UBS Group Issues Pessimistic Forecast for AeroVironment (NASDAQ:AVAV) Stock Price

Key Points

• UBS Group cut its price target on AeroVironment to $166 from $172 and kept a neutral rating, implying a small downside from the current share price.
• The stock jumped 23.5% to $171.63 on Tuesday after the company reported a strong quarter, with EPS of $1.84 and revenue of $641.62 million, both above analyst estimates.
• Despite the upbeat earnings beat and record backlog commentary, analyst views remain mixed: the broader consensus is still Moderate Buy, while some firms have recently lowered targets or maintained cautious ratings.

AeroVironment (NASDAQ:AVAV - Get Free Report) had its target price lowered by equities research analysts at UBS Group from $172.00 to $166.00 in a research note issued on Tuesday,MarketScreener reports. The firm currently has a "neutral" rating on the aerospace company's stock. UBS Group's price objective suggests a potential downside of 3.28% from the company's current price.

Several other equities research analysts have also recently commented on the stock. Royal Bank Of Canada set a $210.00 price objective on shares of AeroVironment and gave the company an "outperform" rating in a research report on Tuesday. Raymond James Financial upgraded AeroVironment from an "underperform" rating to a "market perform" rating in a research note on Monday, March 23rd. Canaccord Genuity Group reduced their price target on AeroVironment from $330.00 to $300.00 and set a "buy" rating for the company in a research report on Thursday, March 12th. Weiss Ratings reaffirmed a "sell (d)" rating on shares of AeroVironment in a research note on Monday, June 8th. Finally, Jefferies Financial Group lowered their price objective on shares of AeroVironment from $390.00 to $305.00 and set a "buy" rating on the stock in a report on Thursday, March 12th. Two analysts have rated the stock with a Strong Buy rating, sixteen have given a Buy rating, three have given a Hold rating and one has given a Sell rating to the stock. Based on data from MarketBeat, AeroVironment presently has a consensus rating of "Moderate Buy" and an average target price of $293.94.

AeroVironment Trading Up 23.5%

AVAV stock traded up $32.63 during midday trading on Tuesday, hitting $171.63. 2,800,433 shares of the company's stock were exchanged, compared to its average volume of 1,596,826. AeroVironment has a one year low of $135.20 and a one year high of $417.86. 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 company has a market cap of $8.57 billion, a PE ratio of -39.50, a price-to-earnings-growth ratio of 1.89 and a beta of 1.35. The stock's fifty day moving average price is $176.65 and its 200-day moving average price is $225.20.

AeroVironment (NASDAQ:AVAV - Get Free Report) last released its quarterly earnings results on Monday, June 29th. The aerospace company reported $1.84 EPS for the quarter, topping analysts' consensus estimates of $1.47 by $0.37. AeroVironment had a positive return on equity of 3.28% and a negative net margin of 13.93%.The company had revenue of $641.62 million for the quarter, compared to analyst estimates of $555.97 million. During the same quarter last year, the firm posted $1.61 earnings per share. AeroVironment'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. Research analysts predict that AeroVironment will post 2.94 earnings per share for the current fiscal year.

Insider Buying and Selling

In other AeroVironment news, Director Stephen F. Page sold 250 shares of the business's stock in a transaction that occurred 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 of the company's stock, valued at $8,546,264.41. The trade was a 0.51% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold a total of 750 shares of company stock worth $133,502 in the last three months. Company insiders own 0.81% of the company's stock.

Institutional Inflows and Outflows

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

AeroVironment News Summary

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

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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