Archer Aviation vs. Joby Aviation: This 1 eVTOL Stock Has The Better Balance Sheet

Key Points

• Archer Aviation and Joby Aviation are two of the primary eVTOL companies in the U.S.

• As you might expect, these similar companies have similar balance sheets.

• The shareholders' equity statement hides a clue that determines the winner.

• 10 stocks we like better than Archer Aviation ›

The two primary electric vertical takeoff and landing (eVTOL) aircraft stocks are Archer Aviation (NYSE: ACHR) and Joby Aviation (NYSE: JOBY). They're locked in a tight -- and unfriendly -- race to receive FAA certification for their eVTOL designs.

There's no way to know which company will receive its certification first, or at all. Until then, we have to rely on their quarterly financial reports to determine which one is in better shape.

Missed Nvidia in 2009? This Rare Signal Is Flashing Again. In 2009, a "Double Down" signal flashed for a little-known chipmaker called Nvidia. For the first time in years, that same "Total Conviction" signal is flashing for a company 1/100th the size of Nvidia. Continue »

So, does Archer or Joby have the best balance sheet right now? It was a close contest, but one company won out in the end.

Joby has plenty of cash plus some new debt

One notable feature of Joby's cash hoard is how much it's increased over the last six months. As of Dec. 31, Joby had $240.8 million in cash and cash equivalents on its balance sheet, and $1.2 billion in short-term investments, for a total of $1.4 billion. As of the end of the second quarter, Joby had more than doubled its cash position to $629.9 million and had grown its short-term investments to $1.6 billion, for a total of $2.3 billion. That's an increase of about $850 million, or 60.8%.

That number becomes a bit less impressive when you consider the company's long-term debt. As of the end of 2025, Joby had no long-term debt on its balance sheet, an impressive position for a young start-up in a resource-intensive industry. But it couldn't last. Joby is now carrying $701.9 million in long-term debt.

It's worth noting that the increase in Joby's cash and short-term investments so far in 2026 is higher than its increase in long-term debt. In fact, if Joby really wanted to, it could completely pay off all of its long-term debt with cash and equivalents, and still have money left over. Of course, it probably won't, but the fact that it could is a positive sign.

Archer has lower debt but fewer current assets

At first glance, Archer's financial picture looks superior to Joby's. Archer is carrying a total debt load of just $80.1 million, which is much lower than Joby's $701.9 million.

But Archer also has less cash on hand than Joby. At the end of Q2, Archer had $852.7 million in cash and equivalents on its balance sheet, and $707.9 million in short-term investments, for a total of $1.6 billion.

Interestingly, if you subtract both companies' debt from their cash and short-term investment hoards, the numbers are nearly identical: $1.52 billion for Archer and $1.56 billion for Joby. Let's compare the rest of the balance sheets to find the winner.

Similar companies, similar balance sheets

The rest of the companies' balance sheets -- surprise! -- are also pretty similar.

Both companies' assets include property and equipment, restricted cash, "right-of-use" assets for their aircraft, "intangible assets," and "goodwill," none of which are easily transferable or sellable in the event of a financial crisis. Joby values these assets at $374.5 million in total. Archer's add up to a much higher $552.8 million, largely due to its higher property and equipment assets, which include the Hawthorne Airport in Los Angeles, which it acquired last year for $126 million.

But it's the final part of the balance sheet that gives us our winner. At the bottom of the sheets are the calculations of shareholders' equity (total assets minus total liabilities). These, too, are similar: $1.8 billion for Joby and $1.9 billion for Archer. But there's a catch.

Joby currently has more outstanding shares of stock: 986.5 million to Archer's 770 million. Its market cap is also much higher: $6.4 billion to Archer's $4.3 billion. And despite its recent stock price slide, its per-share price is higher, too: $6.45 per share to Archer's $5.55 per share. But its total shareholders' equity is a bit lower. That means each share of Joby stock is backed by fewer net assets than each share of Archer's stock.

So, all things considered, Archer Aviation has the better balance sheet... at least, for now.

That similarity may not last

Both Archer and Joby have recently announced major acquisitions that may have a substantial impact on their balance sheets and share counts in the future.

Joby plans to buy defense technology company Resonant Sciences for $450 million in cash and $50 million in stock. The deal, expected to close next year, would give Joby access to additional defense-related technologies and about 1 million square feet of manufacturing space in Dayton, Ohio.

Meanwhile, Archer has agreed to acquire three Boeing subsidiaries -- eVTOL business Wisk Aero, drone maker Insitu, and airspace services company SkyGrid -- in exchange for shares representing 19.75% of Archer's outstanding Class A stock.

Resonant Sciences reported more than $100 million in revenue over the past year, while Insitu brings in $200 million in annual sales. Given the potential impact these acquisitions may have on the businesses and their share counts, Archer's and Joby's balance sheets could look very different a year from now.

That said, investors should also remember that neither Archer nor Joby has received FAA approval to operate their eVTOLs commercially. If one or both companies receive that authorization and begin operating commercially, their financial pictures (including their balance sheets) will change dramatically. So while Archer Aviation's balance sheet may be our current winner, there's no guarantee that its stock will outperform Joby's in the long run.

Should you buy stock in Archer Aviation right now?

Before you buy stock in Archer Aviation, consider this:

The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Archer Aviation wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.

Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $417,413!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,341,294!*

Now, it’s worth noting Stock Advisor’s total average return is 950% — a market-crushing outperformance compared to 212% for the S&P 500. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors.

*Stock Advisor returns as of September 14, 2026.

John Bromels has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Boeing. The Motley Fool has a disclosure policy.