AeroVironment (NASDAQ:AVAV) Stock Price Up 1% – Should You Buy?

AeroVironment, Inc. (NASDAQ:AVAV) shares shot up 1% during trading on Wednesday . The stock traded as high as $157.38 and last traded at $150.35. Approximately 1,817,315 shares were traded during mid-day trading, an increase of 8% from the average session volume of 1,683,014 shares. The stock had previously closed at $148.84.

AeroVironment News Summary

Here are the key news stories impacting AeroVironment this week:

• Positive Sentiment: The company just won a new U.S. Army contract worth about $117.3 million, which adds to recent defense-program momentum and supports the bull case for AVAV’s backlog and revenue visibility.
• Positive Sentiment: Investors are also reacting to broader optimism around AeroVironment’s defense pipeline, including its counter-drone and directed-energy opportunities, after a recent analyst upgrade and continued strength in government contract wins.
• Neutral Sentiment: Recent coverage also noted that AVAV has been trading higher as defense-tech investors reassess growth prospects across the sector, though that commentary is more interpretive than company-specific.
• Negative Sentiment: Multiple law firms issued reminders that a securities class action deadline is approaching on July 27, 2026, with claims tied to alleged misstatements about the SCAR program and other disclosures. That litigation news can weigh on sentiment and create headline risk.
• Negative Sentiment: The class action notices add uncertainty for shareholders and may pressure the stock if investors focus on potential damages, legal costs, or management distraction.

Analyst Ratings Changes

A number of research analysts recently weighed in on the company. Wedbush assumed coverage on AeroVironment in a research note on Tuesday, June 30th. They set an “outperform” rating and a $250.00 price target on the stock. UBS Group reissued a “buy” rating on shares of AeroVironment in a research note on Thursday, July 9th. Clear Str upgraded AeroVironment to a “strong-buy” rating in a report on Wednesday, April 29th. Wall Street Zen raised AeroVironment from a “sell” rating to a “hold” rating in a research report on Sunday, July 5th. Finally, Jefferies Financial Group cut their target price on AeroVironment from $305.00 to $229.00 and set a “buy” rating on the stock in a report on Wednesday, July 1st. Two equities 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 given a Sell rating to the stock. Based on data from MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and an average price target of $266.68.

AeroVironment Stock Up 5.6%

The company has a market cap of $8.03 billion, a price-to-earnings ratio of -43.13, a price-to-earnings-growth ratio of 5.11 and a beta of 1.39. The company has a debt-to-equity ratio of 0.17, a quick ratio of 3.59 and a current ratio of 4.30. The stock’s fifty day moving average is $166.95 and its two-hundred day moving average is $213.90.

AeroVironment (NASDAQ:AVAV) last released its quarterly 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. The business had revenue of $641.62 million during the quarter, compared to the consensus estimate of $555.97 million. AeroVironment had a positive return on equity of 3.71% and a negative net margin of 9.00%.The company’s quarterly revenue was up 133.3% on a year-over-year basis. During the same quarter in the previous year, the business earned $1.61 EPS. AeroVironment has set its FY 2027 guidance at 3.020-3.340 EPS. Sell-side analysts predict that AeroVironment, Inc. will post 3.26 earnings per share for the current fiscal year.

Insider Activity

In related news, Director Stephen F. Page sold 250 shares of AeroVironment 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 at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. 0.81% of the stock is currently owned by insiders.

Hedge Funds Weigh In On AeroVironment

Hedge funds have recently bought and sold shares of the company. Sunbelt Securities Inc. purchased a new stake in shares of AeroVironment in the first quarter valued at about $25,000. Tema Etfs LLC bought a new position in shares of AeroVironment during the fourth quarter valued at about $26,000. Hilton Head Capital Partners LLC purchased a new position in AeroVironment during the fourth quarter worth about $26,000. Whittier Trust Co. of Nevada Inc. purchased a new position in AeroVironment during the first quarter worth about $28,000. Finally, Hazlett Burt & Watson Inc. grew its position in AeroVironment by 90.0% in the 4th quarter. Hazlett Burt & Watson Inc. now owns 133 shares of the aerospace company’s stock worth $32,000 after purchasing an additional 63 shares in the last quarter. 86.38% of the stock is owned by hedge funds and other institutional investors.

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.