Archer Aviation Soars with $500M Deal and FAA Milestones

Archer Aviation Inc. has made significant strides in the urban air mobility sector, driven by recent milestones and a substantial new contract. On December 2, 2024, the company announced that it has signed a $500 million contract with Soracle, a joint venture between Japan Airlines and Sumitomo Corporation, to deliver up to 100 of its Midnight electric vertical takeoff and landing (eVTOL) aircraft.

This deal is a major boost for Archer Aviation, which has been gaining traction in the market. The company’s stock has seen a remarkable surge, with a 123.6% increase over the last 10 days, fueled by optimistic market analysts and growing commercial interest in eVTOL technology. The stock price rose by 8.37% on the last trading day, November 29, 2024, reaching $9.57 from $8.90.

In addition to the new contract, Archer Aviation has also achieved significant milestones with the Federal Aviation Administration (FAA). These advancements have further bolstered investor confidence, leading to a positive outlook for the company’s future performance. Despite some volatility and risk associated with the stock, analysts have identified buy signals from both short and long-term moving averages, indicating a positive outlook.

The eVTOL market, projected to expand to $9 trillion by 2050, presents a significant growth opportunity for Archer Aviation. The company’s mission to alleviate urban congestion through electric flying taxis aligns with the growing demand for sustainable and efficient urban air mobility solutions).