Reverse Stock-Split Watch: Archer Aviation at $4 and Joby Aviation at $5. Here's Which One Gets There First -- and What History Says Happens After.

Archer Aviation (ACHR) and Joby Aviation (JOBY) are electric aircraft companies experiencing significant share price declines in 2026. ACHR has fallen 48.5% to $3.87, while JOBY is down 59.6% to $5.30. The NYSE requires companies to maintain an average closing share price above $1 over 30 consecutive trading sessions or face a reverse stock split.

Neither ACHR nor JOBY is close to breaching this threshold, but they are still facing heavy spending on aircraft development. A reverse stock split reduces the number of outstanding shares while increasing the share price, but dilutes existing shareholders' ownership. Companies have six months to regain compliance after being notified of a minimum-price violation.

ACHRS $1.56 billion cash reserve and $156.4 million in operating costs could make a reverse split necessary if its share price continues to fall. JOBY, with $2.20 billion cash and $703 million debt, faces higher near-term debt obligations but could avoid a reverse split by maintaining its current cash position. Despite historical poor performance post-reverse splits, investors should focus on companies' cash needs and business performance rather than the reverse split itself.