Should You Buy, Hold or Sell ACHR Stock Ahead of Q3 Earnings?

Core Insights - Archer Aviation Inc. (ACHR) is expected to report its third-quarter 2025 results on November 6, 2025, with a consensus estimate indicating a loss of 20 cents per share, an improvement from a loss of 24 cents in the same quarter last year [1][2]. Financial Performance - The Zacks Consensus Estimate for ACHR's earnings shows a projected loss of 0.78 for the current year and 0.76 for the next year, with year-over-year growth estimates of 30.97% and 2.99% respectively [2]. - ACHR has beaten the Zacks Consensus Estimate in one of the last four quarters, met expectations once, and missed in two quarters, with an average negative surprise of 24.96% [2][3]. - The company has an Earnings ESP of 0.00% and a Zacks Rank of 3, indicating no prediction of an earnings beat this time [4]. Market Position and Valuation - Archer Aviation's shares have increased by 197.8% over the past year, outperforming the Zacks Aerospace-Defense industry's growth of 23.7% and the broader sector's rise of 25.1% [10]. - The trailing 12-month price-to-book (P/B) ratio for ACHR is 3.67X, which is below the industry average of 6.45X, suggesting a lower price relative to its book value compared to peers [12][14]. Strategic Developments - Archer Aviation has expanded its operations through partnerships with Korean Air, Lilium, and Cleveland Clinic Abu Dhabi, and has made significant progress in the eVTOL space [7][8]. - The company has accelerated its defense program through strategic acquisitions, enhancing its capabilities to meet government and defense demand [9]. Challenges and Outlook - Despite short-term growth potential, long-term success remains uncertain due to challenges in the eVTOL market, including safety concerns, noise, and cost issues [15]. - Ongoing supply-chain disruptions and labor shortages may impact the company's project timelines and growth [16][17].