The November sell-off is hitting growth stocks hard, including Archer Aviation, which has seen shares drop to under $8. The company aims to launch urban air taxi networks globally and partner with defense startup Anduril. However, concerns about the unit economics of urban air taxis and competition raise doubts about its profitability.

Archer Aviation has signed partnerships with major airlines and aims to revolutionize urban transportation with aerial trips that take just 10 minutes. Despite these ambitions, questions about the $5 million price tag for its eVTOL vehicle and competition from other transportation services cast a shadow over its potential success.

Archer Aviation is facing challenges as it aims to commercialize its eVTOL technology, with doubts about its revenue projections and concerns raised by short-seller reports. The company’s ambitious plans may face significant hurdles in the emerging urban air taxi market.

Investors considering Archer Aviation need to weigh the risks of an unproven business model against the potential rewards of a successful urban air taxi network. Comparing it to competitors like Joby Aviation and AeroVironment, which have more established revenue streams, can provide a clearer picture of the risks involved.

Archer Aviation’s stock has taken a hit in November, down 34% month-to-date, due to market sell-off, a share sale, and negative reports. The company faces challenges in proving its technology and business model in a competitive market.

Short-seller reports and missed revenue targets have raised doubts about Archer Aviation’s ability to deliver on its promises. Investors should carefully assess the risks and uncertainties associated with investing in an emerging technology company like Archer.

Before buying stock in Archer Aviation, investors should carefully consider the risks and uncertainties associated with the company’s business model and market position. Seeking advice from financial analysts can provide valuable insights into the potential risks and rewards of investing in emerging technologies like eVTOLs.

Read more at Yahoo Finance: Should You Buy Archer Aviation While It’s Below $8?