AeroVironment (NASDAQ:AVAV) Shares Gap Up on Earnings Beat

Key Points

• AeroVironment shares jumped sharply after the company reported quarterly results that beat Wall Street expectations, opening at $176.50 versus the prior close of $139.00.
• The company posted EPS of $1.84 and revenue of $641.62 million, both above estimates, with revenue surging 133.3% year over year.
• Management also pointed to record bookings and a $1.2 billion funded backlog, while FY2027 guidance was set at 3.020–3.340 EPS, indicating continued demand but some investor focus on future growth outlook.

AeroVironment, Inc. (NASDAQ:AVAV - Get Free Report) shares gapped up before the market opened on Tuesday after the company announced better than expected quarterly earnings. The stock had previously closed at $139.00, but opened at $176.50. AeroVironment shares last traded at $170.8470, with a volume of 2,601,549 shares changing hands.

The aerospace company reported $1.84 EPS for the quarter, topping analysts' consensus estimates of $1.47 by $0.37. The business had revenue of $641.62 million during the quarter, compared to analysts' expectations of $555.97 million. AeroVironment had a positive return on equity of 3.28% and a negative net margin of 13.93%.AeroVironment's quarterly revenue was up 133.3% on a year-over-year basis. During the same quarter last year, the company posted $1.61 earnings per share. AeroVironment has set its FY 2027 guidance at 3.020-3.340 EPS.

AeroVironment News Roundup

Here are the key news stories impacting AeroVironment this week:

• Positive Sentiment: AeroVironment delivered a strong Q4 earnings beat, with revenue and profit both topping estimates and revenue rising 133% year over year. AeroVironment (AVAV) Q4 Earnings and Revenues Surpass Estimates
• Positive Sentiment: Management highlighted record bookings and a $1.2 billion funded backlog, suggesting sustained demand for AeroVironment’s defense products. AeroVironment soars 17% on earnings beat, backlog grows to $1.2 billion
• Positive Sentiment: Analysts and market commentary turned more bullish after the report, with BTIG reaffirming a buy rating and citing meaningful upside. Benzinga report on BTIG rating
• Neutral Sentiment: Fiscal 2027 guidance was solid but appeared below some analyst expectations, which may limit follow-through if growth slows. AeroVironment’s NASDAQ: AVAV Q1 CY2026 Sales Top Estimates, Stock Jumps 11.9%
• Negative Sentiment: Multiple law firms are advertising a securities fraud class action tied to earlier disclosures, adding an overhang for investors. AVAV Notification: AeroVironment Accused of Misrepresentations about its SCAR Contract Cancellation in Securities Fraud Class Action

Wall Street Analyst Weigh In

Several analysts recently weighed in on AVAV shares. Zacks Research raised AeroVironment from a "strong sell" rating to a "hold" rating in a report on Monday, May 4th. BTIG Research reaffirmed a "buy" rating and issued a $205.00 price objective on shares of AeroVironment in a report on Tuesday. Citizens Jmp lowered their price objective on AeroVironment from $400.00 to $350.00 and set a "market outperform" rating on the stock in a research report on Wednesday, March 11th. Weiss Ratings reissued a "sell (d)" rating on shares of AeroVironment in a report on Monday, June 8th. Finally, KeyCorp reduced their target price on shares of AeroVironment from $295.00 to $220.00 and set an "overweight" rating for the company in a research report on Friday. Two analysts have rated the stock with a Strong Buy rating, sixteen have issued a Buy rating, three have issued a Hold rating and one has assigned a Sell rating to the company's stock. According to data from MarketBeat, AeroVironment currently has a consensus rating of "Moderate Buy" and an average target price of $293.94.

Insiders Place Their Bets

In other AeroVironment news, Director Stephen F. Page sold 250 shares of the business's stock in a transaction dated Monday, June 15th. The stock was sold at an average price of $174.41, for a total transaction of $43,602.50. Following the completion of the transaction, the director owned 49,001 shares of the company's stock, valued at approximately $8,546,264.41. The trade was a 0.51% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold 750 shares of company stock valued at $133,502 over the last quarter. Company insiders own 0.81% of the company's stock.

Institutional Trading of AeroVironment

A number of hedge funds and other institutional investors have recently modified their holdings of the stock. Legacy Bridge LLC boosted its stake in shares of AeroVironment by 1.0% during the fourth quarter. Legacy Bridge LLC now owns 4,046 shares of the aerospace company's stock valued at $979,000 after purchasing an additional 39 shares in the last quarter. NewEdge Wealth LLC raised its holdings in AeroVironment by 1.1% in the 4th quarter. NewEdge Wealth LLC now owns 3,709 shares of the aerospace company's stock valued at $897,000 after buying an additional 39 shares during the last quarter. J.W. Cole Advisors Inc. raised its holdings in AeroVironment by 3.7% in the 4th quarter. J.W. Cole Advisors Inc. now owns 1,081 shares of the aerospace company's stock valued at $261,000 after buying an additional 39 shares during the last quarter. Parkside Financial Bank & Trust boosted its position in AeroVironment by 29.7% during the 4th quarter. Parkside Financial Bank & Trust now owns 188 shares of the aerospace company's stock worth $45,000 after buying an additional 43 shares during the period. Finally, Huntington National Bank boosted its position in AeroVironment by 72.1% during the 3rd quarter. Huntington National Bank now owns 105 shares of the aerospace company's stock worth $33,000 after buying an additional 44 shares during the period. Institutional investors own 86.38% of the company's stock.

AeroVironment Stock Up 23.6%

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 stock has a market capitalization of $8.58 billion, a P/E ratio of -39.41, a price-to-earnings-growth ratio of 1.89 and a beta of 1.35. The stock's fifty day simple moving average is $176.65 and its two-hundred day simple moving average is $225.20.

AeroVironment Company Profile

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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