Archer Aviation (NYSE:ACHR) Stock Price Down 13.2% – Here’s Why

Shares of Archer Aviation Inc. (NYSE:ACHR) dropped 13.2% on Friday . The stock traded as low as $5.38 and last traded at $5.54. Approximately 53,995,254 shares changed hands during mid-day trading, an increase of 43% from the average daily volume of 37,889,074 shares. The stock had previously closed at $6.38.

Wall Street Analyst Weigh In

ACHR has been the topic of several research reports. Canaccord Genuity Group dropped their target price on Archer Aviation from $13.00 to $12.00 and set a “buy” rating on the stock in a research report on Tuesday, May 12th. Needham & Company LLC dropped their target price on Archer Aviation from $10.00 to $9.00 and set a “buy” rating on the stock in a research report on Tuesday, March 3rd. Finally, Weiss Ratings reaffirmed a “sell (d-)” rating on shares of Archer Aviation in a research report on Monday, April 20th. Five research analysts have rated the stock with a Buy rating, two have assigned a Hold rating and one has assigned a Sell rating to the company. According to data from MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and an average target price of $11.83.

Archer Aviation Stock Performance

The company has a market cap of $4.21 billion, a P/E ratio of -5.04 and a beta of 3.14. The firm has a 50 day moving average price of $5.96 and a 200-day moving average price of $6.98. The company has a debt-to-equity ratio of 0.06, a quick ratio of 18.06 and a current ratio of 18.06.

Archer Aviation (NYSE:ACHR) last released its quarterly earnings results on Monday, May 11th. The company reported ($0.28) earnings per share (EPS) for the quarter, missing the consensus estimate of ($0.25) by ($0.03). The firm had revenue of $1.60 million during the quarter, compared to the consensus estimate of $1.66 million. During the same period in the previous year, the business posted ($0.17) EPS. On average, research analysts predict that Archer Aviation Inc. will post -1.47 EPS for the current year.

Insider Activity at Archer Aviation

In other news, CFO Priya Gupta sold 9,860 shares of the company’s stock in a transaction dated Monday, May 18th. The stock was sold at an average price of $5.95, for a total transaction of $58,667.00. Following the completion of the sale, the chief financial officer owned 189,050 shares in the company, valued at approximately $1,124,847.50. This represents a 4.96% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, insider Eric Lentell sold 48,169 shares of the company’s stock in a transaction dated Monday, May 18th. The stock was sold at an average price of $5.95, for a total value of $286,605.55. Following the sale, the insider owned 141,084 shares of the company’s stock, valued at approximately $839,449.80. This trade represents a 25.45% decrease in their position. The SEC filing for this sale provides additional information. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders have sold a total of 282,840 shares of company stock worth $1,703,688 in the last 90 days. Insiders own 7.65% of the company’s stock.

Institutional Trading of Archer Aviation

Hedge funds have recently added to or reduced their stakes in the business. Seven Grand Managers LLC bought a new stake in Archer Aviation during the 4th quarter valued at approximately $22,560,000. Sumitomo Mitsui Trust Group Inc. boosted its stake in Archer Aviation by 21.6% during the 4th quarter. Sumitomo Mitsui Trust Group Inc. now owns 7,914,191 shares of the company’s stock valued at $59,515,000 after purchasing an additional 1,407,775 shares during the period. Vanguard Group Inc. boosted its stake in Archer Aviation by 4.4% during the 4th quarter. Vanguard Group Inc. now owns 54,676,158 shares of the company’s stock valued at $411,165,000 after purchasing an additional 2,312,899 shares during the period. Generali Powszechne Towarzystwo Emerytalne bought a new stake in Archer Aviation during the 4th quarter valued at approximately $7,520,000. Finally, Teachers Retirement System of The State of Kentucky bought a new stake in Archer Aviation during the 3rd quarter valued at approximately $816,000. Institutional investors own 59.34% of the company’s stock.

Archer Aviation Company Profile

Archer Aviation, Inc (NYSE: ACHR) is a California-based aerospace company developing electric vertical takeoff and landing (eVTOL) aircraft designed to serve as sustainable urban air mobility solutions. Founded in 2018 by Adam Goldstein and Brett Adcock, Archer focuses on the design, development and certification of zero-emissions air taxis aimed at reducing traffic congestion in densely populated metropolitan areas. The company’s flagship prototypes, “Maker” and “Midnight,” have been engineered to deliver quiet, efficient short-haul flights with ranges of up to 100 miles per charge.

Headquartered in Palo Alto, California, Archer operates a manufacturing facility in nearby Santa Cruz County and maintains research partnerships with automotive and energy companies, including a collaboration with Stellantis to integrate advanced battery systems.