AeroVironment (NASDAQ:AVAV) Shares Gap Up Following Analyst Upgrade

Key Points

• AeroVironment's shares gapped up significantly after BTIG Research raised their price target from $300 to $415, with the stock opening at $374.43 following a previous close of $360.28.
• Despite the upgrade, Zacks Research downgraded the stock from "strong buy" to "hold", highlighting mixed analyst ratings, with a consensus of buy and an average target price of $347.14.
• The company reported earnings of $0.32 per share, missing estimates, but achieved a revenue increase of 140% year-over-year, indicating strong growth potential despite recent setbacks.

Shares of AeroVironment, Inc. (NASDAQ:AVAV - Get Free Report) gapped up before the market opened on Friday after BTIG Research raised their price target on the stock from $300.00 to $415.00. The stock had previously closed at $360.28, but opened at $374.43. BTIG Research currently has a buy rating on the stock. AeroVironment shares last traded at $373.64, with a volume of 263,628 shares traded.

AVAV has been the topic of a number of other reports. Zacks Research downgraded shares of AeroVironment from a "strong-buy" rating to a "hold" rating in a report on Tuesday, September 23rd. Citigroup reissued an "outperform" rating on shares of AeroVironment in a research report on Friday. Wall Street Zen raised shares of AeroVironment from a "sell" rating to a "hold" rating in a research report on Sunday, June 22nd. Canaccord Genuity Group assumed coverage on shares of AeroVironment in a research report on Monday, August 11th. They issued a "buy" rating and a $305.00 target price for the company. Finally, Cantor Fitzgerald assumed coverage on shares of AeroVironment in a research report on Tuesday, July 8th. They issued an "overweight" rating and a $335.00 target price for the company. Two research analysts have rated the stock with a Strong Buy rating, sixteen have issued a Buy rating and one has assigned a Hold rating to the stock. According to MarketBeat.com, AeroVironment has a consensus rating of "Buy" and an average target price of $347.14.

Insider Buying and Selling

In other AeroVironment news, CEO Wahid Nawabi sold 17,300 shares of the stock in a transaction dated Wednesday, July 16th. The shares were sold at an average price of $263.05, for a total transaction of $4,550,765.00. Following the sale, the chief executive officer owned 122,233 shares of the company's stock, valued at $32,153,390.65. This represents a 12.40% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. 0.81% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

A number of large investors have recently added to or reduced their stakes in the business. GAMMA Investing LLC lifted its position in AeroVironment by 11.9% during the 3rd quarter. GAMMA Investing LLC now owns 966 shares of the aerospace company's stock valued at $304,000 after purchasing an additional 103 shares during the period. Corient Private Wealth LLC acquired a new position in AeroVironment during the 2nd quarter valued at about $433,000. Thrivent Financial for Lutherans lifted its position in AeroVironment by 0.7% during the 2nd quarter. Thrivent Financial for Lutherans now owns 20,717 shares of the aerospace company's stock valued at $5,903,000 after purchasing an additional 148 shares during the period. Cim Investment Management Inc. acquired a new stake in shares of AeroVironment in the 2nd quarter valued at approximately $729,000. Finally, Cim LLC acquired a new stake in shares of AeroVironment in the 2nd quarter valued at approximately $435,000. 86.38% of the stock is currently owned by institutional investors and hedge funds.

AeroVironment Stock Up 4.0%

The firm has a market capitalization of $18.71 billion, a price-to-earnings ratio of -584.26, a P/E/G ratio of 5.87 and a beta of 0.99. The business's 50-day moving average is $262.30 and its two-hundred day moving average is $208.69. The company has a debt-to-equity ratio of 0.16, a quick ratio of 5.12 and a current ratio of 5.96.

AeroVironment (NASDAQ:AVAV - Get Free Report) last announced its quarterly earnings results on Tuesday, September 9th. The aerospace company reported $0.32 earnings per share for the quarter, missing analysts' consensus estimates of $0.34 by ($0.02). The firm had revenue of $454.68 million during the quarter, compared to analyst estimates of $446.16 million. AeroVironment had a negative net margin of 4.14% and a positive return on equity of 4.67%. The business's revenue was up 140.0% on a year-over-year basis. During the same quarter in the prior year, the business earned $0.89 earnings per share. AeroVironment has set its FY 2026 guidance at 3.600-3.70 EPS. On average, equities analysts anticipate that AeroVironment, Inc. will post 3.38 earnings per share for the current year.

AeroVironment Company Profile

AeroVironment, Inc designs, develops, produces, delivers, and supports a portfolio of robotic systems and related services for government agencies and businesses in the United States and internationally. It operates through Small Unmanned Aircraft Systems (SUAS), Tactical Missile System (TMS), Medium Unmanned Aircraft Systems (MUAS), and High Altitude Pseudo-Satellite Systems (HAPS) segments.

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