Joby Outpaces Archer in FAA Certification and Revenue, Highlighting a Valuation Differential

Joby Aviation and Archer Aviation are pioneers in the emerging electric vertical take‑off and landing (eVTOL) market. Over the past 12 months, their share prices have fallen sharply—Joby by roughly 60 % and Archer by about 40 %.

Without Federal Aviation Administration (FAA) certification for commercial operations, both firms have struggled to reassure investors. Broader market headwinds—including geopolitical tensions, inflation, and rising interest‑rate concerns—have also driven capital toward safer assets.

A key differentiator is their valuation multiple. Joby, with a $6.1 billion market cap, trades at about 51 × this year’s sales, while Archer, valued at $4.2 billion, fetches roughly 278 × sales. This stark gap in price‑to‑sales ratios reflects divergent revenue trajectories.

Joby generates much more revenue than Archer

Neither company earns income from commercial eVTOL flights yet. Joby, however, has turned Agility Prime contracts and the acquisition of Blade Air Mobility’s passenger business into revenue, lifting its sales from under $1 million in 2024 to $53.4 million in 2025. Analysts project revenue to more than double to $119.5 million in 2026 as the Blade integration and additional R&D work progress.

Archer has secured Agility Prime agreements, but these are primarily test‑flight subsidies rather than revenue‑generating R&D. As an original‑equipment manufacturer focused on leasing aircraft to third‑party fleets, Archer has not pursued similar acquisitions. Its 2025 revenue remains below $1 million, though forecasts call for a rise to $15.1 million in 2026 as lease activity and use of its Hawthorne Airport hub increase.

But is Archer actually cheaper relative to its long‑term growth potential?

The FAA approval pathway consists of five stages. Joby has already reached stage 5, positioning it ahead of Archer, which has just completed stage 3. Consequently, Joby could commence U.S. commercial flights before Archer.

Archer’s OEM model may enable faster scaling of aircraft deliveries, albeit with lower margins, while Joby intends to operate its own air‑taxi network, integrated with Uber’s platform, using its S4 eVTOL. Both firms benefit from major automotive partnerships—Toyota for Joby and Stellantis for Archer—but Joby’s relationship with Toyota is more deeply integrated.

Looking ahead, analysts anticipate Joby’s revenue to reach $434.8 million by 2028, valuing the stock at roughly 14 × that estimate. Archer is forecast to generate $511.5 million in revenue by 2028 and trades at about eight × the projected figure, suggesting its valuation gap could narrow as production ramps up.

Despite Archer’s higher growth potential, three factors keep Joby the more attractive eVTOL investment. Its S4 tilt‑rotor design offers greater speed and efficiency than Archer’s Midnight. Joby’s vertically integrated “transportation‑as‑a‑service” model should deliver superior margins. And Joby’s advance in the FAA certification process gives it a clear lead in bringing commercial flights to market.

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