One of today’s big movers is Archer Aviation (NYSE:ACHR). Shares of the electric vertical takeoff and landing (eVTOL) aircraft maker are up approximately 15% in early afternoon trading, as investors pile into ACHR stock on a couple of key announcements.

These announcements both came from eVTOL peer Joby Aviation (NYSE:JOBY). The first is that Joby company has announced its production launch at its California facility. Joby also received a “Special Airworthiness Certificate” for the first-ever aircraft built at its facility.

This leads to the second important announcement in the eVTOL space today. Joby also received FAA approval to begin flight testing of its eVTOL product. The company hopes this key step will allow it to begin commercial taxi flights in short order.

For investors in ACHR stock and other eVTOL stocks, this is building confidence that such exciting announcements could be just around the corner.

Why Is ACHR Stock Up Today?

To be sure, these are two key announcements that investors have been waiting a long time for. In the case of companies in more speculative areas of the market, the time it takes for a company to go from its vision to actual production and commercialization is key to its valuation. Thus, the production and licensure news items are big steps in the right direction.

There’s no doubt that if these electric taxis catch on, demand could be massive.

Thus, depending on how fast Archer and its peers can get to market and how big this market will ultimately be, perhaps this is a company that’s worth considering at a valuation of less than $1 billion. This is a stock I have on my watchlist, and it appears many other investors do as well.

On the date of publication, Chris MacDonald did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.