Archer Aviation Q4 Earnings Loom: What Should You Do Now?

Archer Aviation ACHR is slated to report fourth-quarter 2025 results on March 3, 2026, after market close.

The Zacks Consensus Estimate for the bottom line is pegged at a loss of 17 cents per share, implying an improvement from the prior-year quarter’s reported loss of 47 cents.

ACHR’s earnings beat the Zacks Consensus Estimate in two of the trailing four quarters and missed in two, the average negative surprise being 14.96%.

Earnings Whispers

Our proven model does not conclusively predict an earnings beat for ACHR this time. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the chances of an earnings beat, which is not the case here. You can uncover the best stocks before they are reported with our Earnings ESP Filter.

ACHR has an Earnings ESP of 0.00% and a Zacks Rank #4 (Sell) at present.

You can see the complete list of today’s Zacks #1 Rank stocks here.

A Recent Defense Release

The Boeing Company BA incurred an adjusted loss of $1.91 per share in the fourth quarter of 2025, wider than the Zacks Consensus Estimate of a loss of 40 cents. However, the bottom line improved from the year-ago quarter’s reported loss of $5.90 per share.

Revenues amounted to $23.95 billion, which outpaced the consensus estimate of $21.73 billion by 8%. The top line also surged 57.1% from the year-ago quarter’s reported figure of $15.24 billion.

A Stock Worth a Look

Draganfly DPRO is set to report fourth-quarter 2025 earnings soon. It has an Earnings ESP of +4.00% and a Zacks Rank of 2 at present.

The Zacks Consensus Estimate for Draganfly’s loss is pegged at 13 cents per share, indicating year-over-year improvement. The consensus estimate for its sales is pegged at $1.7 million, indicating year-over-year growth of 46.5%.

Key Factors to Consider

Archer Aviation continues to advance its electric air taxi strategy by collaborating with multiple U.S. cities to participate in federal initiatives aimed at integrating eVTOL aircraft into real-world transportation networks. These efforts reflect the company’s focus on working closely with regulators and local authorities to prepare for commercial launch.

Archer Aviation has also entered into partnerships in the Middle East to support the introduction of electric air taxis and urban air mobility solutions, highlighting its growing international presence.

In addition, the company has formed strategic collaborations with regional transportation and infrastructure partners to explore early deployment opportunities for its eVTOL aircraft.

Moreover, Archer Aviation has taken steps to strengthen its operational infrastructure in the United States by acquiring and developing key aviation assets to support its planned air taxi networks and technology testing initiatives.

All these initiatives are likely to have contributed positively in the to-be-reported quarter.

Price Performance & Valuation

ACHR’s shares have exhibited a downward trend, losing a notable percentage over the past year. Specifically, the stock lost 16.9% in the time frame, underperforming the Zacks aerospace-defense industry’s growth of 32.2%. It has also underperformed the broader Zacks Aerospace sector’s return of 35.3% as well as the S&P 500’s gain of 18.8%.

Shares of Draganfly and Boeing have surged 190.1% and 31.4%, respectively.

In terms of valuation, ACHR’s trailing 12-month price-to-book (P/B) is 2.91X, a discount to its industry’s average of 7.12X. This suggests that investors will be paying a lower price than the company's expected sales growth compared with its industry’s P/B ratio.

Investment Thesis

ACHR offers solid near-term potential but its long-term business outlook remains uncertain. The eVTOL industry is still in its early stages, and the company’s success will depend not only on developing and certifying its aircraft but also on how market demand grows over time.

Public acceptance of eVTOL aircraft may take time, especially due to concerns around safety, noise and affordability. If adoption is slower than expected, it could limit ACHR’s growth opportunities.

The company is also facing supply-chain challenges and a shortage of skilled labor, which may affect production timelines. Any delay in launching its Midnight aircraft later this year could postpone revenue generation and impact near-term financial results.

Should You Buy ACHR Stock Before Q4 Earnings?

To conclude, investors interested in ACHR should refrain from adding this stock to their portfolio before the earnings release, considering its dismal performance on the bourses, as well as industry challenges. The company may disappoint with its fourth-quarter results, considering its unimpressive earnings surprise history and an unfavorable Zacks Rank.

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This article originally published on Zacks Investment Research (zacks.com).

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