By Bill Alpert

White House support for American firms developing electric-powered aircraft is lifting the stocks of the two leaders in that nascent business, Joby Aviation and Archer Aviation.

President Donald Trump's executive orders, signed last week, focused mainly on spurring the U.S. to catch up with China in building unmanned drone aircraft and defending against them. Ukraine's successful drone attack on Russia surely caught Trump's eye.

The administration also will back five projects to hasten the arrival of electric Vertical Take-Off and Landing craft, like those being tested by Joby and Archer.

That bit of news for eVTOLs helped lift shares of Joby by 23% in a week to $9. Archer rose 27% to $11.85.

The stocks gained a retail following after a fleet of aspiring eVTOL developers came public during 2020's mania for special-purpose acquisition companies. While others ran out of cash, Joby and Archer aircraft could be flying in the United Arab Emirates this year and get their U.S. certification in 2026, according to the estimates of Canaccord Genuity analyst Austin Moeller.

Their eVTOLs take off and land like helicopters, with wings and propellers that swivel to cruise like an airplane while carrying a pilot and four passengers at speeds up to 200 miles an hour. Batteries quietly power eVTOLs with no emissions, and they are equipped with redundant batteries and motors to help ensure safety.

Both eVTOL makers have gotten the capital they need. A February offering by Archer to institutional investors brought its cash up to $1 billion at the end of this year's first quarter. Joby also has around $1 billion, after a recent injection of $250 million by Toyota Motors, which plans to put in another $250 million this year. Each company burns something above $100 million each quarter.

The first air-taxi flights for both companies will probably be in the UAE. After U.S. Federal Aviation Administration certification next year for their aircraft, they can start air-taxi service from cities like New York and Los Angeles to the nearby airport terminals of their airline partners. Archer is teamed with United Airlines, and Joby with Delta Air Lines.

Moeller has Buys on both eVTOL stocks, with a $12 target for Joby and a $13.50 target for Archer.

Write to Bill Alpert at william.alpert@barrons.com

This content was created by Barron's, which is operated by Dow Jones & Co. Barron's is published independently from Dow Jones Newswires and The Wall Street Journal.

(END) Dow Jones Newswires

June 12, 2025 18:38 ET (22:38 GMT)

Copyright (c) 2025 Dow Jones & Company, Inc.