AeroVironment (NASDAQ:AVAV) Trading Down 1.4% – Here’s Why

AeroVironment, Inc. (NASDAQ:AVAV)’s share price traded down 1.4% during trading on Friday . The stock traded as low as $300.00 and last traded at $307.75. 1,013,487 shares changed hands during mid-day trading, a decline of 49% from the average session volume of 1,973,172 shares. The stock had previously closed at $312.12.

Key AeroVironment News

Here are the key news stories impacting AeroVironment this week:

• Positive Sentiment: Product/market development — AeroVironment launched a new mission specialist called “Wraith,” which could expand its product lineup and address new defense use cases if it wins contracts or follow‑on orders. AeroVironment (AVAV) launches mission specialist Wraith
• Neutral Sentiment: Market note — Coverage summary noting AVAV’s recent intraday decline and trading context; useful for short‑term price movement context but contains no new company‑specific catalyst. AeroVironment (AVAV) Stock Falls Amid Market Uptick: What Investors Need to Know
• Neutral Sentiment: Commentary repeat — an outlet republishing Jim Cramer commentary; restates market views but adds little new information beyond broader sentiment on valuation. Jim Cramer Considers AeroVironment “Incredibly Expensive at These Levels” (InsiderMonkey)
• Negative Sentiment: Contract/operational disruption — a stop‑work order was issued related to SCAR antennas, introducing execution risk, schedule delays and potential revenue/penalty exposure if unresolved. That type of operational hit tends to weigh on defense suppliers. Stop Work Order Issued To AeroVironment For SCAR Antennas
• Negative Sentiment: High‑profile negative commentary — Jim Cramer called AVAV “incredibly expensive,” a view that can amplify selling pressure when echoed across media and retail channels. Jim Cramer Considers AeroVironment “Incredibly Expensive at These Levels”
• Negative Sentiment: Contract uncertainty — reporting that a revised U.S. military contract prompted a share crash this week. Contract revisions can reduce near‑term revenue visibility and raise concerns about margins or delivery timing. Why Shares of AeroVironment Stock Crashed This Week
• Negative Sentiment: Investor litigation risk — Pomerantz law firm announced an investigation on behalf of AVAV investors, increasing legal and disclosure risk that can pressure shares. INVESTOR ALERT: Pomerantz Law Firm Investigates Claims On Behalf of Investors of Aerovironment, Inc. – AVAV
• Negative Sentiment: Additional securities‑law probe — Kaplan Fox also alerted investors to an investigation into possible securities violations, compounding legal overhang. Kaplan Fox Alerts Investors of AeroVironment, Inc. (AVAV) to an Investigation of Possible Securities Law Violations

Analyst Ratings Changes

Several equities analysts have recently issued reports on the stock. BTIG Research reaffirmed a “buy” rating and issued a $415.00 price objective on shares of AeroVironment in a research note on Monday, November 24th. Robert W. Baird lifted their price target on shares of AeroVironment from $267.00 to $350.00 and gave the stock an “outperform” rating in a research report on Wednesday, October 1st. Zacks Research upgraded AeroVironment from a “strong sell” rating to a “hold” rating in a research report on Tuesday, December 2nd. Piper Sandler reissued an “overweight” rating on shares of AeroVironment in a research note on Wednesday, December 10th. Finally, Weiss Ratings reaffirmed a “sell (d+)” rating on shares of AeroVironment in a research report on Monday, December 29th. Two research analysts have rated the stock with a Strong Buy rating, eighteen have issued a Buy rating, one has assigned a Hold rating and one has issued a Sell rating to the stock. According to data from MarketBeat, the stock presently has an average rating of “Moderate Buy” and an average price target of $375.41.

AeroVironment Stock Performance

The firm’s 50 day simple moving average is $286.75 and its 200-day simple moving average is $293.21. The company has a market capitalization of $15.36 billion, a price-to-earnings ratio of -246.20, a P/E/G ratio of 4.55 and a beta of 1.16. The company has a debt-to-equity ratio of 0.16, a quick ratio of 4.29 and a current ratio of 5.08.

AeroVironment (NASDAQ:AVAV) last posted its quarterly earnings results on Tuesday, December 9th. The aerospace company reported $0.44 earnings per share for the quarter, missing the consensus estimate of $0.87 by ($0.43). AeroVironment had a negative net margin of 5.08% and a positive return on equity of 3.42%. The business had revenue of $472.51 million for the quarter, compared to analyst estimates of $466.16 million. During the same period in the previous year, the firm posted $0.47 earnings per share. The firm’s quarterly revenue was up 150.7% on a year-over-year basis. AeroVironment has set its FY 2026 guidance at 3.400-3.550 EPS. Analysts expect that AeroVironment, Inc. will post 3.38 EPS for the current year.

Insider Buying and Selling

In other AeroVironment news, CAO Brian Charles Shackley sold 200 shares of AeroVironment stock in a transaction on Tuesday, December 30th. The shares were sold at an average price of $250.92, for a total transaction of $50,184.00. Following the completion of the sale, the chief accounting officer owned 5,994 shares of the company’s stock, valued at $1,504,014.48. This trade represents a 3.23% decrease in their position. The sale was disclosed in a filing with the SEC, which is available at this hyperlink. Also, CFO Kevin Patrick Mcdonnell sold 999 shares of the company’s stock in a transaction on Monday, January 12th. The stock was sold at an average price of $367.60, for a total transaction of $367,232.40. Following the completion of the transaction, the chief financial officer directly owned 17,301 shares in the company, valued at $6,359,847.60. This trade represents a 5.46% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Over the last three months, insiders sold 3,223 shares of company stock worth $1,092,503. 0.81% of the stock is owned by company insiders.

Institutional Inflows and Outflows

Several hedge funds have recently bought and sold shares of AVAV. United Services Automobile Association acquired a new stake in shares of AeroVironment during the 1st quarter valued at about $225,000. Sowell Financial Services LLC acquired a new stake in AeroVironment in the second quarter valued at approximately $267,000. Park Avenue Securities LLC bought a new stake in AeroVironment in the second quarter worth approximately $467,000. GAMMA Investing LLC increased its stake in shares of AeroVironment by 27.5% during the 2nd quarter. GAMMA Investing LLC now owns 863 shares of the aerospace company’s stock worth $246,000 after purchasing an additional 186 shares during the last quarter. Finally, Fifth Third Bancorp raised its holdings in shares of AeroVironment by 3,191.8% during the 2nd quarter. Fifth Third Bancorp now owns 2,798 shares of the aerospace company’s stock valued at $797,000 after purchasing an additional 2,713 shares in the last quarter. 86.38% of the stock is owned by institutional investors and hedge funds.

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.