A famous football coach once urged his new team’s fanbase to turn from “doubters to believers.” Well, that is precisely what is transpiring before our eyes, this time in the eVTOL industry, with Archer Aviation (ACHR) at the center. Analysts covering the company are showing renewed conviction, and once hesitant investors are starting to take notice from the sidelines. Yesterday, Archer earned fresh endorsements from Wall Street. Analysts at Canaccord Genuity and Cantor Fitzgerald both reiterated Buy ratings on the stock, each assigning a $13 price target. At Monday’s close of $10.37, that implies a potential upside of more than 25%.
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Flight Milestones, Global Strategy, and Long-Term Execution
First, Canaccord Genuity’s Austin Moeller maintained his positive outlook, highlighting Archer’s recent operational progress. The company successfully completed a test flight of its Midnight eVTOL aircraft in Abu Dhabi, operating under extreme heat, humidity, and dust conditions. Moeller believes these milestones show Archer’s ability to meet regulatory demands and move toward commercialization. His valuation is based on a discounted cash flow model through 2035, reflecting long-term growth potential.
Cantor Fitzgerald’s Andres Sheppard also reiterated a Buy rating, maintaining his price target of $13. He pointed to Archer’s strategy in the UAE and the expansion of test operations as key steps toward FAA certification and commercial service. Sheppard, a 4-star analyst on TipRanks with a 15.7% average return, sees Archer’s partnerships with United Airlines (UAL), the Department of Defense, and Anduril as strong indicators of execution.
Financial Flexibility
Financially, Archer reported a first-quarter GAAP net loss of $93.4 million, an improvement from the $116.5 million loss reported in the prior year. The company ended March with $1.03 billion in cash and a current ratio of 1.58, providing it with flexibility to support its ramp-up. Production is expected to scale to two aircraft per month by year-end at its Georgia facility. Archer will also need to deliver six type-conforming aircraft for FAA Type Inspection Authorization trials, expected to take 9 to 12 months.
The latest analyst activity adds to a Moderate Buy consensus for ACHR stock, based on six ratings. The average price target stands at $11.75, with a high forecast of $18 and a low of $4.50. Shares are up 124% over the past year.
Is Archer Aviation Stock a Good Buy?
On a broader perspective, Archer Aviation receives a Moderate Buy consensus rating based on the opinions of six analysts. The average ACHR stock price target is $11.75, implying a 13.31% upside.
