AeroVironment (NASDAQ:AVAV) Trading Up 1.3% – Still a Buy?

AeroVironment, Inc. (NASDAQ:AVAV) shares shot up 1.3% during mid-day trading on Thursday . The company traded as high as $151.95 and last traded at $147.21. 2,367,773 shares traded hands during trading, an increase of 48% from the average daily volume of 1,600,043 shares. The stock had previously closed at $145.39.

Trending Headlines about AeroVironment

Here are the key news stories impacting AeroVironment this week:

• Positive Sentiment: Historic $464.8 million Army contract: AeroVironment will deliver dozens of LOCUST X3 high-energy laser systems over the next several years under the Army’s Enduring-High Energy Laser program. The award is described as the first U.S. production contract for directed-energy systems, validating AeroVironment’s laser-defense technology and potentially adding a scalable growth platform. AV’s LOCUST Selected for Nearly $500 million Army Counter-UAS Contract
• Positive Sentiment: Counter-UAS opportunity expands: The 30-kilowatt, platform-agnostic LOCUST X3 is designed to defend against small drones and complements AeroVironment’s existing unmanned systems and loitering-munitions portfolio. The contract strengthens visibility for a company that reportedly has an approximately $1.2 billion backlog. AeroVironment’s $465 Million Army Laser Win Expands Its Counter-Drone Opportunity
• Positive Sentiment: Analyst support remains favorable: BTIG maintained a Buy rating and a $205 price target following the award, suggesting the contract reinforces confidence in AeroVironment’s long-term growth potential. AeroVironment’s New $465M LOCUST Laser Contract Reinforces Buy Rating
• Neutral Sentiment: Upcoming earnings could add volatility: AeroVironment is scheduled to report fiscal first-quarter results on September 9. Investors will be watching revenue, profitability, execution and whether management provides additional details on the timing and economics of the laser program. AeroVironment Earnings Date
• Negative Sentiment: Valuation and profitability remain risks: AeroVironment has reported trailing losses and faces the challenge of converting the contract win into profitable production. Its elevated forward valuation leaves limited room for disappointing results, while some market commentators remain cautious about the stock’s upside and competitive pressures. Commentary on AeroVironment’s Upside

Analyst Ratings Changes

AVAV has been the topic of a number of research reports. Wolfe Research downgraded AeroVironment to a “buy” rating in a report on Tuesday, June 30th. Canaccord Genuity Group reduced their target price on shares of AeroVironment from $280.00 to $240.00 and set a “buy” rating for the company in a research note on Friday, July 10th. Weiss Ratings reiterated a “sell (d)” rating on shares of AeroVironment in a research note on Monday, June 8th. Wedbush began coverage on shares of AeroVironment in a research report on Tuesday, June 30th. They issued an “outperform” rating and a $250.00 target price for the company. Finally, Jefferies Financial Group dropped their price target on shares of AeroVironment from $305.00 to $229.00 and set a “buy” rating on the stock in a research note on Wednesday, July 1st. Two investment analysts have rated the stock with a Strong Buy rating, eighteen have issued a Buy rating, three have given a Hold rating and one has given a Sell rating to the stock. According to data from MarketBeat, the company currently has a consensus rating of “Moderate Buy” and a consensus price target of $266.68.

AeroVironment Stock Up 1.3%

The firm has a market capitalization of $7.48 billion, a price-to-earnings ratio of -40.00, a price-to-earnings-growth ratio of 4.92 and a beta of 1.41. The company has a debt-to-equity ratio of 0.17, a quick ratio of 3.59 and a current ratio of 4.30. The business’s 50 day moving average is $159.67 and its 200-day moving average is $183.86.

AeroVironment (NASDAQ:AVAV) last released its earnings results on Monday, June 29th. The aerospace company reported $1.84 earnings per share for the quarter, topping analysts’ consensus estimates of $1.47 by $0.37. The firm had revenue of $641.62 million during the quarter, compared to analyst estimates of $555.97 million. AeroVironment had a negative net margin of 9.00% and a positive return on equity of 3.71%. The business’s revenue was up 133.3% on a year-over-year basis. During the same quarter in the previous year, the business earned $1.61 EPS. AeroVironment has set its FY 2027 guidance at 3.020-3.340 EPS. Equities analysts anticipate that AeroVironment, Inc. will post 3.25 EPS for the current fiscal year.

Insider Activity at AeroVironment

In other news, CAO Brian Shackley sold 205 shares of the firm’s stock in a transaction on Friday, August 14th. The shares were sold at an average price of $201.86, for a total value of $41,381.30. Following the sale, the chief accounting officer owned 7,888 shares in the company, valued at approximately $1,592,271.68. This trade represents a 2.53% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Stephen F. Page sold 250 shares of the business’s stock in a transaction on Monday, August 17th. The stock was sold at an average price of $191.98, for a total transaction of $47,995.00. Following the transaction, the director directly owned 48,503 shares in the company, valued at $9,311,605.94. This trade represents a 0.51% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last 90 days, insiders have sold 705 shares of company stock valued at $132,979. 0.79% of the stock is owned by corporate insiders.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently bought and sold shares of AVAV. Sunbelt Securities Inc. bought a new stake in shares of AeroVironment in the 1st quarter worth about $25,000. Hilton Head Capital Partners LLC bought a new position in AeroVironment during the 4th quarter valued at about $26,000. Whittier Trust Co. of Nevada Inc. bought a new position in AeroVironment during the 1st quarter valued at about $28,000. Hazlett Burt & Watson Inc. boosted its position in AeroVironment by 90.0% in the fourth quarter. Hazlett Burt & Watson Inc. now owns 133 shares of the aerospace company’s stock valued at $32,000 after buying an additional 63 shares in the last quarter. Finally, Toth Financial Advisory Corp acquired a new position in AeroVironment in the second quarter valued at about $33,000. 86.38% of the stock is owned by institutional investors.

About AeroVironment

AeroVironment, Inc (NASDAQ:AVAV) is a technology company specializing in unmanned aerial systems (UAS), tactical missiles and precision loitering munitions, electric vehicle charging and scalable energy systems. Headquartered in Monrovia, California, the company develops solutions for defense, public safety and commercial markets. Their offerings include small UAS for intelligence, surveillance and reconnaissance, as well as advanced weapons systems designed to meet the needs of modern military operations.

The company’s unmanned aerial systems portfolio features platforms such as the Raven, Puma and Switchblade series, which are deployed by the U.S.