared to 175% 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 23, 2025 JPMorgan Chase is an advertising partner of Motley Fool Money. Courtney Carlsen has positions in JPMorgan Chase. The Motley Fool has positions in and recommends JPMorgan Chase. The Motley Fool recommends Southwest Airlines. The Motley Fool has a disclosure policy. Should You Buy Archer Aviation Stock While It's Below $10.50? 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
Forbes
18-06-2025
- Business
- Forbes
Archer Aviation: What's Happening With ACHR Stock?
CANADA - 2025/05/13: In this photo illustration, the Archer Aviation logo is seen displayed on a ... More smartphone screen. (Photo Illustration by Thomas Fuller/SOPA Images/LightRocket via Getty Images) Archer Aviation is making substantial progress in the evolving electric vertical take-off and landing (eVTOL) sector, reflected in its stock's over 200% surge in the past year. This upward trend is fueled by rising demand for its Midnight air taxi and strategic advancements in its commercialization efforts. The company boasts a robust order book totaling $6 billion, with each Midnight air taxi valued at $5 million, providing clear revenue visibility and underscoring strong market validation for eVTOL technology. Archer is expanding its global presence, exemplified by a recent $250 million agreement with Indonesia, marking its third "Launch Edition" market after the UAE and Ethiopia. These international initiatives are bolstered by multi-hundred million dollar framework agreements with the Abu Dhabi Investment Office (ADIO) to expedite air taxi operations across the UAE, alongside a partnership with Falcon Aviation to develop vertiport networks connecting Dubai and Abu Dhabi. Archer aims to deliver its first piloted Midnight aircraft to the UAE this year, initiating commercial operations later in 2025 and leveraging the region as an initial revenue stream and proving ground for global expansion. Manufacturing capabilities are rapidly advancing, with a 400,000 square-foot eVTOL manufacturing facility in Georgia completed last December. This facility is poised to support order fulfillment and scale operations for a targeted 2025 commercial deployment. On a separate note, see – SoundHound AI: Buy, Sell Or Hold SOUN Stock At $10? The eVTOL market fundamentally addresses urban mobility challenges by offering aircraft significantly quieter than traditional helicopters, enabling urban operations previously restricted due to noise, thereby substantially expanding the addressable market. Furthermore, Archer's strategic partnerships with established aviation operators, including Abu Dhabi Aviation and Ethiopian Airlines, are key to mitigating operational risks and accelerating market penetration. A recent significant development reported by Gulf News is the announcement of a five-country alliance (U.S., UK, Australia, Canada, and New Zealand) to streamline eVTOL certification globally, which could significantly accelerate Archer's international deployment once it secures U.S. FAA type certification. Despite these positive indicators, including an average analyst price estimate of $12 for ACHR stock, suggesting approximately 20% upside potential from its current level of $10, the stock remains below its lifetime high of over $18 recorded in 2021. This disparity can be attributed to several inherent risks. Regulatory hurdles, specifically certification delays, pose a significant threat to revenue generation. Execution risks related to manufacturing and operational complexity also present challenges, and competition from well-funded rivals, such as JOBY, could lead to market share capture. Finally, Archer, like many pre-revenue companies in this capital-intensive industry, has ongoing funding requirements for scale-up. The stock has historically exhibited higher volatility and vulnerability during broader market downturns, losing approximately 90% of its value during the 2022 inflation shock and around 70% during the 2020 COVID-19 pandemic, significantly underperforming the S&P 500 index's peak-to-trough declines of 25% and 34%, respectively, underscoring its speculative nature. Overall, Archer Aviation appears poised for significant growth, yet this potential is accompanied by considerable risks. Now, we apply risk assessment framework while constructing Trefis High Quality (HQ) Portfolio which, with a collection of 30 stocks, has a track record of comfortably outperforming the S&P 500 over the last 4-year period. Why is that? As a group, HQ Portfolio stocks provided better returns with less risk versus the benchmark index; less of a roller-coaster ride as evident in HQ Portfolio performance metrics.
