Archer Aviation's stock is experiencing a significant surge today, driven by a combination of strategic developments and market dynamics. The company recently announced the launch of Archer Defense, a new division focused on military-grade VTOL aircraft, in partnership with Anduril Industries. This move is seen as a strategic expansion into the defense sector, potentially opening doors to lucrative government contracts and diversifying Archer's revenue streams. Additionally, the Biden administration's consideration of restricting competition from Chinese drones has created a favorable environment for U.S.-based companies like Archer, further boosting investor confidence.
The stock's upward momentum is also supported by increased call option activity, indicating bullish sentiment among investors. With call volume more than doubling the expected levels and a low put/call ratio, the market is signaling strong interest in Archer's potential growth. As of 2:00 pm on Friday, Archer Aviation's stock is up 18.29% to $11.32, compared to its previous close of $9.57, and has risen 17.31% from its opening price of $9.65.