AeroVironment (NASDAQ:AVAV) Trading Up 2.9% - Time to Buy?

Key Points

• AeroVironment shares rose 2.9% to $148.78 on above-average trading volume, but remain below their 50-day and 200-day moving averages.
• Analysts maintain a broadly positive outlook, with a consensus rating of “Moderate Buy” and an average price target of $266.68, despite several recent target reductions.
• The company exceeded quarterly expectations, reporting $1.84 in EPS versus $1.47 expected and $641.62 million in revenue, up 133.3% year over year; however, it posted a negative net margin and insiders have been net sellers recently.

AeroVironment, Inc. (NASDAQ:AVAV - Get Free Report) shares shot up 2.9% on Tuesday . The stock traded as high as $152.20 and last traded at $148.78. 1,979,409 shares traded hands during trading, an increase of 24% from the average session volume of 1,600,905 shares. The stock had previously closed at $144.65.

Analyst Upgrades and Downgrades

AVAV has been the subject of a number of analyst reports. Canaccord Genuity Group reduced their price objective on shares of AeroVironment from $280.00 to $240.00 and set a "buy" rating for the company in a report on Friday, July 10th. Wall Street Zen upgraded shares of AeroVironment from a "sell" rating to a "hold" rating in a report on Sunday, July 5th. Stifel Nicolaus dropped their price target on shares of AeroVironment from $315.00 to $220.00 and set a "buy" rating on the stock in a research report on Tuesday, June 30th. Piper Sandler decreased their price objective on AeroVironment from $248.00 to $235.00 and set an "overweight" rating for the company in a report on Thursday, July 9th. Finally, Wedbush began coverage on AeroVironment in a research note on Tuesday, June 30th. They issued an "outperform" rating and a $250.00 price objective for the company. Two research analysts have rated the stock with a Strong Buy rating, eighteen have issued a Buy rating, three have issued a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat, the company has an average rating of "Moderate Buy" and a consensus price target of $266.68.

AeroVironment Price Performance

The company has a current ratio of 4.30, a quick ratio of 3.59 and a debt-to-equity ratio of 0.17. The business's fifty day moving average is $160.13 and its 200 day moving average is $181.64. The company has a market cap of $7.56 billion, a P/E ratio of -40.43, a PEG ratio of 5.00 and a beta of 1.41.

AeroVironment (NASDAQ:AVAV - Get Free Report) last issued its earnings results on Monday, June 29th. The aerospace company reported $1.84 earnings per share (EPS) for the quarter, beating analysts' consensus estimates 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 for the quarter, compared to analysts' expectations of $555.97 million. During the same quarter in the previous year, the firm posted $1.61 EPS. The business's revenue for the quarter 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 anticipate that AeroVironment, Inc. will post 3.2 EPS for the current year.

Insiders Place Their Bets

In related news, Director Stephen F. Page sold 250 shares of the stock in a transaction on Monday, June 15th. The shares were 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 of the company's stock, valued at approximately $8,546,264.41. This trade represents a 0.51% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CAO Brian 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 value of $41,381.30. Following the completion of the sale, the chief accounting officer directly owned 7,888 shares of the company's stock, valued at approximately $1,592,271.68. This trade represents a 2.53% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last three months, insiders sold 705 shares of company stock worth $132,979. 0.79% of the stock is owned by insiders.

Institutional Trading of AeroVironment

Large investors have recently modified their holdings of the business. Sunbelt Securities Inc. bought a new stake in shares of AeroVironment in the 1st quarter worth approximately $25,000. Hilton Head Capital Partners LLC purchased a new position in AeroVironment during the 4th quarter valued at about $26,000. Whittier Trust Co. of Nevada Inc. bought a new stake in shares of AeroVironment in the 1st quarter worth approximately $28,000. Hazlett Burt & Watson Inc. grew its stake in shares of AeroVironment by 90.0% in the fourth quarter. Hazlett Burt & Watson Inc. now owns 133 shares of the aerospace company's stock worth $32,000 after acquiring an additional 63 shares during the last quarter. Finally, Toth Financial Advisory Corp purchased a new stake in AeroVironment during the 2nd quarter valued at about $33,000. 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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