Archer Plunges 50% as Support Breaks – Still a Long-Term Buy?[Stocks](https://moneymorning.com/category/article/stocks/) # Archer Plunges 50% as Support Breaks – Still a Long-Term Buy?  by Chris Johnson  November 7, 2025  Share it: ## Archer Aviation Stock Falls Below $8 Support After Earnings Beat — What Comes Next? Archer Aviation ( [ACHR](https://moneymorning.com/stocks/achr)) beat Q3 EPS expectations by $0.10, reporting a smaller-than-expected loss of $0.20 per share. Despite the earnings “beat” the stock gapped down on Friday, closing at $8.88 after trading as high as $10 earlier in the week. Despite strategic progress, including a major airport acquisition and a $650 million institutional investment, Archer’s technical breakdown signals that the speculative trade is over for now. ### Sale of Shares Reprices Archer The Q3 loss of $0.20 per share was better than the ($0.30) FactSet consensus, but the absence of reported revenue continues to leave valuation entirely in the eye of the beholder. Archer closed the quarter with $595.5 million in cash, providing runway through commercialization. However, the company also announced a major equity raise, selling 81.25 million shares to institutional investors at $8.00 per share for $650 million in gross proceeds. This deal instantly re-priced the stock in the eyes of traders, who sold shares down to match the offering price. ## Sentiment Turns on Archer Archer's decline mirrors a broader shift in market tone. Over the past month, speculative names like ACHR, JOBY, SMR startups, and quantum computing stocks have rolled over sharply. The appetite for "next big thing" trades has vanished as investors shift capital toward safe havens like cash. Even strategic wins, like Archer’s acquisition of Hawthorne Airport in Los Angeles, which will serve as its AI-powered command center ahead of the LA28 Olympics failed to lift sentiment. ## Archer’s Chart Says Be Patient ACHR has fallen 50% from its October highs in just 18 sessions, breaking below $8 for the first time since early September. That’s not a healthy technical retest, it’s a flush out. Stocks that slip back into the sub-$10 zone this quickly often face drawn-out base-building. The 50-day moving average is now rolling over, signaling the start of a bearish trend where 2 out of every 3 days could see selling pressure. Friday’s break below September support confirms momentum favors the downside. ## Bottom Line Archer is a high-potential, high-risk name that will shine again when risk appetite returns to the market. For now, let it consolidate. Wait for bullish signals and volume support before buying the next breakout. A move above $8.50 will target $10 where the stock should run into strong resistance. That said, shares remain a long-term bullish prospect with a price target of $20.  **Beat the market, without relying on brokers or biased institutions.** Email(Required) X/Twitter This field is for validation purposes and should be left unchanged. Subscribe By submitting your email address, you will receive a free subscription to _Money Morning!_ and occasional special offers from us and our affiliates. 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