There's Tesla Inc. TSLA, and then there's the Tesla that flies — and it might just be Archer Aviation Inc. ACHR.As defense chatter ramps up over the Trump administration’s defense push, investors are starting to zero in on next-generation military technology. High on that radar: drone fleets, autonomous logistics and electric vertical takeoff and landing aircraft (eVTOLs). Archer checks all three boxes — and it's already in motion.While most retail eyes are on traditional defense contractors, the smarter tr ...

Core Viewpoint - Archer Aviation is perceived as a typical electric flying taxi company facing cash burn and certification challenges, but it is actually building a significant defense aviation asset that could reveal hidden value through potential acquisitions or restructuring [2][4]. Financial Performance - Archer's stock is trading around $10 with a market cap of approximately $5.4 billion as of July 1, 2025, and has seen a return of over 245% in the past three years [4]. - The company raised $850 million at $10 per share in June 2025, increasing its total liquidity to $2 billion, positioning it as a leader in the industry [4][5]. Strategic Partnerships - Archer has formed a unique defense partnership with Anduril and Palantir Technologies, combining eVTOL technology with advanced autonomous systems and AI infrastructure, representing a market opportunity exceeding $100 billion [7][10]. - The partnership with Anduril focuses on developing a hybrid-propulsion aircraft specifically for military use, which offers advantages in range and payload capacity over pure electric vehicles [9]. Market Positioning - Archer is the Official Air Taxi Provider for the Los Angeles 2028 Olympics, creating a significant deadline for commercial deployment [5]. - The company aims to build early hybrid-propulsion defense prototypes distinct from its commercial aircraft, targeting guaranteed multiyear funding from the Pentagon [11]. Corporate Structure and Value Creation - A potential corporate split could separate Archer's commercial and defense operations, allowing the commercial division to focus on the $1 trillion urban air mobility market while making the defense division an attractive acquisition target for major defense contractors [12][13]. - Archer is actively manufacturing its first piloted Midnight aircraft, with a target of producing two aircraft per month by year-end [14]. Future Outlook - With a pro forma liquidity position of $2 billion, Archer has the financial resources to pursue both commercial and defense opportunities simultaneously, which could lead to a significant transformation in market perception [15]. - As investors recognize Archer's shift from a flying taxi company to a critical defense asset, the current stock price may be viewed as undervalued compared to typical defense stock valuations [16].

Group 1: Archer Aviation - Archer Aviation's stock has increased by 192% over the past year, reaching a market value of approximately $5.9 billion [4][6] - The company is developing an electric air taxi called Midnight, which aims to transform short-distance travel in urban areas and is set to be the official air taxi provider for the 2028 Olympic Games in Los Angeles [5][6] - Archer has incurred a cash burn of $376.7 million in the last 12 months and will need to secure additional funding to support its growth, as it currently does not generate revenue [6][7] Group 2: Quantum Computing - Quantum Computing's shares have surged by 2,950% in the past year, driven by the increasing demand for advanced computing power, particularly in the AI sector [9] - The company currently generates revenue mainly from professional services, but aims to transition into a major tech player with its photon technology-based quantum computers [10] - Quantum has burned through $16.8 million in cash over the last year, with a cash balance of $166.4 million as of March, providing a runway for continued operations [11][12] Group 3: Robinhood Markets - Robinhood Markets has reported strong financial performance, with revenue just under $3 billion and net income of $1.4 billion last year [13] - The stock price has increased by approximately 120% since the beginning of the year, trading around $82, as retail investor interest has surged [14][15] - With a market capitalization nearing $70 billion, the stock trades at 44 times its trailing earnings, indicating high expectations for future growth [15]

Core Viewpoint - Archer Aviation (ACHR) is positioned as a potential game-changer in the travel industry with its electric vertical take-off and landing (eVTOL) aircraft, which could alleviate traffic congestion and offer a quieter, zero-emission alternative to traditional air travel [1][6]. Company Overview - Archer is in the early stages of development and has not yet generated revenue, incurring losses of $514 million over the past four quarters [6]. - The company has a significant backlog of approximately $6 billion, including an order from United Airlines for 200 eVTOL aircraft, with an option for 100 more [6]. Production and Goals - Archer aims to produce 650 aircraft annually by the end of the decade, starting with a target of two per month this year [5]. - The Midnight aircraft is designed to accommodate four passengers, necessitating a substantial fleet to establish a strong presence in the air taxi market [5]. Market Potential and Valuation - If Archer achieves a 40x investment return, its valuation could exceed $220 billion, compared to its current market cap of around $5.6 billion [7]. - The potential for significant valuation growth exists if air taxis transform travel, but this scenario depends on various factors, including infrastructure development and regulatory challenges [8][9]. Investment Considerations - While Archer may not guarantee millionaire-making returns, it is considered a growth stock that could be a valuable addition to investment portfolios for those willing to accept associated risks [10]. - A cautious investment strategy is recommended, suggesting that no more than 5% of a portfolio should be allocated to Archer stock to mitigate potential losses while allowing for growth opportunities [11].

Core Viewpoint - Archer Aviation has significantly enhanced its strategic and financial position in the eVTOL market through a series of announcements, including a capital raise, regulatory agreements, and international partnerships [1][2][13]. Financial Position - On June 12, Archer raised $850 million by selling 85 million shares at $10.00 each, resulting in a pro forma liquidity position of approximately $2 billion [2][3][14]. - This capital raise alleviates funding concerns for pre-revenue growth companies, providing a financial runway for operations and scaling [3][4]. International Strategy - Archer announced a five-country certification alliance with the U.S., U.K., Australia, Canada, and New Zealand to streamline regulatory processes for eVTOLs [5][6]. - The company also established a partnership with PT. Industri Ketahanan Nasional in Indonesia, with an initial fleet deployment valued at up to $18 million and a provisional agreement for up to 50 aircraft worth up to $250 million [7][8]. Market Sentiment - The recent strategic developments have attracted attention from analysts and institutional investors, including a $3.3 million stake increase by ARK Investment Management [9][10]. - Archer holds a Moderate Buy consensus rating from eight analysts, with an average price target of $13.13, indicating a potential upside of 28.73% from the current price [10][11]. Long-term Outlook - The combination of a strong balance sheet, international regulatory support, and commercial partnerships establishes a new baseline for Archer, reinforcing its leadership position in the eVTOL sector [13][14].

Core Insights - The electric vertical takeoff and landing (eVTOL) industry is set for significant growth following a new Executive Order from the White House aimed at advancing urban air mobility in the U.S. [1][2][15] - The market reacted positively to the Executive Order, with Joby Aviation's shares rising by 13.79% and Archer Aviation's shares increasing by 10.99% on the following trading day [2][15]. Regulatory Developments - The Executive Order introduces the "eVTOL Integration Pilot Program" (ePIPP), which mandates the FAA to select at least five U.S.-based eVTOL projects by December 3, 2025, allowing them to begin limited operations [4][15]. - The order establishes a clearer regulatory framework, imposing deadlines on the FAA to expedite the certification process, thus reducing investor concerns about delays [5][15]. - The policy prioritizes U.S.-manufactured aircraft, providing a competitive edge for domestic companies like Joby and Archer against foreign competitors [6][15]. Company Strategies - Joby Aviation focuses on deep vertical integration, controlling its technology stack and aircraft performance, positioning itself for long-term technical superiority [9][10]. - Joby has accumulated over 40,000 miles in flight testing and is leading the FAA certification process, with a cash position exceeding $1 billion [10][11]. - Archer Aviation emphasizes rapid scalability and capital efficiency through partnerships, including a contract with Stellantis to produce up to 650 aircraft annually [12][13]. - Archer's commercial viability is bolstered by a conditional order book worth $1.0 - $1.5 billion with United Airlines and successful delivery of its Midnight aircraft to the U.S. Air Force [14]. Investment Considerations - The Executive Order is viewed as a significant catalyst for the eVTOL sector, validating the industry and accelerating timelines for commercial operations [15][17]. - Investors are now focused on which company can best leverage the new pilot program while progressing towards final FAA certification and scaled manufacturing [17].

The trail ahead for this whole new industry continues to be cleared.Shares of Archer Aviation (ACHR 10.50%) rekindled their choppy recovery rally today, up 11.7% as of 2:33 p.m. ET. While the reason for the big move doesn't directly translate into real revenue or profit progress, it certainly makes both much more likely than was first anticipated.An executive order further clears a trailCredit President Donald Trump, mostly. With an executive order signed late Friday, the U.S. president has hastened the adv ...

Core Insights - Palantir Technologies has formed a partnership with Archer Aviation, which may enhance Archer's manufacturing capabilities and long-term growth potential [1] - Archer is developing electric vertical takeoff and landing (eVTOL) aircraft aimed at addressing urban transportation challenges [3] - The company aims to produce 650 aircraft annually by 2030 and has been designated as the official air taxi provider for the 2028 Olympic Games in Los Angeles [4] Company Overview - Archer is in the early stages of producing its Midnight aircraft, with a target of manufacturing at least two per month by the end of the year [3] - The company plans to deliver a piloted Midnight aircraft to the United Arab Emirates as early as this summer, which would signify progress [5] Financial Performance - Archer reported an operating loss of $144 million in the first quarter of the year, compared to $142.2 million in the same period last year [6] - The company has over $1 billion in cash, having used $94.6 million for operating activities in the first three months of the year [8] Market Valuation - Archer's stock has increased by 200% over the past 12 months, resulting in a market capitalization exceeding $5 billion, despite the company not generating revenue yet [9] - The high valuation reflects significant investor optimism, but there are concerns regarding the company's ability to scale operations effectively [9][10] Industry Outlook - There is a substantial long-term market opportunity for Archer in the air taxi sector, contingent on successful deployment and production of its aircraft [10]

Archer Aviation (ACHR -2.13%) has been in the spotlight recently, and not just because its stock has soared over 200% in the past year. A scathing short-seller report from Culper Research accused the electric vertical takeoff and landing (eVTOL) aircraft company of systematically misleading investors about its development progress. The report alleges everything from timeline misrepresentations to questionable flight test claims.As someone who covers Archer Aviation regularly, I'll admit the report raises so ...

Core Investment Philosophy - Investing in the stock market requires extraordinary patience, as demonstrated by Warren Buffett's transformation of Berkshire Hathaway from a struggling textile company into a diversified holding company, resulting in a $1,000 investment in 1965 being worth over $42 million today, showcasing the power of compounding returns over time [1] Growth Companies - The lesson emphasizes that when a genuine winner is found, it is crucial to resist the urge to sell, as small growth companies can evolve into mid-cap powerhouses and eventually stable, dividend-paying large caps, creating significant wealth for patient shareholders [2] Company Highlights - **Intuitive Machines**: Dominates the lunar economy with successful Moon landings and exclusive contracts, positioned to benefit from the developing multitrillion-dollar space economy as lunar missions accelerate [5] - **Palantir Technologies**: Leverages AI to solve complex data problems for governments and Fortune 500 companies, with its Artificial Intelligence Platform driving explosive commercial growth and creating high-margin revenue streams [6] - **Rocket Lab USA**: Provides end-to-end space solutions, capturing multiple revenue streams across the space value chain, with a reliable rocket and expanding reusability program for the small satellite market [7] - **Serve Robotics**: Leads in autonomous delivery with sidewalk robots generating revenue in major cities, partnered with Uber to enhance distribution and address last-mile delivery challenges [8] - **Archer Aviation**: Pioneers electric vertical takeoff and landing aircraft for urban air mobility, with a $6 billion order backlog and partnerships with major operators, aiming to transform urban transportation [9] - **Joby Aviation**: Complements Archer in the eVTOL space with advanced aircraft technology and a partnership with Toyota, achieving significant regulatory milestones and operational testing [10] - **Rigetti Computing**: Develops quantum computing systems with cloud-based access, positioned at the forefront of the quantum computing race, offering exposure to a technology that could revolutionize various fields [11]