Goldman Sachs Research Initiates Coverage of eVTOL Sector (Archer, Beta, Eve & Joby); Street Follows with Coverage Initiations of BETA Post-Quiet Period

(New York, NY) Goldman Sachs’s (NYSE: GS) research division launched coverage of the electric vertical takeoff and landing (eVTOL) sector this morning (Dec. 1), initiating coverage of Beta Technologies (NYSE: BETA) with a Buy Rating, and assigning Neutral ratings to both Archer Aviation (NYSE: ACHR) and Eve Holding (NYSE: EVEX) and a Sell rating to Joby Aviation (NYSE: JOBY).

Photo of BETA Technologies’ electric CX300 flying over mountains courtesy of Beta Technologies.

Various Street analysts followed up with coverage initiations of Beta Technologies following the quiet period associated with the company’s Nov. 4th IPO.

Goldman analyst Anthony Valentini noted the sector’s competitive landscape and potential for growth driven by technological advancements and a push for U.S.-based manufacturing.

In Needham’s Beta coverage launch (more included below), the analyst cited a $1 trillion total addressable market (TAM) associated with the eVTOL sector, with BETA citing an aircraft opportunity of $250 million by 2035 and aftermarket opportunity of $750 billion. Specifically, J.P. Morgan estimated that the eVTOL market could be worth $1 trillion by 2040 in a 2023 report.

Notes on the individual companies are included below:

Beta Technologies (BETA): GS Buy Rating, Price Target: $47

• Goldman: “We believe BETA is best positioned, and the recent selloff provides an attractive entry point”
• Other initiations as of this morning:
  • Morgan Stanley also initiated coverage on BETA with an Overweight Rating and price target of $34 mid-day today.
  • Citigroup also initiated coverage this morning with a Buy rating and $41/share PT;
  • Bank of America Global Research initiated with a Buy Rating and $35 price objective;
  • Jefferies with a Hold rating and $30 PT;
  • Needham & Co. with a Buy rating and $34 PT,
  • BTIG with a Buy rating and $40 PT; Cantor with Overweight and $42 PT
• “BETA is akin to a young Tesla, but with more attractive end market of Aerospace, which has higher barriers to entry than Autos,” reads Morgan Stanleys report.

Archer Aviation (ACHR): GS Neutral Rating, Price Target: $11

Eve Holdings (EVEX): GS Neutral Rating, $4.84 price target

• J.P. Morgan placed Eve Holding on ‘positive catalyst watch’ this morning ahead of the company’s first prototype flight, which is expected to occur in late 2025 or early 2026; shares are up 5.58% at $4.16 as of 1pm today.

Joby Aviation (JOBY): GS Sell Rating, Price Target: $10

** Not investment advice; neither The FLY Report nor FlyJets – nor any associated individual – is a registered investment advisor.