AeroVironment, Inc. (NASDAQ:AVAV) Sees Large Increase in Short Interest

Key Points

• Short interest climbed 20.3% in March to 4,617,063 shares (about 9.3% of the float), leaving a days-to-cover ratio of 3.3.
• AeroVironment's most recent quarter missed estimates—EPS $0.64 vs. $0.68 and revenue $408.05M vs. $487.94M—despite revenue rising 143.4% year-over-year; FY2026 guidance is 2.75–3.10 EPS versus analysts' 3.38 projection.
• Several firms have trimmed price targets, but the street consensus remains a Moderate Buy with an average price target of $318.78.

AeroVironment, Inc. (NASDAQ:AVAV - Get Free Report) was the target of a significant growth in short interest in the month of March. As of March 31st, there was short interest totaling 4,617,063 shares, a growth of 20.3% from the March 15th total of 3,838,211 shares. Approximately 9.3% of the shares of the company are short sold. Based on an average trading volume of 1,399,138 shares, the days-to-cover ratio is presently 3.3 days.

AeroVironment Trading Up 1.4%

NASDAQ AVAV opened at $204.80 on Friday. AeroVironment has a one year low of $141.09 and a one year high of $417.86. The firm has a market cap of $10.23 billion, a price-to-earnings ratio of -47.19, a PEG ratio of 3.46 and a beta of 1.38. The company has a debt-to-equity ratio of 0.17, a quick ratio of 4.54 and a current ratio of 5.51. The firm has a 50 day simple moving average of $219.57 and a 200-day simple moving average of $281.22.

AeroVironment (NASDAQ:AVAV - Get Free Report) last announced its quarterly earnings results on Tuesday, March 10th. The aerospace company reported $0.64 earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $0.68 by ($0.04). The business had revenue of $408.05 million for the quarter, compared to analysts' expectations of $487.94 million. AeroVironment had a positive return on equity of 3.26% and a negative net margin of 13.93%.The firm's quarterly revenue was up 143.4% on a year-over-year basis. During the same period last year, the firm earned $0.30 earnings per share. AeroVironment has set its FY 2026 guidance at 2.750-3.100 EPS. Equities research analysts anticipate that AeroVironment will post 3.38 EPS for the current fiscal year.

Insider Buying and Selling

In related news, CFO Kevin Patrick Mcdonnell sold 396 shares of the stock in a transaction dated Tuesday, March 10th. The stock was sold at an average price of $224.55, for a total transaction of $88,921.80. Following the completion of the sale, the chief financial officer directly owned 16,026 shares in the company, valued at $3,598,638.30. This represents a 2.41% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available through this link. Also, CAO Brian Charles Shackley sold 200 shares of the firm's stock in a transaction on Monday, March 16th. The stock was sold at an average price of $212.52, for a total value of $42,504.00. Following the completion of the sale, the chief accounting officer directly owned 5,794 shares of the company's stock, valued at $1,231,340.88. The trade was a 3.34% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Over the last 90 days, insiders sold 2,725 shares of company stock worth $691,001. Insiders own 0.81% of the company's stock.

Institutional Investors Weigh In On AeroVironment

Several institutional investors and hedge funds have recently added to or reduced their stakes in the company. Groupama Asset Managment bought a new position in shares of AeroVironment during the third quarter valued at approximately $314,890,000. Norges Bank bought a new position in shares of AeroVironment during the fourth quarter valued at approximately $94,655,000. CIBC Private Wealth Group LLC raised its holdings in AeroVironment by 24,798.7% in the third quarter. CIBC Private Wealth Group LLC now owns 315,716 shares of the aerospace company's stock worth $99,416,000 after purchasing an additional 314,448 shares in the last quarter. Swedbank AB lifted its holdings in shares of AeroVironment by 22,773.4% during the 4th quarter. Swedbank AB now owns 261,214 shares of the aerospace company's stock valued at $63,185,000 after purchasing an additional 260,072 shares during the last quarter. Finally, Marshall Wace LLP boosted its stake in AeroVironment by 4,770.1% in the 4th quarter. Marshall Wace LLP now owns 260,207 shares of the aerospace company's stock worth $62,941,000 after purchasing an additional 254,864 shares in the last quarter. 86.38% of the stock is currently owned by institutional investors and hedge funds.

Analysts Set New Price Targets

AVAV has been the topic of several research analyst reports. Piper Sandler lowered their price target on AeroVironment from $391.00 to $290.00 and set an "overweight" rating on the stock in a report on Tuesday, March 3rd. Royal Bank Of Canada dropped their target price on AeroVironment from $325.00 to $250.00 and set an "outperform" rating for the company in a report on Wednesday, March 11th. UBS Group reduced their target price on AeroVironment from $259.00 to $236.00 and set a "neutral" rating on the stock in a research note on Wednesday, March 11th. Jefferies Financial Group dropped their target price on shares of AeroVironment from $390.00 to $305.00 and set a "buy" rating on the stock in a report on Thursday, March 12th. Finally, BTIG Research reduced their target price on shares of AeroVironment from $415.00 to $330.00 and set a "buy" rating for the company in a report on Thursday, March 12th. One investment analyst has rated the stock with a Strong Buy rating, eighteen have assigned a Buy rating, two have given a Hold rating and two have assigned a Sell rating to the company. According to MarketBeat.com, AeroVironment has an average rating of "Moderate Buy" and an average price target of $318.78.

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.

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