AeroVironment (NASDAQ:AVAV) Stock Price Down 4% - Here's Why

Key Points

• Shares fell ~4% to ~$263 on Tuesday with volume down ~41% after quarterly results that missed EPS ($0.44 vs. $0.87) despite a revenue beat of $472.5M and 150.7% YoY revenue growth; company set FY2026 guidance of 3.40–3.55 EPS.
• Analysts remain broadly bullish — the stock's consensus rating is "Buy" with an average price target of $378.06 — though some firms have adjusted targets (e.g., Goldman lowered to $429; KeyCorp raised to $330).
• Insiders have sold shares recently (2,710 shares, ~$922k over 90 days) while institutional investors own about 86.38% of the stock; AeroVironment has a market cap of ~$13.14B and a negative P/E.

Shares of AeroVironment, Inc. (NASDAQ:AVAV - Get Free Report) dropped 4% on Tuesday . The company traded as low as $261.52 and last traded at $263.26. Approximately 1,017,532 shares traded hands during mid-day trading, a decline of 41% from the average daily volume of 1,722,512 shares. The stock had previously closed at $274.35.

Analyst Ratings Changes

A number of research analysts have weighed in on AVAV shares. Zacks Research raised shares of AeroVironment from a "strong sell" rating to a "hold" rating in a research note on Tuesday, December 2nd. Canaccord Genuity Group set a $400.00 price target on AeroVironment in a report on Wednesday, December 10th. The Goldman Sachs Group lowered their price objective on AeroVironment from $486.00 to $429.00 and set a "buy" rating on the stock in a research note on Friday, December 12th. Jefferies Financial Group reaffirmed a "buy" rating and issued a $390.00 target price on shares of AeroVironment in a research note on Thursday, December 11th. Finally, KeyCorp lifted their price target on AeroVironment from $285.00 to $330.00 and gave the stock an "overweight" rating in a report on Wednesday, January 28th. Two equities research analysts have rated the stock with a Strong Buy rating, eighteen have given a Buy rating and two have assigned a Hold rating to the company. According to data from MarketBeat.com, the stock has an average rating of "Buy" and an average price target of $378.06.

AeroVironment Stock Down 4.0%

The company has a debt-to-equity ratio of 0.16, a current ratio of 5.08 and a quick ratio of 4.29. The business has a 50 day simple moving average of $287.31 and a 200 day simple moving average of $294.61. The company has a market capitalization of $13.14 billion, a price-to-earnings ratio of -210.61, a PEG ratio of 3.80 and a beta of 1.23.

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 (EPS) for the quarter, missing the consensus estimate of $0.87 by ($0.43). The firm had revenue of $472.51 million during the quarter, compared to analysts' expectations of $466.16 million. AeroVironment had a negative net margin of 5.08% and a positive return on equity of 3.42%. AeroVironment's quarterly revenue was up 150.7% compared to the same quarter last year. During the same quarter in the prior year, the firm posted $0.47 EPS. AeroVironment has set its FY 2026 guidance at 3.400-3.550 EPS. As a group, equities analysts predict that AeroVironment, Inc. will post 3.38 earnings per share for the current fiscal year.

Insider Buying and Selling

In other AeroVironment news, Director Stephen F. Page sold 1,000 shares of the stock in a transaction that occurred on Thursday, January 15th. The shares were sold at an average price of $377.62, for a total transaction of $377,620.00. Following the sale, the director directly owned 51,001 shares in the company, valued at $19,258,997.62. This represents a 1.92% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this link. Also, CAO Brian Charles Shackley sold 200 shares of the business's stock in a transaction on Tuesday, December 30th. The stock was sold at an average price of $250.92, for a total transaction of $50,184.00. Following the completion of the transaction, the chief accounting officer owned 5,994 shares of the company's stock, valued at approximately $1,504,014.48. This trade represents a 3.23% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders have sold a total of 2,710 shares of company stock valued at $922,464 in the last ninety days. Company insiders own 0.81% of the company's stock.

Institutional Investors Weigh In On AeroVironment

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

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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