Archer Aviation Inc. NYSE: Achr The shares decreased more than 7 % in the middle of the day as the market was sold on its third day. It seems that one of the motivations for this step is the recent announcement that he received an additional financing of $ 301.8 million, as the company provides the takeoff and electric vertical landing platform, midnight.
The company started building its first fleet of air taxis in the middle of the night for use in the test with the Federal Aviation Administration (FAA). Artcher announced the increase in capital on February 13. At that time, Thomas Hughes of Marketbeat indicated that “cash injection came at a cost of 35.5 million shares.” This type of mitigation is not uncommon with the pre -rent company like Archer, but it limits the bullish direction of the market bulls.
However, the slide in the ACHR stocks accelerated on February 18 at the last sale event. This was the request of the Doug Committee in the Trump administration to reduce costs at the Ministry of Defense (DOD). Artcher has a $ 148 million deal with the US Air Force “to assess the transformational capabilities of VTOL technologies for DOD purposes.”
Any sale on that front, however, it seems to be myopia. It seems that the Archer and its EVTOL platform are of a type of advanced aircraft platform aspired by the United States Army.
Correct step, wrong time
Investors who participated in Archer Aviation should not be surprised by raising capital. The company is still in the pre -lease and needs a large -scale construction capital. The funds raised by the company reaches the company’s public budget to about one billion dollars.
As part of the company’s plans, it now has COO’s capital expenses (CO) for the Covengngton production facility, Georgia. Widely by 2030, Artcher expects the factory to come out 650 aircraft per year. However, in 2030 it may seem forever for some investors who notice that the facility is incomplete, and the company is still facing organizational approval. The latter is still possible, as the company is in the last stage of certificates, but there are no guarantees.
However, this step comes at a time when investors are looking for any reason for sale. Despite the sales, the ACHR stock has increased more than 89 % in the past 12 months, easily exceeding the other space stock. With the short interest decreased 10.6 % last month, but still 16.6 %, it is not surprising that the top hand bears have the short term in the short term.
Feelings are still optimistic
Archer Aviation expects Marketbeat up to Achr shares. In fact, on February 21, Raymond James reiterated his superior rating and raised its target price from $ 11 to $ 12. This is higher than the consensus of $ 11.33, which is 36.35 % higher than the share price during midday on February 24.
Without changing feelings, which is unlikely, the latest news for Archer is a rich sale event that can be reflected at the speed that reaches the arrow.
The profits can bring more fluctuations to Achr stock
At about $ 8.28, ACHR fell to less than 50 days moving average and approaches the support level near its latest level on January 14. If the moving average for 100 days is about 7 dollars it can be played. But the positive profit report can arrest the slide.
Archer Aviation reports on its profits on February 27. Estimates that arish to report profits of 25 cents per share and 200 million revenues. The net loss will be better than 35 cents per share that was reported in the same quarter in 2024. However, it indicates that the company is still far from profitability.
Before you think about Archer Aviation, you will want to hear this.
Marketbeat follows the best research analyst at Wall Street, the best performance in Wall Street and the stocks they recommend to their customers on a daily basis. Marketbeat has selected the five shares that the top analysts quietly whispered to their customers to buy now before holding the broader market … and Archer was not on the list.
While Archer Aviation currently has a “moderate purchase” classification among analysts, higher -rated analysts believe that these five stocks buy better.
Show the five stocks here
Do you need to extend the 401K plan or Roth Ira? Use your tested investment strategies to develop the monthly retirement income created by your stock portfolio.
