AeroVironment (NASDAQ:AVAV) Shares Down 3% - Here's Why

Key Points

• Shares fell about 3% to roughly $270 midday with ~1.6 million shares trading, an 11% drop from average daily volume.
• Wall Street maintains a consensus "Buy" rating with a mean target of $378.06 after mixed analyst moves (Goldman cut its target but kept a buy, others reiterated strong-buy/overweight calls).
• AeroVironment missed EPS last quarter ($0.44 vs. $0.87 expected) but beat revenue estimates as sales rose 150.7% year-over-year, and management set FY2026 guidance of $3.40–$3.55 EPS.

AeroVironment, Inc. (NASDAQ:AVAV - Get Free Report)'s share price was down 3% during mid-day trading on Monday . The stock traded as low as $265.50 and last traded at $269.99. Approximately 1,616,469 shares traded hands during mid-day trading, a decline of 11% from the average daily volume of 1,822,396 shares. The stock had previously closed at $278.39.

Wall Street Analyst Weigh In

A number of analysts have weighed in on the stock. The Goldman Sachs Group reduced their price target on shares of AeroVironment from $486.00 to $429.00 and set a "buy" rating for the company in a report on Friday, December 12th. Jefferies Financial Group reaffirmed a "buy" rating and set a $390.00 price objective on shares of AeroVironment in a research report on Thursday, December 11th. Raymond James Financial reissued a "strong-buy" rating on shares of AeroVironment in a research report on Tuesday, December 16th. KeyCorp upped their price target on AeroVironment from $285.00 to $330.00 and gave the company an "overweight" rating in a report on Wednesday, January 28th. Finally, Canaccord Genuity Group set a $400.00 price objective on AeroVironment in a report on Wednesday, December 10th. Two analysts have rated the stock with a Strong Buy rating, eighteen have issued a Buy rating and two have assigned a Hold rating to the company. Based on data from MarketBeat.com, the stock has an average rating of "Buy" and a consensus target price of $378.06.

AeroVironment Stock Down 3.0%

The stock has a market capitalization of $13.48 billion, a P/E ratio of -215.99, a P/E/G ratio of 4.12 and a beta of 1.23. The company has a current ratio of 5.08, a quick ratio of 4.29 and a debt-to-equity ratio of 0.16. The firm's fifty day moving average is $288.74 and its 200-day moving average is $294.96.

AeroVironment (NASDAQ:AVAV - Get Free Report) last posted its quarterly earnings data on Tuesday, December 9th. The aerospace company reported $0.44 earnings per share for the quarter, missing the consensus estimate of $0.87 by ($0.43). The firm had revenue of $472.51 million for the quarter, compared to analyst estimates of $466.16 million. AeroVironment had a positive return on equity of 3.42% and a negative net margin of 5.08%.The business's quarterly revenue was up 150.7% on a year-over-year basis. During the same period in the previous year, the business posted $0.47 EPS. AeroVironment has set its FY 2026 guidance at 3.400-3.550 EPS. As a group, equities research analysts predict that AeroVironment, Inc. will post 3.38 earnings per share for the current year.

Insider Activity

In related news, Director Stephen F. Page sold 1,000 shares of the company's stock in a transaction dated Thursday, January 15th. The shares were sold at an average price of $377.62, for a total transaction of $377,620.00. Following the transaction, the director owned 51,001 shares in the company, valued at $19,258,997.62. This represents a 1.92% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at the SEC website. Also, CFO Kevin Patrick Mcdonnell sold 999 shares of the firm's stock in a transaction dated Monday, January 12th. The shares were sold at an average price of $367.60, for a total transaction of $367,232.40. Following the completion of the sale, the chief financial officer owned 17,301 shares of the company's stock, valued at $6,359,847.60. The trade was a 5.46% decrease in their position. The SEC filing for this sale provides additional information. Over the last ninety days, insiders sold 3,223 shares of company stock worth $1,092,503. 0.81% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On AeroVironment

A number of institutional investors and hedge funds have recently made changes to their positions in AVAV. Wealth Enhancement Advisory Services LLC increased its holdings in AeroVironment by 550.7% in the third quarter. Wealth Enhancement Advisory Services LLC now owns 178,204 shares of the aerospace company's stock valued at $56,115,000 after purchasing an additional 150,819 shares during the last quarter. US Bancorp DE boosted its holdings in AeroVironment by 13.5% during the second quarter. US Bancorp DE now owns 8,068 shares of the aerospace company's stock worth $2,299,000 after buying an additional 961 shares during the last quarter. Rheos Capital Works Inc. acquired a new position in shares of AeroVironment during the 3rd quarter worth about $37,787,000. Congress Asset Management Co. increased its stake in shares of AeroVironment by 1.4% in the 3rd quarter. Congress Asset Management Co. now owns 346,999 shares of the aerospace company's stock valued at $109,267,000 after acquiring an additional 4,745 shares during the last quarter. Finally, Traynor Capital Management Inc. acquired a new stake in shares of AeroVironment in the 3rd quarter valued at approximately $1,121,000. Institutional investors own 86.38% of the company's stock.

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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