AeroVironment (NASDAQ:AVAV) Stock Price Down 3.9% - Time to Sell?

Key Points

• AeroVironment shares fell 3.9% to $174.14, with trading volume 53% below the average session level. The stock remains below its 200-day moving average of $193.39 but above its 50-day average of $162.54.
• Analyst sentiment remains positive overall, with a consensus “Moderate Buy” rating and an average price target of $266.68, although Jefferies and Stifel recently cut their targets to $229 and $220, respectively.
• The company delivered strong quarterly results, reporting $1.84 in EPS versus a $1.47 estimate and revenue of $641.62 million, up 133.3% year over year. Insiders made small sales under pre-arranged trading plans, while institutional investors own 86.38% of the stock.

AeroVironment, Inc. (NASDAQ:AVAV - Get Free Report)'s share price traded down 3.9% during trading on Tuesday . The company traded as low as $173.63 and last traded at $174.14. 769,145 shares traded hands during trading, a decline of 53% from the average session volume of 1,622,244 shares. The stock had previously closed at $181.13.

Analysts Set New Price Targets

A number of research analysts recently issued reports on the stock. Wolfe Research downgraded shares of AeroVironment to a "buy" rating in a research note on Tuesday, June 30th. Zacks Research upgraded shares of AeroVironment from a "strong sell" rating to a "hold" rating in a report on Monday, May 4th. Clear Str raised shares of AeroVironment to a "strong-buy" rating in a research report on Wednesday, April 29th. Jefferies Financial Group lowered their target price on shares of AeroVironment from $305.00 to $229.00 and set a "buy" rating for the company in a research note on Wednesday, July 1st. Finally, Stifel Nicolaus dropped their target price on AeroVironment from $315.00 to $220.00 and set a "buy" rating on the stock in a report on Tuesday, June 30th. Two research 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 assigned a Sell rating to the stock. According to MarketBeat, the stock currently has a consensus rating of "Moderate Buy" and an average price target of $266.68.

AeroVironment Price Performance

The company has a debt-to-equity ratio of 0.17, a current ratio of 4.30 and a quick ratio of 3.59. The company's 50 day simple moving average is $162.54 and its 200 day simple moving average is $193.39. The company has a market capitalization of $8.81 billion, a PE ratio of -47.32, a price-to-earnings-growth ratio of 6.56 and a beta of 1.41.

AeroVironment (NASDAQ:AVAV - Get Free Report) last issued its quarterly earnings data on Monday, June 29th. The aerospace company reported $1.84 earnings per share for the quarter, topping the consensus estimate of $1.47 by $0.37. AeroVironment had a negative net margin of 9.00% and a positive return on equity of 3.71%. The business had revenue of $641.62 million during the quarter, compared to the consensus estimate of $555.97 million. During the same quarter in the previous year, the firm earned $1.61 EPS. The company's revenue was up 133.3% compared to the same quarter last year. AeroVironment has set its FY 2027 guidance at 3.020-3.340 EPS. As a group, sell-side analysts predict that AeroVironment, Inc. will post 3.26 earnings per share for the current year.

Insiders Place Their Bets

In other AeroVironment news, CAO Brian Charles Shackley sold 205 shares of the company'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 completion of the transaction, the chief accounting officer owned 7,888 shares in the company, valued at $1,592,271.68. This represents a 2.53% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available at 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 firm's stock in a transaction dated Monday, June 15th. The stock was sold at an average price of $174.41, for a total value of $43,602.50. Following the transaction, the director directly owned 49,001 shares in the company, valued at approximately $8,546,264.41. The trade was a 0.51% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. 0.81% of the stock is owned by insiders.

Institutional Trading of AeroVironment

Large investors have recently made changes to their positions in the company. Empowered Funds LLC purchased a new position in AeroVironment during the 2nd quarter worth approximately $6,762,000. Equitable Holdings Inc. acquired a new stake in shares of AeroVironment in the second quarter valued at approximately $1,163,000. Centaurus Financial Inc. acquired a new stake in shares of AeroVironment in the second quarter valued at approximately $320,000. Coastal Bridge Advisors LLC purchased a new position in shares of AeroVironment during the second quarter worth approximately $461,000. Finally, Public Employees Retirement System of Ohio purchased a new position in shares of AeroVironment during the second quarter worth approximately $1,806,000. 86.38% of the stock is owned by institutional investors and hedge funds.

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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