Archer Aviation (ACHR) Stock Is Sliding: What's Going On?

Shares of Archer Aviation Inc (NYSE:ACHR) are experiencing a pullback Tuesday after a marked rally last Thursday. Here’s what investors need to know.

What To Know: The initial surge, which also boosted competitor Joby Aviation Inc (NYSE:JOBY), was fueled by encouraging comments from Acting FAA Administrator Chris Rocheleau.

Rocheleau affirmed the agency’s commitment to safely integrate new electric vertical takeoff and landing (eVTOL) aircraft into the national airspace, a crucial step for the burgeoning electric taxi sector.

This statement was a significant tailwind for both companies, which are at the forefront of developing and commercializing eVTOL technology. Joby is developing a five-seat aircraft for a global passenger service, with backing from strategic partners like Toyota and Delta.

Similarly, Archer Aviation is deploying its “Midnight” aircraft, a four-passenger vehicle, with support from United Airlines and automotive giant Stellantis.

Both companies aim to revolutionize urban transport by offering a quiet, emission-free alternative to ground-based traffic. For companies like Joby and Archer, regulatory approval is among the ultimate gatekeepers to commercial viability.

The FAA’s explicit support for creating a clear and safe pathway to integration significantly de-risks their business models. This signal of regulatory progress could be a major draw for investors, reducing uncertainty and boosting confidence in the future ability of these futuristic air taxis to generate revenue.

Price Action: According to data from Benzinga Pro, ACHR shares are trading lower by 8.6% to $9.92 Tuesday afternoon. The stock has a 52-week high of $13.92 and a 52-week low of $2.82.

Read Also: Archer Partners With Jetex to Integrate Global Infrastructure Portfolio Into Air Taxi Network

How To Buy ACHR Stock

Besides going to a brokerage platform to purchase a share – or fractional share – of stock, you can also gain access to shares either by buying an exchange traded fund (ETF) that holds the stock itself, or by allocating yourself to a strategy in your 401(k) that would seek to acquire shares in a mutual fund or other instrument.

For example, in Archer Aviation’s case, it is in the Industrials sector. An ETF will likely hold shares in many liquid and large companies that help track that sector, allowing an investor to gain exposure to the trends within that segment.

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