Archer Aviation ( ACHR -1.54%) stock lost ground in today's trading despite surging earlier in the session. After having been up as much as 16.4%, the electric flying-taxi company's share price ended the daily session down 1.5%. Meanwhile, the S&P 500 ( ^GSPC -2.95%) fell 3%, and the Nasdaq Composite ( ^IXIC -3.56%) ended the day down 3.6%.

With respect to the fact that Archer Aviation is a developmental company that will trade with increased volatility, investors should consider the stock in a long-term bull market trend with its next price target at $15.

Archer Aviation shares are trading higher by 10.7% during Friday's session. The company recently partnered with Anduril for defense VTOLs, raised $430 million and expanded eVTOL efforts.

The market has started recognizing Archer's strengthened financial and operational positions, reflected in the stock's 185% surge over the past 90 days (as of Dec. 16, 2024). Yet the company's current market cap of $3.88 billion might still significantly undervalue its dual-market potential and robust strategic backing.