Archer Aviation Clears Regulatory Hurdle, Can It Hit $10 Again?

Archer Aviation (NYSE: ACHR) has cleared a significant regulatory hurdle in its acquisition of Boeing subsidiaries Wisk Aero, Insitu, and SkyGrid. The Hart-Scott-Rodino antitrust waiting period expired on September 18, 2026, paving the way for the deal's closure by the end of 2026.

The acquisition is expected to add over $200 million in annual revenue through Insitu alone, with Archer management expecting the subsidiary to operate on a self-funding basis and contribute positive free cash flow after closing. However, despite this promising development, shares have shed nearly half their value over the past year.

To reach its previous high of $10, Archer would need to see significant revenue growth, with analysts suggesting an 81% gain in market capitalization to $7.7 billion. This would put the company's valuation at around 38x sales, which could be justified if defense drone orders scale and the Midnight aircraft reaches revenue-generating operations.

CEO Adam Goldstein has stated that integration of the acquired subsidiaries will 'not structurally increase our overall cash burn,' providing a potential path to profitability. Additionally, Archer is making progress on FAA Phase 4 certification, with over 150 piloted test flights completed and a total addressable market greater than $100 billion for its defense platform.

With a strong financial position and significant revenue growth potential, Archer Aviation may be poised to reach its previous high of $10 in the coming year. However, investors should remain cautious, as the path forward is still uncertain and subject to various regulatory and operational hurdles.