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    Will Global eVTOL Partnerships and UK Defence Hub Change Archer Aviation's (ACHR) Narrative

    Simply Wall St·12/20/2025 15:25:26
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    • In recent weeks, Archer Aviation has expanded its global footprint, with Saudi Arabia’s General Authority of Civil Aviation announcing a collaboration to accelerate electric air taxi deployment, while the company also unveiled plans for a new UK engineering hub tied into defence-focused eVTOL development with Anduril UK and GKN Aerospace.
    • Together with Archer’s participation in the U.S. eVTOL Integration Pilot Program and its role as Official Air Taxi Provider for the 2028 Olympics, these moves highlight a coordinated push to turn early regulatory and defence partnerships into real-world commercial air taxi and hybrid propulsion applications.
    • Next, we’ll examine how this UK defence-focused engineering hub might influence Archer Aviation’s investment narrative and future commercial positioning.

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    What Is Archer Aviation's Investment Narrative?

    To own Archer today, you have to believe eVTOLs can mature from costly prototypes into certified, scaled aircraft networks and that Archer’s partnerships turn into recurring revenue before its cash needs bite too hard. The Saudi GACA framework, the new UK defence-focused hub with Anduril and GKN, and Archer’s eIPP and Olympics role all push in the same direction: more regulatory access, more potential use cases, but also more capital intensity and execution risk. In the near term, the key catalysts still sit around certification milestones, first paid operations and funding clarity, yet the UK defence hub slightly rebalances the story toward dual-use and hybrid propulsion, which could open doors beyond pure urban air taxis. Given the share price volatility and ongoing losses, the impact feels meaningful but not transformational just yet.

    However, investors should also weigh how ongoing losses and future capital needs might affect their stake.

    Despite retreating, Archer Aviation's shares might still be trading above their fair value and there could be some more downside. Discover how much.

    Exploring Other Perspectives

    ACHR 1-Year Stock Price Chart
    ACHR 1-Year Stock Price Chart

    Forty‑nine fair value estimates from the Simply Wall St Community span roughly US$2.21 to US$22.11, showing how far apart views are on Archer’s potential. You are seeing that spread against a business still losing over US$600 million a year, relying on future certification and new defence and regulatory partnerships to support its long runway. This mix of optimism and caution is a reminder to compare several viewpoints before deciding what Archer is really worth.

    Explore 49 other fair value estimates on Archer Aviation - why the stock might be worth less than half the current price!

    Build Your Own Archer Aviation Narrative

    Disagree with this assessment? Create your own narrative in under 3 minutes - extraordinary investment returns rarely come from following the herd.

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    This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.