We use cookies to understand how you use our site and to improve your experience.
This includes personalizing content and advertising.
By pressing "Accept All" or closing out of this banner, you consent to the use of all cookies and similar technologies and the sharing of information they collect with third parties.
You can reject marketing cookies by pressing "Deny Optional," but we still use essential, performance, and functional cookies.
In addition, whether you "Accept All," Deny Optional," click the X or otherwise continue to use the site, you accept our Privacy Policy and Terms of Service, revised from time to time.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
ACHR or EVEX: Which eVTOL Stock Holds More Upside in 2025?
Read MoreHide Full Article
Key Takeaways
Archer Aviation ended Q2 2025 with $1.73B in cash and $0.08B in long-term debt.
Eve Holdings raised $230M in August 2025 to support growth and financial flexibility.
ACHR shares gained 224.9% in a year, while EVEX rose 29.2%, with ACHR leading performance.
As urban road contestation continues to escalate worldwide, the demand for next-generation transportation, like electric air taxis, is driving the growth for eVTOL (electric vertical takeoff and landing) stocks like Archer Aviation ((ACHR - Free Report) ) and Eve Holding ((EVEX - Free Report) ). Key factors such as easing red tape in achieving regulatory-type certification, securing large pre-orders from airlines and operators, and making technological breakthroughs in battery power, autonomy, and quiet propulsion are bolstering the prospect of urban air mobility.
While Archer Aviation’s strategy involves both manufacturing and selling eVTOL aircraft to partners as well as running its own air taxi services, EVE Holding is developing its own eVTOL aircraft in addition to building a comprehensive ecosystem of urban air mobility solutions, including service and support operations and air traffic management software.
With the White House’s executive order, signed in July 2025, supporting a fast-track eVTOL integration, investor interest in eVTOL stocks has intensified all the more in recent times. So, the next question that might arise in the heads of investors attracted to this industry will be which one to keep in their watchlist: ACHR or EVEX? To answer that, let’s do a detailed analysis of both these companies.
Financial Strength and Growth Catalysts: How Do ACHR and EVEX Stack Up?
Archer Aviation ended the second quarter of 2025 with cash and cash equivalents of $1.73 billion. Its long-term debt was $0.08 billion, with no notable current maturities. This indicates a strong solvency position, which should enable the company to reliably fund its ongoing operations and future growth plans.
In contrast, Eve Holdings had cash and cash equivalents worth $0.04 billion as of March 31, 2025. As of the same date, its short-term debt was nil, while its long-term debt was $0.15 billion. This implies that while the stock is financially viable for the near term, its long-term solvency hinges on its ability to successfully generate considerable revenues before its cash reserves diminish.
As far as growth catalysts are concerned, strong government and commercial collaborations bolster Archer Aviation’s expansion. In June 2025, ACHR signed a strategic partnership with Jetex, for developing infrastructure across Jetex’s international portfolio of private terminals to support Archer’s planned commercial air taxi network. This partnership should support the growth plans for Archer’s air taxi operations globally.
Moreover, last month, Archer Aviation announced two strategic acquisitions to accelerate the development of its next-generation defense aircraft. Notably, these acquisitions come as a direct benefit of the company’s partnership with Anduril, signed last year, to co-develop hybrid, autonomous VTOL military aircraft.
Regarding ACHR’s progress in its Midnight eVTOL product line, it is imperative to mention that on Sept. 22, 2025, the company revealed that its Midnight aircraft successfully completed its highest altitude flight to date, reaching altitudes of 7,000 feet. These milestone achievements should pave the way to the Midnight aircraft’s accomplishment of FAA certification in the United States, which is anticipated soon.
On the other hand, Eve Holdings’ expanding backlog of Letters of Intent—including the recent agreement with Future Flight Global for up to 54 eVTOL aircraft—demonstrates increasing global interest in the company’s technology and solutions. These non-binding LOIs are early signals of significant commercial demand from key regions such as Brazil and the United States. As Eve advances toward formal certification, this extensive pipeline enhances the company's growth prospects and underpins expectations for future revenue generation.
Moreover, in August 2025, EVEX raised capital worth $230 million to strengthen its financial position. The proceeds should offer enhanced financial flexibility to Eve and support its continued growth and urban air mobility mission.
Risks of Investing in ACHR Vs EVEX
Archer Aviation and Eve Air Mobility are pursuing capital-intensive business models in an early-stage eVTOL industry where long-term sustainability is still uncertain. Their success depends not only on developing, certifying, and deploying safe, efficient aircraft but also on how public acceptance of urban air mobility evolves amid concerns about safety, noise and affordability.
Macroeconomic challenges could further impact demand, especially if pricing for air taxi services remains significantly higher than ground transportation options. As both are still pre-revenue, investors remain cautious about their growth outlooks given these industry and market headwinds.
How Does Zacks Consensus Estimate Compare for ACHR & EVEX?
The Zacks Consensus Estimate for Archer Aviation’s 2025 and 2026 loss per share implies a year-over-year improvement. The stock’s near-term bottom-line estimates have made no movement over the past 60 days, except for 2025, which moved north.
Image Source: Zacks Investment Research
The Zacks Consensus Estimate for Eve Holding’s 2025 loss per share suggests a year-over-year deterioration, while the same for 2026 implies improvement. The stock’s near-term bottom-line estimates have been trending southward over the past 60 days, except for 2026.
Image Source: Zacks Investment Research
Stock Price Performance: ACHR vs EVEX
ACHR (down 2.4%) has outperformed EVEX (down 41%) over the past three months and has done the same in the past year. Shares of ACHR and EVEX have surged 224.9% and 29.2%, respectively, in the past year.
Image Source: Zacks Investment Research
ROIC: ACHR vs EVEX
The image below, reflecting a negative return on invested capital (ROIC) for ACHR and EVEX, suggests that neither of these eVTOL stocks is efficiently generating profits from their invested capital.
Image Source: Zacks Investment Research
EBITDA Per Share: ACHR vs EVEX
The image below shows that EVEX is currently burning cash at a lower rate per share than ACHR, suggesting relatively greater operational efficiency and a potentially longer cash runway when measured on a per-share basis.
Image Source: Zacks Investment Research
Final Task
Archer Aviation and Eve Air Mobility are leading the nascent eVTOL industry, yet both face long-term challenges related to public acceptance and financial viability. However, EVEX presents a more financially prudent investment profile.
Backed by Embraer and boasting a massive order backlog, EVEX is strategically building a diversified ecosystem beyond just aircraft sales.
Crucially, EVEX's less negative EBITDA per share compared to ACHR signals a more efficient use of capital and a lower operational cash burn, suggesting a relatively more sustainable path toward achieving profitability once initial 2026-2027 commercial revenues materialize.
EVEX carries a Zacks Rank #3 (Hold) at present, ACHR holds a Zacks Rank #4 (Sell).
Image: Bigstock
ACHR or EVEX: Which eVTOL Stock Holds More Upside in 2025?
Key Takeaways
As urban road contestation continues to escalate worldwide, the demand for next-generation transportation, like electric air taxis, is driving the growth for eVTOL (electric vertical takeoff and landing) stocks like Archer Aviation ((ACHR - Free Report) ) and Eve Holding ((EVEX - Free Report) ). Key factors such as easing red tape in achieving regulatory-type certification, securing large pre-orders from airlines and operators, and making technological breakthroughs in battery power, autonomy, and quiet propulsion are bolstering the prospect of urban air mobility.
While Archer Aviation’s strategy involves both manufacturing and selling eVTOL aircraft to partners as well as running its own air taxi services, EVE Holding is developing its own eVTOL aircraft in addition to building a comprehensive ecosystem of urban air mobility solutions, including service and support operations and air traffic management software.
With the White House’s executive order, signed in July 2025, supporting a fast-track eVTOL integration, investor interest in eVTOL stocks has intensified all the more in recent times. So, the next question that might arise in the heads of investors attracted to this industry will be which one to keep in their watchlist: ACHR or EVEX? To answer that, let’s do a detailed analysis of both these companies.
Financial Strength and Growth Catalysts: How Do ACHR and EVEX Stack Up?
Archer Aviation ended the second quarter of 2025 with cash and cash equivalents of $1.73 billion. Its long-term debt was $0.08 billion, with no notable current maturities. This indicates a strong solvency position, which should enable the company to reliably fund its ongoing operations and future growth plans.
In contrast, Eve Holdings had cash and cash equivalents worth $0.04 billion as of March 31, 2025. As of the same date, its short-term debt was nil, while its long-term debt was $0.15 billion. This implies that while the stock is financially viable for the near term, its long-term solvency hinges on its ability to successfully generate considerable revenues before its cash reserves diminish.
As far as growth catalysts are concerned, strong government and commercial collaborations bolster Archer Aviation’s expansion. In June 2025, ACHR signed a strategic partnership with Jetex, for developing infrastructure across Jetex’s international portfolio of private terminals to support Archer’s planned commercial air taxi network. This partnership should support the growth plans for Archer’s air taxi operations globally.
Moreover, last month, Archer Aviation announced two strategic acquisitions to accelerate the development of its next-generation defense aircraft. Notably, these acquisitions come as a direct benefit of the company’s partnership with Anduril, signed last year, to co-develop hybrid, autonomous VTOL military aircraft.
Regarding ACHR’s progress in its Midnight eVTOL product line, it is imperative to mention that on Sept. 22, 2025, the company revealed that its Midnight aircraft successfully completed its highest altitude flight to date, reaching altitudes of 7,000 feet. These milestone achievements should pave the way to the Midnight aircraft’s accomplishment of FAA certification in the United States, which is anticipated soon.
On the other hand, Eve Holdings’ expanding backlog of Letters of Intent—including the recent agreement with Future Flight Global for up to 54 eVTOL aircraft—demonstrates increasing global interest in the company’s technology and solutions. These non-binding LOIs are early signals of significant commercial demand from key regions such as Brazil and the United States. As Eve advances toward formal certification, this extensive pipeline enhances the company's growth prospects and underpins expectations for future revenue generation.
Moreover, in August 2025, EVEX raised capital worth $230 million to strengthen its financial position. The proceeds should offer enhanced financial flexibility to Eve and support its continued growth and urban air mobility mission.
Risks of Investing in ACHR Vs EVEX
Archer Aviation and Eve Air Mobility are pursuing capital-intensive business models in an early-stage eVTOL industry where long-term sustainability is still uncertain. Their success depends not only on developing, certifying, and deploying safe, efficient aircraft but also on how public acceptance of urban air mobility evolves amid concerns about safety, noise and affordability.
Macroeconomic challenges could further impact demand, especially if pricing for air taxi services remains significantly higher than ground transportation options. As both are still pre-revenue, investors remain cautious about their growth outlooks given these industry and market headwinds.
How Does Zacks Consensus Estimate Compare for ACHR & EVEX?
The Zacks Consensus Estimate for Archer Aviation’s 2025 and 2026 loss per share implies a year-over-year improvement. The stock’s near-term bottom-line estimates have made no movement over the past 60 days, except for 2025, which moved north.
Image Source: Zacks Investment Research
The Zacks Consensus Estimate for Eve Holding’s 2025 loss per share suggests a year-over-year deterioration, while the same for 2026 implies improvement. The stock’s near-term bottom-line estimates have been trending southward over the past 60 days, except for 2026.
Image Source: Zacks Investment Research
Stock Price Performance: ACHR vs EVEX
ACHR (down 2.4%) has outperformed EVEX (down 41%) over the past three months and has done the same in the past year. Shares of ACHR and EVEX have surged 224.9% and 29.2%, respectively, in the past year.
Image Source: Zacks Investment Research
ROIC: ACHR vs EVEX
The image below, reflecting a negative return on invested capital (ROIC) for ACHR and EVEX, suggests that neither of these eVTOL stocks is efficiently generating profits from their invested capital.
Image Source: Zacks Investment Research
EBITDA Per Share: ACHR vs EVEX
The image below shows that EVEX is currently burning cash at a lower rate per share than ACHR, suggesting relatively greater operational efficiency and a potentially longer cash runway when measured on a per-share basis.
Image Source: Zacks Investment Research
Final Task
Archer Aviation and Eve Air Mobility are leading the nascent eVTOL industry, yet both face long-term challenges related to public acceptance and financial viability. However, EVEX presents a more financially prudent investment profile.
Backed by Embraer and boasting a massive order backlog, EVEX is strategically building a diversified ecosystem beyond just aircraft sales.
Crucially, EVEX's less negative EBITDA per share compared to ACHR signals a more efficient use of capital and a lower operational cash burn, suggesting a relatively more sustainable path toward achieving profitability once initial 2026-2027 commercial revenues materialize.
EVEX carries a Zacks Rank #3 (Hold) at present, ACHR holds a Zacks Rank #4 (Sell).
You can see the complete list of today’s Zacks Rank #1 (Strong Buy) stocks here.