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What's in Store for Archer Aviation (ACHR) in Q3 Earnings?
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Archer Aviation Inc. (ACHR - Free Report) is slated to report third-quarter 2023 results on Nov 9, after the closing bell.
In the last reported quarter, the company delivered a negative earnings surprise of 93.75%. Archer Aviation has a trailing four-quarter average negative earnings surprise of 21.60%.
Factors to Note
During the third quarter of 2023, Archer Aviation announced that it has secured an equity investment worth $215 million from industry leaders Stellantis, Boeing and United Airlines, as well as other financial institutions, including ARK Invest. This, in turn, has increased the company’s total funding to more than $1.1 billion as of August 2023.
We may expect such funding to have enabled ACHR to make further progress in its Midnight electric vertical take-off and landing aircraft, which is likely to get reflected once the company releases its third-quarter results.
Also, in August 2023, the Federal Aviation Administration (FAA) started approving Archer’s certification plans for its Midnight production aircraft and issued a Special Airworthiness Certificate for its first Midnight aircraft, thereby allowing it to begin its flight test operations. Further development in this regard can be expected from the company’s soon-to-be-reported result.
With the company planning to commercialize Midnight in 2025, it continues to incur notable engineering development expenses to build and test this aircraft. This, in turn, might have increased ACHR’s operating expenses, thereby weighing on its quarterly earnings performance.
We may expect further progress update for the Midnight aircraft program once Archer Aviation releases its third-quarter results.
Q3 Expectations
The Zacks Consensus Estimate for Archer Aviation’s third-quarter earnings is pegged at a loss of 30 cents per share, indicating a deterioration from the year-ago quarter’s reported loss of 27 cents.
What the Zacks Model Unveils
Our proven model does not conclusively predict an earnings beat for Archer Aviation this time around. 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.
Earnings ESP: ACHR’s Earnings ESP is 0.00%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Here are two defense players you may want to consider as these have the right combination of elements to post an earnings beat this reporting cycle.
Spire Global, Inc. (SPIR - Free Report) has an Earnings ESP of +20.61% and a Zacks Rank #3 at present. It delivered an earnings surprise of 30.00% in the last reported quarter.
The Zacks Consensus Estimate for Spire’s third-quarter earnings is pegged at a loss of 66 cents per share, indicating an improvement from the prior-year quarter’s reported loss of 96 cents. The Zacks Consensus Estimate for SPIR’s sales implies growth of 29.2% from the prior-year reported figure.
Rocket Lab USA (RKLB - Free Report) has an Earnings ESP of +11.11% and a Zacks Rank #3 at present. It delivered an average negative earnings surprise of 8.33% in the last four quarters.
The Zacks Consensus Estimate for RKLB’s third-quarter earnings is pegged at a loss of 9 cents per share, indicating a deterioration from the prior-year quarter’s reported loss of 7 cents. The Zacks Consensus Estimate for sales implies growth of 7% from the prior-year reported figure.
Another Upcoming Defense Release
TransDigm Group (TDG - Free Report) is slated to report its quarterly results on Nov 9. Its long-term earnings growth rate is 25.60%.
The Zacks Consensus Estimate for TransDigm’s earnings is pegged at $7.51 per share, indicating an improvement of 36.6% from the prior-year quarter’s reported figure. The Zacks Consensus Estimate for TDG’s sales is pinned at $1.84 billion, implying year-over-year growth of 21.7%.
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What's in Store for Archer Aviation (ACHR) in Q3 Earnings?
Archer Aviation Inc. (ACHR - Free Report) is slated to report third-quarter 2023 results on Nov 9, after the closing bell.
In the last reported quarter, the company delivered a negative earnings surprise of 93.75%. Archer Aviation has a trailing four-quarter average negative earnings surprise of 21.60%.
Factors to Note
During the third quarter of 2023, Archer Aviation announced that it has secured an equity investment worth $215 million from industry leaders Stellantis, Boeing and United Airlines, as well as other financial institutions, including ARK Invest. This, in turn, has increased the company’s total funding to more than $1.1 billion as of August 2023.
We may expect such funding to have enabled ACHR to make further progress in its Midnight electric vertical take-off and landing aircraft, which is likely to get reflected once the company releases its third-quarter results.
Archer Aviation Inc. Price and EPS Surprise
Archer Aviation Inc. price-eps-surprise | Archer Aviation Inc. Quote
Also, in August 2023, the Federal Aviation Administration (FAA) started approving Archer’s certification plans for its Midnight production aircraft and issued a Special Airworthiness Certificate for its first Midnight aircraft, thereby allowing it to begin its flight test operations. Further development in this regard can be expected from the company’s soon-to-be-reported result.
With the company planning to commercialize Midnight in 2025, it continues to incur notable engineering development expenses to build and test this aircraft. This, in turn, might have increased ACHR’s operating expenses, thereby weighing on its quarterly earnings performance.
We may expect further progress update for the Midnight aircraft program once Archer Aviation releases its third-quarter results.
Q3 Expectations
The Zacks Consensus Estimate for Archer Aviation’s third-quarter earnings is pegged at a loss of 30 cents per share, indicating a deterioration from the year-ago quarter’s reported loss of 27 cents.
What the Zacks Model Unveils
Our proven model does not conclusively predict an earnings beat for Archer Aviation this time around. 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.
Earnings ESP: ACHR’s Earnings ESP is 0.00%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Zacks Rank: ACHR currently carries a Zacks Rank #3. You can see the complete list of today’s Zacks #1 Rank stocks here.
Stocks to Consider
Here are two defense players you may want to consider as these have the right combination of elements to post an earnings beat this reporting cycle.
Spire Global, Inc. (SPIR - Free Report) has an Earnings ESP of +20.61% and a Zacks Rank #3 at present. It delivered an earnings surprise of 30.00% in the last reported quarter.
The Zacks Consensus Estimate for Spire’s third-quarter earnings is pegged at a loss of 66 cents per share, indicating an improvement from the prior-year quarter’s reported loss of 96 cents. The Zacks Consensus Estimate for SPIR’s sales implies growth of 29.2% from the prior-year reported figure.
Rocket Lab USA (RKLB - Free Report) has an Earnings ESP of +11.11% and a Zacks Rank #3 at present. It delivered an average negative earnings surprise of 8.33% in the last four quarters.
The Zacks Consensus Estimate for RKLB’s third-quarter earnings is pegged at a loss of 9 cents per share, indicating a deterioration from the prior-year quarter’s reported loss of 7 cents. The Zacks Consensus Estimate for sales implies growth of 7% from the prior-year reported figure.
Another Upcoming Defense Release
TransDigm Group (TDG - Free Report) is slated to report its quarterly results on Nov 9. Its long-term earnings growth rate is 25.60%.
The Zacks Consensus Estimate for TransDigm’s earnings is pegged at $7.51 per share, indicating an improvement of 36.6% from the prior-year quarter’s reported figure. The Zacks Consensus Estimate for TDG’s sales is pinned at $1.84 billion, implying year-over-year growth of 21.7%.