AeroVironment (NASDAQ:AVAV) Stock Price Down 2.9% - Should You Sell?

Key Points

• AeroVironment shares fell 2.9% to $147.94, below both the 50-day moving average of $160.19 and the 200-day average of $186.89. The company has a $7.52 billion market capitalization and trades with a negative P/E ratio.
• Despite the decline, analysts remain broadly bullish, with a consensus rating of “Moderate Buy” and an average price target of $266.68. Recent targets range from $205 to $250, although Stifel reduced its target to $220.
• The latest quarter exceeded expectations, with earnings of $1.84 per share versus $1.47 expected and revenue up 133.3% year over year to $641.62 million. Institutional investors own 86.38% of the stock, while insiders sold 705 shares worth about $132,979 over the past 90 days.

AeroVironment, Inc. (NASDAQ:AVAV - Get Free Report) shares dropped 2.9% during trading on Friday . The company traded as low as $146.30 and last traded at $147.94. 1,175,788 shares changed hands during mid-day trading, a decline of 27% from the average session volume of 1,603,722 shares. The stock had previously closed at $152.28.

Wall Street Analysts Forecast Growth

AVAV has been the subject of several analyst reports. Wedbush started coverage on shares of AeroVironment in a research report on Tuesday, June 30th. They set an "outperform" rating and a $250.00 price target for the company. BTIG Research restated a "buy" rating and set a $205.00 target price on shares of AeroVironment in a research report on Thursday, July 9th. Stifel Nicolaus decreased their price objective on AeroVironment from $315.00 to $220.00 and set a "buy" rating on the stock in a research note on Tuesday, June 30th. Wall Street Zen upgraded shares of AeroVironment from a "sell" rating to a "hold" rating in a research note on Sunday, July 5th. Finally, KeyCorp restated an "overweight" rating on shares of AeroVironment in a research note on Tuesday, July 28th. Two investment analysts have rated the stock with a Strong Buy rating, eighteen have given a Buy rating, three have issued a Hold rating and one has given a Sell rating to the company's stock. According to data from MarketBeat, the stock currently has a consensus rating of "Moderate Buy" and a consensus price target of $266.68.

AeroVironment Stock Down 2.9%

The company's fifty day moving average price is $160.19 and its 200-day moving average price is $186.89. The stock has a market cap of $7.52 billion, a P/E ratio of -40.20, a price-to-earnings-growth ratio of 5.00 and a beta of 1.41. The company has a debt-to-equity ratio of 0.17, a quick ratio of 3.59 and a current ratio of 4.30.

AeroVironment (NASDAQ:AVAV - Get Free Report) last issued its quarterly earnings results 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 positive return on equity of 3.71% and a negative net margin of 9.00%.The firm had revenue of $641.62 million for the quarter, compared to the consensus estimate of $555.97 million. During the same period in the prior year, the business posted $1.61 earnings per share. The company's revenue for the quarter was up 133.3% on a year-over-year basis. AeroVironment has set its FY 2027 guidance at 3.020-3.340 EPS. Equities analysts forecast that AeroVironment, Inc. will post 3.26 EPS for the current year.

Insider Transactions at AeroVironment

In other news, Director Stephen F. Page sold 250 shares of the firm's stock in a transaction on Monday, June 15th. The stock was sold at an average price of $174.41, for a total transaction of $43,602.50. Following the transaction, the director owned 49,001 shares in the company, valued at approximately $8,546,264.41. This trade represents a 0.51% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CAO Brian Charles Shackley sold 205 shares of the business's stock in a transaction dated Friday, August 14th. The shares were sold at an average price of $201.86, for a total transaction of $41,381.30. Following the completion of the sale, the chief accounting officer owned 7,888 shares of the company's stock, valued at approximately $1,592,271.68. This represents a 2.53% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold a total of 705 shares of company stock worth $132,979 over the last 90 days. Insiders own 0.79% of the company's stock.

Institutional Inflows and Outflows

Several large investors have recently made changes to their positions in AVAV. California State Teachers Retirement System raised its holdings in AeroVironment by 16,307.2% in the second quarter. California State Teachers Retirement System now owns 6,215,051 shares of the aerospace company's stock worth $1,025,918,000 after purchasing an additional 6,177,171 shares in the last quarter. BlackRock Inc. acquired a new stake in shares of AeroVironment during the second quarter worth $574,566,000. Geode Capital Management LLC grew its stake in AeroVironment by 8.8% during the 4th quarter. Geode Capital Management LLC now owns 884,395 shares of the aerospace company's stock valued at $213,956,000 after purchasing an additional 71,903 shares during the last quarter. Heard Capital LLC increased its holdings in AeroVironment by 48.4% in the 4th quarter. Heard Capital LLC now owns 722,150 shares of the aerospace company's stock worth $174,681,000 after buying an additional 235,685 shares during the period. Finally, Ameriprise Financial Inc. grew its position in AeroVironment by 17.2% during the 2nd quarter. Ameriprise Financial Inc. now owns 504,270 shares of the aerospace company's stock worth $143,692,000 after purchasing an additional 73,963 shares during the period. 86.38% of the stock is owned by 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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