Archer Aviation Stock Falls Despite Piloted Test Flights With Midnight Aircraft: Retail Urges Patience

Archer Aviation (ACHR) stock garnered retail attention on Monday after the air taxi firm said it conducted piloted test flights of its Midnight aircraft through conventional takeoff and landing last week.

This marked another crucial step towards regulatory approval for the company, which is competing in the nascent electric vertical lift off and landing (eVTOL) industry. Many large cities worldwide consider eVTOL an alternative to road travel to avoid traffic congestion.

The company stated that during this phase of testing, Archer’s pilots will continue to evaluate key elements of the aircraft, including flight control responsiveness, stability, and validation of the aerodynamic and control models, as well as additional data required for certification in the United Arab Emirates and the U.S.

During its initial flight, Midnight reached speeds of up to 125 miles per hour and a maximum altitude of over 1,500 feet above ground level.

“Midnight’s VTOL and CTOL capabilities are a strong differentiator for us as they are critical for delivering an aircraft that can integrate into a wide range of operational scenarios while also providing enhanced safety,” founder and CEO Adam Goldstein said.

Archer’s test flights earned the praise of Transportation Secretary Sean Duffy.

“Innovation is one of my top priorities, and I look forward to seeing more and more American companies competing in this space,” he posted on X.

The stock came under short-seller attack last month when Culper Research alleged that the company was misleading investors.

Archer stock still closed 3.6% lower on Monday.

Retail sentiment on Stocktwits was in the ‘bearish’ (40/100) territory, while retail chatter was ‘low.’

“Once more attention shifts to flying cars, this will fly past all-time highs (ATH). Patience,” one user said.

“Not showcasing the vertical take-off created unwanted controversy,” another user said.

Archer stock has fallen 2% this year.

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