Archer Aviation Stock Jumps On Tech Deal With Karem For Military Aircraft — Retail Seeks Tangible Progress

Archer said that the collaboration is aimed at accessing privately-held Karem’s military-grade rotor and tiltrotor technologies for integration into Archer’s next-generation autonomous, hybrid-propulsion VTOL aircraft.

• Archer is looking to pursue both defense and commercial opportunities with its aircrafts.
• The company first announced its intention to build a military aircraft through a partnership with Anduril in December 2024.
• A Stocktwits user said that they are bullish on the stock but want to see material results and flight tests.

Shares of Archer Aviation Inc. (ACHR) jumped 3% on Tuesday after the company announced an exclusive collaboration with California-headquartered Karem Aircraft aimed at gaining access to the latter’s military grade technology.

Archer said that the collaboration is aimed at accessing privately-held Karem’s military-grade rotor and tiltrotor technologies for integration into Archer’s next-generation autonomous, hybrid-propulsion VTOL aircraft. The company is looking to pursue both defense and commercial opportunities with its aircrafts.

Archer’s Military Aircraft Goals

Archer Aviation first announced its intention to build a military aircraft through a partnership with Anduril in December 2024. Earlier this year, the company also announced two strategic acquisitions to accelerate its development.

Archer acquired a patent portfolio and hired critical employees from Overair, a spin-off of Karem Aircraft. It also acquired key composite manufacturing assets and an approximately 60,000 square foot manufacturing facility from Mission Critical Composites, a specialized defense composite manufacturer in Southern California in August.

The company expects the combined assets to enable an aircraft with the speed, range, payload, and low-thermal and acoustic signatures necessary for missions across contested airspace.

“Karem’s military-grade rotor systems are among the most advanced Army-validated technologies in the world. Integrating them into our next-gen hybrid VTOL platform positions Archer to move faster and deliver capabilities that legacy systems simply can’t match,” said Archer CEO Adam Goldstein.

How Did Stocktwits Users React?

On Stocktwits, retail sentiment around ACHR stayed within the ‘bearish’ territory over the past 24 hours, while message volume stayed at ‘extremely low’ levels.

One user said, “less talk and more action needed from management. Where are the flight tests? Where are the new aircraft? Bullish, but it's time to show results.”

Last month, Hunterbrook Capital revealed a short position in Archer after noting that its flagship Midnight electric air taxi never flew at the 2025 Dubai Airshow.

ACHR stock is down by 21% this year and up by about 5% over the past 12 months. 

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