Archer Aviation currently holds a financial advantage over competitor Joby Aviation when comparing shareholder equity per share, though both companies remain pre-revenue startups racing toward FAA certification for their electric aircraft. A detailed analysis of their latest quarterly balance sheets reveals that while the two eVTOL (electric vertical takeoff and landing) companies have nearly identical net assets, Archer's smaller share count gives each share more underlying value.

How Do Archer and Joby Compare Financially?

When you strip away the complexity of corporate balance sheets, the two companies look surprisingly similar at first glance. Both are burning cash to develop aircraft that don't yet have regulatory approval to carry passengers. Both have raised substantial capital from investors betting on the future of urban air mobility. Yet the details reveal important differences in how they're positioned for the long road ahead.

• Cash Position: Archer holds $1.6 billion in combined cash and short-term investments, while Joby has grown its position to $2.3 billion as of mid-2026, an increase of roughly 61% over six months.
• Debt Load: Archer carries just $80.1 million in long-term debt, while Joby has taken on $701.9 million, though Joby could theoretically pay off all its debt and still have cash remaining.
• Shareholder Equity Per Share: Each Archer share is backed by approximately $2.47 in net assets, compared to roughly $1.82 per Joby share, giving Archer investors a stronger equity cushion.

Why Does Joby Have So Much More Debt Than Archer?

Joby's debt increase is notable because the company entered 2026 with zero long-term debt on its balance sheet. The $701.9 million in debt represents a dramatic shift in strategy, though the company's cash position grew even faster. The company raised approximately $850 million in new cash and investments during the first half of 2026, outpacing its debt accumulation.

This suggests Joby is using debt strategically, possibly to fund operations while preserving cash flexibility. The company's upcoming $500 million acquisition of defense technology company Resonant Sciences, expected to close in 2027, likely contributed to the decision to take on debt rather than deplete its cash reserves entirely.

What's Driving These Companies' Different Financial Strategies?

Both Archer and Joby are pursuing major acquisitions that will reshape their balance sheets and business models. Archer agreed to acquire three Boeing subsidiaries, including the eVTOL developer Wisk Aero, the drone maker Insitu, and the airspace services company SkyGrid, in exchange for shares representing 19.75% of Archer's outstanding Class A stock.

Insitu brings $200 million in annual revenue to Archer, while Joby's Resonant Sciences acquisition adds more than $100 million in annual revenue plus approximately 1 million square feet of manufacturing space in Dayton, Ohio. These deals suggest both companies are shifting from pure aircraft developers into broader aerospace and defense businesses.

The acquisitions also explain why balance sheet comparisons today may look very different a year from now. Archer's share count will increase substantially once the Boeing deal closes, potentially diluting the per-share equity advantage it currently holds. Joby's acquisition will add revenue but also increase its asset base and potentially its debt burden.

What's the Real Risk Both Companies Face?

Neither Archer nor Joby has received FAA approval to operate their eVTOL aircraft commercially. This regulatory uncertainty overshadows all financial analysis. A company with a strong balance sheet today could become worthless if the FAA denies certification, while a company with weaker financials could see its stock soar if it receives approval first and begins generating revenue.

The balance sheet advantage Archer holds today is meaningful but temporary. Once either company receives FAA certification and begins commercial operations, their financial pictures will transform dramatically. Revenue, profitability, and operational efficiency will matter far more than the current comparison of cash reserves and debt levels.

For investors evaluating these two companies, the balance sheet analysis provides a useful snapshot of financial stability during the pre-revenue phase. Archer's stronger equity per share suggests it has slightly more runway to reach certification without additional dilution. But the race to FAA approval remains the true determinant of which company will ultimately succeed in the air taxi market.