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Operationally proven laser weapon system receives first international purchase order valued at more than $50 million, highlighting growing global demand for scaled directed energy defense for counter-UAS missions.

ARLINGTON, Va.--(BUSINESS WIRE)--AeroVironment, Inc. (“AV”) (NASDAQ: AVAV) today announced it has received its first international purchase order for the LOCUST® Laser Weapon System. The landmark, first of its kind direct commercial sale (DCS) order, valued at more than $50 million, marks a significant milestone in the global adoption of AV’s directed energy counter‑drone capabilities.

The landmark, first of its kind direct commercial sale (DCS) order, valued at more than $50 million, marks a significant milestone in the global adoption of AV’s directed energy counter‑drone capabilities.

Share The purchase order covers an initial delivery of AV’s mission‑proven LOCUST systems and associated support. The award follows AV's recent selection by the U.S. Army for a $464.8 million Enduring-High Energy Laser (E-HEL) contract, representing the first-ever production contract for high energy laser weapon systems in United States history.

“This first international order signals increasing global recognition that high‑energy laser weapon systems are essential to modern air defense,” said Wahid Nawabi, President, Chairman and Chief Executive Officer at AV. “The threat from low-cost drones is global and has fundamentally changed the economics of warfare. LOCUST gives our customers an affordable, scalable way to defeat drone threats at scale without relying solely on expensive interceptors.”

“This first international order for LOCUST is a pivotal milestone in our directed energy roadmap,” said Mary Clum, President of Space, Cyber, and Directed Energy at AV. “We are not only accelerating the fielding of an operationally proven laser weapon system, we are also establishing a foundation for sustained and expanded international adoption to provide layered innovation in counter‑drone defense.”

To support the growing demand for LOCUST, AV recently announced it is investing more than $30 million to expand its Albuquerque, New Mexico manufacturing campus, creating a vertically integrated production hub to scale domestic and international production of directed energy, space, and advanced defense technologies while also adding more than 450 jobs and generating over $670 million in economic impact.

In addition to this latest international award, LOCUST has helped drive first‑of‑their‑kind milestones for U.S. directed energy, from achieving the military’s first acknowledged laser kills on the southern border and defeating multiple drones from the deck of the USS George H. W. Bush, to successful integrations on Infantry Squad Vehicles and Joint Light Tactical Vehicles under the AMP‑HEL initiative and multiple high‑profile live‑fire events at White Sands Missile Range observed by military and defense leaders, including Secretary of War Pete Hegseth who recently operated the system at White Sands.

The Federal Aviation Administration and the Department of War have also signed a landmark safety agreement creating a pathway for LOCUST to operate safely in U.S. airspace, following FAA review of the system’s domestic deployment.

These achievements firmly establish LOCUST as one of the most operationally proven laser weapon systems in the American arsenal.

MORE ON LOCUST

LOCUST is an operationally proven high-energy laser weapon system that combines advanced sensing, tracking and directed-energy defeat capabilities against Group 1-3 unmanned aircraft systems and other aerial threats. The modular system supports fixed-site, palletized and mobile deployment and can integrate with multiple cueing sensors and command-and-control (C2) networks.

Recently featured on CBS News’ 60 Minutes, the operationally‑proven LOCUST laser weapon system delivers engagements for less than $10 per shot and provides sustained defense unconstrained by the reload limitations of traditional air defense systems, offering a truly transformative solution for modern air defense.

LOCUST serves as a central piece of AV’s Halo_Shield™ modular layered air defense platform, providing best‑in‑breed detection, surveillance, and directed energy defeat capability alongside AV’s Titan® C‑UAS system and Freedom Eagle™‑1 next‑generation missile. Halo_Shield is an interoperable, distributed, and layered system that detects, tracks, and defeats drones, swarms, and other evolving aerial threats.

About AV

AeroVironment (“AV”) (NASDAQ: AVAV) is a defense technology leader delivering integrated capabilities across air, land, sea, space, and cyber. The Company develops and deploys autonomous systems, loitering munitions, counter‑UAS technologies, space‑based platforms, directed energy systems, and cyber and electronic warfare capabilities—built to meet the mission needs of today’s warfighter and tomorrow’s conflicts. At the core of these technologies lies AV_Halo™, a modular, mission‑ready suite of AI‑powered software tools that empowers warfighters and enables full‑battlefield dominance: detect, decide, deliver. With a national manufacturing footprint and a deep innovation pipeline, AV delivers proven systems and future‑defining capabilities at speed, scale, and operational relevance. For more information, visit www.avinc.com.

Safe Harbor Statement

Certain statements in this press release may constitute “forward‑looking statements” as defined in the Private Securities Litigation Reform Act of 1995. These statements are based on current expectations, forecasts, and assumptions that involve risks and uncertainties, which could cause actual results to differ materially. Factors that may cause such differences include, but are not limited to, our ability to perform under existing contracts and obtain new ones; regulatory changes; competitor activities; market growth; product development challenges; and general economic conditions. For a more detailed discussion of these risks, please refer to AeroVironment’s filings with the Securities and Exchange Commission. We undertake no obligation to update forward‑looking statements as a result of new information or future events.

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AeroVironment, Inc. (“AV”), a global defense technology leader, today announced that its MacCready Works advanced solutions team has been awarded a contract for the co-design and co-manufacture of three Mars helicopters for NASA’s SkyFall mission with the agency’s Jet Propulsion Laboratory (JPL), taking the project from future concept to a formally funded Mars science mission and a path toward launch in late 2028.

This press release features multimedia. View the full release here: https://www.businesswire.com/news/home/20260827821137/en/

AV's MacCready Works will design and develop three Mars helicopters for NASA's SkyFall mission, supporting a planned launch in late 2028. (Photo/AV)

SkyFall is the first mission to fly a team of three instrument-carrying helicopters on Mars, demonstrating a fully integrated system capable of autonomous atmospheric entry and powered descent.

AV and JPL are building on their experience as co‑developers of NASA’s Ingenuity Mars Helicopter, which completed 72 historic flights at Jezero Crater. Together, the teams are evolving Ingenuity‑derived designs into SkyFall: an active NASA mission under the Science Mission Directorate, optimized to deliver high‑value science for the Mars Exploration Program.

“With Ingenuity, AV and JPL proved we could fly on Mars. Now, with SkyFall, we’re taking AV’s high‑volume uncrewed systems mindset into planetary exploration and showing that Mars helicopters can be built as a repeatable product line, not a one‑off delivery,” said Jeff Rodrian, Head of MacCready Works, AV’s advanced research and development organization. “It’s also a powerful example of public‑private partnership; AV and JPL building on Ingenuity’s success to create a helicopter platform that NASA can apply to many different science missions over multiple launch windows.”

AV is leading the design and production of key elements of the SkyFall helicopters, including rotor systems, airframes, structures, avionics integration, and accommodation for multiple science payloads. JPL is leading the design and development of the power system, electronics, algorithms and software. The helicopters will carry a JPL‑designed ground‑penetrating radar (GPR) to look below the Martian surface, delivering new insight into shallow subsurface ice, central to both Mars science and future human exploration.

New to this mission is a new “SkyFall maneuver.” This technique releases the three helicopters directly from the carrier spacecraft into the Martian atmosphere, where they separate, deploy, descend, and land under their own power. By eliminating the need for a single-use lander stage or a host rover (as Ingenuity required with Perseverance), this approach significantly reduces the technical and financial risk of getting to the Martian surface.

JPL’s GPR instruments carried by the helicopters are designed to map subsurface ice at fine spatial resolution, enabling more precise assessment of where water ice is located and implications for science and future human exploration. In addition, each aircraft will host instruments that will provide data on the Martian atmosphere, dust particle transport, and other key environmental processes.

"Just like here on Earth, Mars helicopters can cover distance quickly and can go places that might be impossible to reach by ground,” said Will Pomerantz, Head of Space Ventures at AV. “The three SkyFall helicopters are going to show us parts of Mars we’ve never seen before and return mountains of data for scientists to pour over. The science community may guide these helicopters to places where the ground penetrating radar can map out the precise location of ice below the Martian surface.”

NASA currently plans a launch window in November 2028, followed by a cruise to Mars, with arrival timing tuned to local time, dust conditions, and power needs.

About AV

AeroVironment (“AV”) (NASDAQ: AVAV) is a defense technology leader delivering integrated capabilities across air, land, sea, space, and cyber. The Company develops and deploys autonomous systems, loitering munitions, counter-UAS technologies, space-based platforms, directed energy systems, and cyber and electronic warfare capabilities—built to meet the mission needs of today’s warfighter and tomorrow’s conflicts. At the core of these technologies lies AV_Halo™, a modular, mission-ready suite of AI-powered software tools that empowers warfighters and enables full-battlefield dominance: detect, decide, deliver. With a national manufacturing footprint and a deep innovation pipeline, AV delivers proven systems and future-defining capabilities at speed, scale, and operational relevance. For more information, visit www.avinc.com.

Safe Harbor Statement

Certain statements in this press release may constitute "forward-looking statements" as defined in the Private Securities Litigation Reform Act of 1995. These statements are based on current expectations, forecasts, and assumptions that involve risks and uncertainties, which could cause actual results to differ materially. Factors that may cause such differences include, but are not limited to, our ability to perform under existing contracts and obtain new ones; regulatory changes; competitor activities; market growth; product development challenges; and general economic conditions. For a more detailed discussion of these risks, please refer to AeroVironment’s filings with the Securities and Exchange Commission. We undertake no obligation to update forward-looking statements as a result of new information or future events.

View source version on businesswire.com: https://www.businesswire.com/news/home/20260827821137/en/

BlackRock Inc. purchased a new stake in shares of AeroVironment, Inc. (NASDAQ:AVAV – Free Report) during the second quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission. The firm purchased 3,480,740 shares of the aerospace company’s stock, valued at approximately $574,566,000. BlackRock Inc. owned approximately 6.88% of AeroVironment at the end of the most recent quarter.

Several other institutional investors and hedge funds have also modified their holdings of AVAV. Norges Bank acquired a new position in AeroVironment during the fourth quarter worth $94,655,000. Swedbank AB raised its holdings in AeroVironment by 22,773.4% during the fourth quarter. Swedbank AB now owns 261,214 shares of the aerospace company’s stock valued at $63,185,000 after buying an additional 260,072 shares in the last quarter. Marshall Wace LLP raised its holdings in AeroVironment by 4,770.1% during the fourth quarter. Marshall Wace LLP now owns 260,207 shares of the aerospace company’s stock valued at $62,941,000 after buying an additional 254,864 shares in the last quarter. Heard Capital LLC lifted its position in shares of AeroVironment by 48.4% in the fourth 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 last quarter. Finally, Franklin Resources Inc. lifted its position in shares of AeroVironment by 3,880.9% in the third quarter. Franklin Resources Inc. now owns 206,607 shares of the aerospace company’s stock worth $65,058,000 after buying an additional 201,417 shares during the last quarter. Institutional investors and hedge funds own 86.38% of the company’s stock.

Wall Street Analysts Forecast Growth A number of research analysts have recently commented on AVAV shares. Citizens Jmp lowered their price objective on AeroVironment from $350.00 to $230.00 and set a “market outperform” rating on the stock in a report on Friday, July 10th. KeyCorp restated an “overweight” rating on shares of AeroVironment in a report on Tuesday, July 28th. Citigroup reaffirmed a “market outperform” rating on shares of AeroVironment in a research report on Tuesday, July 28th. Jefferies Financial Group decreased their target price on AeroVironment from $305.00 to $229.00 and set a “buy” rating for the company in a research report on Wednesday, July 1st. Finally, Wolfe Research downgraded AeroVironment to a “buy” rating in a report on Tuesday, June 30th. Two analysts have rated the stock with a Strong Buy rating, eighteen have issued a Buy rating, three have assigned a Hold rating and one has issued a Sell rating to the company. According to MarketBeat.com, the company presently has an average rating of “Moderate Buy” and a consensus price target of $266.68.

View Our Latest Stock Analysis on AeroVironment Insider Activity at AeroVironment In other AeroVironment news, Director Stephen F. Page sold 250 shares of the firm’s stock in a transaction that occurred on Monday, August 17th. The stock was sold at an average price of $191.98, for a total value of $47,995.00. Following the sale, the director owned 48,503 shares of the company’s stock, valued at $9,311,605.94. This trade represents a 0.51% decrease in their position. The transaction was disclosed in a filing with the SEC, which is available 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 AeroVironment stock in a transaction that occurred on Friday, August 14th. The stock was sold at an average price of $201.86, for a total value of $41,381.30. Following the completion of the transaction, the chief accounting officer directly owned 7,888 shares in the company, valued at approximately $1,592,271.68. This represents a 2.53% decrease in their ownership of the stock. 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 90 days, insiders have sold 705 shares of company stock valued at $132,979. 0.79% of the stock is owned by corporate insiders.

Key Headlines Impacting AeroVironment Here are the key news stories impacting AeroVironment this week:

Positive Sentiment: New U.S. drone tariffs could benefit AVAV. President Trump’s August 13 proclamation imposes broad tariffs on foreign drone imports, potentially steering demand toward U.S. manufacturers such as AeroVironment and supporting domestic pricing, production and market share. Trump’s New Drone Tariffs Give AeroVironment, Kratos and Red Cat a Policy Tailwind Positive Sentiment: Greek joint venture expands AeroVironment’s European footprint. AV Eagle, formed with Eyeonix SA, will establish localized production and technology capabilities in Greece after receiving foreign-investment approval. The venture could improve access to European defense programs, strengthen supply-chain resilience and position AVAV to participate in the region’s growing counter-drone market. AeroVironment to Establish Industrial Presence in Greece Through AV Eagle Positive Sentiment: Propulsion investments support longer-term growth. AeroVironment is expanding electric, hybrid and unmanned-aircraft propulsion capabilities, potentially broadening its addressable markets beyond current defense platforms. Clear Street also initiated coverage with a Buy rating, adding to generally favorable analyst sentiment. Can AeroVironment’s Propulsion Capabilities Support Future Growth? Neutral Sentiment: Recent operating momentum remains strong, but valuation is demanding. The latest reported quarter included $641.6 million in revenue, up 133.3% year over year, and EPS of $1.84 versus a $1.47 consensus estimate. However, AVAV remains unprofitable on a trailing basis, trades below its 200-day moving average and carries a high PEG ratio, leaving the stock sensitive to execution and future-growth expectations. Negative Sentiment: Shareholder-law-firm investigations add headline risk. Berger Montague and Grabar Law Office are investigating whether AeroVironment’s board properly disclosed potential competition for U.S. Space Force SCAR program work. The claims are allegations, but any litigation, disclosure findings or related costs could pressure investor confidence. Berger Montague investigates AeroVironment’s board Negative Sentiment: A director’s stock sale is a minor cautionary signal. Director Stephen Page sold 250 shares worth approximately $48,000 under a pre-arranged Rule 10b5-1 plan. Because the sale was small relative to his remaining holdings and scheduled in advance, its direct impact is likely limited. AeroVironment Price Performance AVAV stock opened at $160.22 on Monday. The company has a debt-to-equity ratio of 0.17, a current ratio of 4.30 and a quick ratio of 3.59. AeroVironment, Inc. has a 52-week low of $135.20 and a 52-week high of $417.86. The company has a 50-day moving average of $161.80 and a two-hundred day moving average of $190.00. The stock has a market capitalization of $8.14 billion, a price-to-earnings ratio of -43.54, a price-to-earnings-growth ratio of 5.45 and a beta of 1.41.

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 (EPS) for the quarter, beating the consensus estimate of $1.47 by $0.37. The company had revenue of $641.62 million for 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 firm’s revenue was up 133.3% compared to the same quarter last year. During the same period last year, the business posted $1.61 earnings per share. AeroVironment has set its FY 2027 guidance at 3.020-3.340 EPS. As a group, equities research analysts anticipate that AeroVironment, Inc. will post 3.26 EPS for the current year.

AeroVironment Profile (Free Report)

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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The war in Ukraine taught the U.S. Army many lessons, including the value of drone technology, and AeroVironment NASDAQ: AVAV is well-positioned to benefit.

While enemies struggle to get materiel in place, AVAV's drones are in the sky, hunting them down in real time and providing actionable intelligence and the resulting action, as evidenced by the term Loitering Munitions System (LMS).

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The critical benefit of this technology is that the men and women operating it stay far from danger while reaching military objectives.

AeroVironment Today

$172.27 -1.87 (-1.07%)

As of 11:37 AM Eastern

This is a fair market value price provided by Massive. Learn more.

$135.20▼

$417.86$266.68

The key takeaway for investors is that AeroVironment is emerging from a transitional year and is poised for sustained strength in the coming years.

The company has a solid portfolio of defense franchises, a massive backlog, and government protections that benefit the entire industry.

With $1.2 billion in funded backlog, AeroVironment only needs to execute on its orders to outperform its guidance, and the guidance is robust.

Backed by recent acquisitions, including BlueHalo, the company has transitioned into a comprehensive defense contractor focused on autonomous systems, space, cyber, and directed energy.

AeroVironment Has Numerous Catalysts in 2026Directed energy is a catalyst for drone stocks this year, as it is central to counter-drone technology. The concept is simple: drone systems detect and locate incoming attacks, then neutralize them with directed-energy pulses and lasers. AeroVironment’s contributions include its LOCUST Laser Weapon System and Halo-Shield. LOCUST is a ground-based device that detects and neutralizes incoming drones; Halo-Shield is a highly effective, grid-based counter-drone system that can be deployed across domains, including land and sea, and incorporates features such as unmanned aircraft and LOCUST counter-drone technology.

Another catalyst for AVAV is a new partnership with Applied Intuition. Applied Intuition's technology enables AeroVironment’s Mayhem 10 aircraft to operate as a swarm, controlled by a single operator. The setup supports numerous configurations, including hunter-killer scenarios in which a surveillance-equipped drone is paired with an LMS. In this setup, operators can find and eliminate targets in real time, doing jobs once handled by teams of pilots in multimillion-dollar helicopters. AVAV drones cost just thousands at the low end and well below $1 million at the high end, creating an obvious cost differential that cannot be ignored.

AeroVironment Analysts and Institutions Signal Upside PotentialAnalyst activity since AeroVironment’s earnings release and guidance update for its fiscal Q4 has been lackluster, as they had expected the report to be strong.

However, as tepid as the several price target reductions appear, they were offset by more reaffirmed ratings, and the general sentiment underscores the opportunity. More importantly, the activity strengthened AVAV’s price floor, with the low end unchanged at $166, aligning with the critical support target. With consensus forecasting a 50% upside, the only thing lacking for this market to complete its reversal is a solid catalyst, and one of those, if not more, is rolling down the pipe.

Analysts at Piper Sandler found signals in commentary from an industry event this summer. In their view, those signals point to active negotiations for AeroVironment’s LOCUST systems that may result in an order. They estimate the deal at about $500 million, a significant win for the company.

Institutional activity is another signal highlighting AVAV’s opportunity. Institutions show strong confidence in AVAV's outlook, owning more than 85% of the stock and accumulating aggressively. MarketBeat data shows buying outpacing selling by more than $2 to $1 over the trailing 12 months, with activity ramping in 2026. Early Q3 activity is particularly robust, with institutions setting an all-time high for buying—half the quarter still to go and virtually no selling.

AeroVironment Stock Nears a Key Technical Reversal LevelWith this in place, investors can assume AVAV shares have a solid floor near $140, will likely be bought on dips, produce rebounds when support targets are reached, and complete their technical reversal in time. The critical resistance level is the top of the recent trading range, near $200 on the weekly chart, and a likely trigger for capital inflow if it breaks.

AVAV’s biggest risks include margin pressures and lawsuits linked to the lost SCAR contract. Margins were weaker than expected due to increased R&D, an expense that has been paying off in many ways. The lost SCAR contract isn’t an operational challenge anymore, but it is a problem for early investors.

The company faces class-action lawsuits alleging false statements that will impact cash flow with legal fees and bad PR for the foreseeable future. The impairment to the balance sheet is also substantial, though non-cash. Given time, the company will recover—and that recovery is already underway. The balance sheet provides little cause for worry, although the impact of acquisitions is clearly visible.

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In the latest trading session, AeroVironment (AVAV - Free Report) closed at $150.35, marking a +1.01% move from the previous day. This change outpaced the S&P 500's 0.14% loss on the day. Meanwhile, the Dow lost 0.01%, and the Nasdaq, a tech-heavy index, lost 0.57%.

The stock of maker of unmanned aircrafts has fallen by 0.16% in the past month, leading the Aerospace sector's loss of 5.8% and undershooting the S&P 500's gain of 0.25%.

Market participants will be closely following the financial results of AeroVironment in its upcoming release. The company's upcoming EPS is projected at $0.34, signifying a 6.25% increase compared to the same quarter of the previous year. Meanwhile, our latest consensus estimate is calling for revenue of $474.57 million, up 4.38% from the prior-year quarter.

Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $3.26 per share and revenue of $2.17 billion, indicating changes of -1.51% and +9.78%, respectively, compared to the previous year.

Additionally, investors should keep an eye on any recent revisions to analyst forecasts for AeroVironment. These revisions help to show the ever-changing nature of near-term business trends. Consequently, upward revisions in estimates express analysts' positivity towards the business operations and its ability to generate profits.

Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.

The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has moved 19.7% lower. Right now, AeroVironment possesses a Zacks Rank of #3 (Hold).

Digging into valuation, AeroVironment currently has a Forward P/E ratio of 45.66. Its industry sports an average Forward P/E of 37.24, so one might conclude that AeroVironment is trading at a premium comparatively.

It's also important to note that AVAV currently trades at a PEG ratio of 5.06. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. Aerospace - Defense Equipment stocks are, on average, holding a PEG ratio of 2.3 based on yesterday's closing prices.

The Aerospace - Defense Equipment industry is part of the Aerospace sector. With its current Zacks Industry Rank of 86, this industry ranks in the top 35% of all industries, numbering over 250.

The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

To follow AVAV in the coming trading sessions, be sure to utilize Zacks.com.

Modern infantry doctrine is undergoing a rapid, radical rewrite in front of investors. If investors watch how global conflicts are playing out today, they see a clear departure from heavy, slow-moving legacy armor. The physical economy of defense is heavily shifting toward agile, autonomous platforms. Militaries across the globe are realizing that expensive tanks and traditional ground vehicles are highly vulnerable to cheap, precision-guided munitions. This realization is forcing defense departments to rethink how they allocate their capital, prioritizing systems that provide asymmetric advantages on the battlefield.

For investors keeping a close eye on defense spending, this structural pivot opens a unique window. Defense budgets are actively shifting capital away from traditional heavy machinery and toward autonomous robotics and advanced loitering munitions. Investors are witnessing a generational recapitalization, where software and adaptable hardware are replacing heavy steel. Understanding this macroeconomic backdrop is critical because it dictates where government funding will flow for the next decade.

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Pinpointing the Premier Autonomous Pure-PlayAeroVironment Today

$148.98 +6.38 (+4.47%)

As of 03:59 PM Eastern

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52-Week Range$135.20▼

$417.86Price Target$266.68

The United States military is not ignoring this global shift. The Pentagon's Replicator initiative encapsulates this transformation, mandating the rapid deployment of thousands of attritable, uncrewed systems designed to swarm and overwhelm adversaries in contested environments. The mandate is clear, and the defense department is seeking commercial partners capable of delivering reliable technology at an unprecedented scale.

Right at the intersection of this capital rotation sits AeroVironment NASDAQ: AVAV, a defense pure-play specializing in tactical uncrewed aerial systems. While prime contractors build billion-dollar fighter jets, AeroVironment builds the tactical, autonomous tools that are actually deployed by the modern infantry battalion on a daily basis. The market has heavily discounted AeroVironment this year, but underlying fundamentals and recent contract wins suggest a severe mispricing. When a structural shift in the physical economy meets a heavily misunderstood asset, investor analysts pay attention.

Tactical Upgrades: The MOSA Moat and Recurring RevenueOn July 20, 2026, AeroVironment secured a definitive $117.3 million Basic Ordering Agreement under the U.S. Army's Long Range Reconnaissance program. This initial full-rate procurement order covers 82 P550 autonomous Group 2 eVTOL electric vertical take-off and landing systems.

While a nine-figure contract provides excellent revenue visibility, the real value lies in the technology the Army just validated. The P550 architecture relies heavily on a modular open systems approach, widely known as MOSA in the defense sector. In simple terms, MOSA allows military operators in the field to hot-swap payloads, batteries, and sensors in under five minutes without specialized tools. Imagine operating a platform that lets you switch from a reconnaissance camera to an electronic warfare jammer right in the middle of a tactical operation.

This level of adaptability creates a significant economic moat for AeroVironment. When the military adopts a MOSA-compliant system, it locks in a long-term relationship with the manufacturer. Upgrades happen via new payloads rather than entirely new airframes, ensuring high-margin, recurring revenue streams for AeroVironment over the lifecycle of the P550 fleet.

The financial data backs up this aggressive expansion. In fiscal Q4 2026, AeroVironment delivered an impressive 133.3% year-over-year revenue expansion, printing $642 million on the top line. More importantly, AeroVironment maintained a healthy 19% EBITDA margin during that high-growth phase. AeroVironment currently has a funded government backlog of $1.2 to $2.7 billion. The demand for these systems is not theoretical; it is already contracted and awaiting delivery.

Turbulence and Tailwinds: Accumulation in the Drop ZoneIf AeroVironment is growing revenue by triple digits and securing major Army contracts, investors might wonder why the stock is down over 40% year-to-date, trading near $142 after opening the year above $241.

AeroVironment, Inc. (AVAV) Price Chart for Tuesday, July, 21, 2026

The aggressive drawdown stems from a localized regulatory headwind. In early 2026, the U.S. Space Force reopened the $1.7 billion Satellite Communication Augmentation Resource program, commonly known as SCAR, creating uncertainty around AeroVironment’s expected sole-source position on the program. Predictably, this sparked analyst downgrades regarding the 2030 long-term financial targets and triggered a wave of procedural class-action lawsuits ahead of a July 27 lead plaintiff deadline.

Markets hate uncertainty, and algorithmic trading models aggressively sold the news. However, this legal and procedural noise masks the fundamental strength of the core tactical drone business. The loss of single-vendor status on one space program does not negate the overwhelming demand for AeroVironment's ground-based and aerial tactical systems.

Wall Street analysts are beginning to spot the discrepancy between the stock price and the underlying business fundamentals. On July 16, Raymond James upgraded AeroVironment from Market Perform to Outperform, setting a $210 price target. The firm cited the accelerating defense backlog and a highly favorable risk-to-reward profile following the severe year-to-date pricing compression.

Institutions are quietly using the current weakness to accumulate shares. Recent filings show total shares owned by institutional investors increased by nearly 30% over the last quarter. When asset managers increase their positions by that magnitude during a 40% drawdown, it signals quiet, calculated accumulation. Options chain data currently reveals a decisively bullish put-to-call ratio of 0.60, indicating that derivatives traders are heavily positioning for an upside reversal rather than further downside.

Positioning for the Tactical Tech BoomThe broader unmanned aerial systems sector features incredibly varied risk profiles. Pure-play competitors like Red Cat Holdings NASDAQ: RCAT trade on extreme top-line momentum, generating 849% year-over-year revenue growth, but they operate with deeply negative free cash flow and low gross margins.

Others, like Kratos Defense & Security Solutions NASDAQ: KTOS, offer high-beta exposure driven by target drones and attritable jet systems. Meanwhile, traditional prime contractors like Northrop Grumman NYSE: NOC offer stability and a dividend yield, but lack the explosive growth potential of a smaller, agile tech firm.

AeroVironment occupies a unique middle ground. AeroVironment is scaling rapidly but still experiencing growing pains. Trailing net margins sit at -9%, reflecting the heavy capital expenditures required to expand manufacturing capacity to meet its multibillion-dollar backlog. AeroVironment must successfully transition from aggregating government contracts to delivering durable, bottom-line profitability.

The $117.3 million Army contract proves that the Department of Defense views AeroVironment as a premier supplier capable of meeting modern warfare demands. As global military budgets pivot away from legacy armor toward intelligent, scalable drone technologies, companies with verified government backlogs are positioned to capture significant market share. Investors with a higher risk tolerance might consider adding AeroVironment to their watchlist as the enterprise continues to convert its impressive backlog into realized revenue.

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NEW YORK--(BUSINESS WIRE)--Today, prominent investor rights law firm Bernstein Litowitz Berger & Grossmann LLP (“BLB&G”) filed a class action in the U.S. District Court for the District of Delaware alleging violations of the federal securities laws by AeroVironment, Inc. (“AeroVironment” or the “Company”) and certain of the Company’s current senior executives (collectively, “Defendants”). The action is brought on behalf of all investors who purchased or otherwise acquired AeroVironment common stock beginning at 4:30 PM ET on June 24, 2025, through June 18, 2026, inclusive (the “Class Period”). This case is related to a previously filed securities class action pending against AeroVironment captioned Norrell v. AeroVironment, Inc., No. 1:26-cv-1429 (E.D. Va. filed May 26, 2026) (“Norrell”).

BLB&G filed this action on behalf of its client, City Pension Fund for Firefighters and Police Officers in the City of Miami Beach, and the case is captioned City Pension Fund for Firefighters and Police Officers in the City of Miami Beach v. AeroVironment, Inc., No. 26-cv-00875 (D. Del.). The complaint is based on an extensive investigation and a careful evaluation of the merits of this case. A copy of the complaint is available on BLB&G’s website by clicking here.

AeroVironment’s Alleged Fraud

AeroVironment is a defense technology provider across air, land, sea, space, and cyber. Shortly before the Class Period, AeroVironment acquired BlueHalo, LLC (“BlueHalo”), another defense technology company with a leading role in the U.S. Department of Defense’s (“DoD”) Satellite Communications Augmentation Resource (“SCAR”) program. Through SCAR, BlueHalo had been awarded a contract valued at approximately $1.7 billion to develop military satellite command and control stations known as Broad Area Deployable Ground Terminal Enabling Resilient Communications (“BADGERs”).

The claims against AeroVironment and certain of its executives arise from misrepresentations relating to the SCAR contract. Throughout the Class Period, Defendants repeatedly touted the SCAR program as central to AeroVironment’s growth prospects. Defendants told investors that the Company had “won” the SCAR contract, that it was “locked in,” that the customer was “asking for more,” and that the Company was “very much on track” to ramp revenue and improve margins as more BADGER systems moved into production. In truth, AeroVironment’s agreement with the U.S. DoD to produce BADGERs for the SCAR program was not secure, as AeroVironment was facing a significant threat of competition from other vendors for the work it was performing under that agreement, and there was a material risk that the Company would not continue to deliver products for the SCAR program, or would do so only on a significantly reduced basis.

The truth began to emerge on January 20, 2026, when AeroVironment announced that the U.S. Government had issued a stop work order on the SCAR contract. As a result of this disclosure, the price of AeroVironment common stock declined by $61.97 per share, or 16%. Then, on March 2, 2026, industry publication Space News reported that the U.S. DoD was reopening the SCAR program and soliciting proposals from vendors other than AeroVironment because the Space Force was “reassessing how to move forward.” That news caused the price of AeroVironment common stock to decline by $43.93 per share, or 17%.

On March 10, 2026, AeroVironment revealed that the U.S. Government intended to terminate the SCAR agreement, while allowing AeroVironment to compete for future work under the program. The Company also reported a $151.3 million goodwill impairment charge in the Space reporting unit triggered by the SCAR stop work order. These disclosures caused the price of AeroVironment common stock to decline by $13.84 per share, or 6%. Then, on June 22, 2026, AeroVironment disclosed that its previously issued financial statements should no longer be relied upon because the Company had understated the goodwill impairment charge by $89.4 million, or 59%. AeroVironment further disclosed that the restatement resulted from a newly identified material weakness in internal control over financial reporting and that its disclosure controls and procedures as of January 31, 2026, were ineffective. As a result of these disclosures, the price of AeroVironment common stock declined by $18.28 per share, or 11%.

The filing of this action does not alter the previously established deadline to seek appointment as Lead Plaintiff. Pursuant to the May 27, 2026, notice published in connection with the Norrell action, under the Private Securities Litigation Reform Act of 1995, investors who purchased AeroVironment common stock during the Class Period may, no later than July 27, 2026, seek to be appointed as Lead Plaintiff for the Class. Any member of the proposed Class may seek to serve as Lead Plaintiff through counsel of their choice, or may choose to do nothing and remain a member of the proposed Class.

If you wish to discuss this action or have any questions concerning this notice or your rights or interests, please contact Scott R. Foglietta of BLB&G at 212-554-1903, or via e-mail at [email protected].

About BLB&G

BLB&G is widely recognized worldwide as a leading law firm advising institutional investors on issues related to corporate governance, shareholder rights, and securities litigation. Since its founding in 1983, BLB&G has built an international reputation for excellence and integrity and pioneered the use of the litigation process to achieve precedent-setting governance reforms. Unique among its peers, BLB&G has obtained several of the largest and most significant securities recoveries in history, recovering over $40 billion on behalf of defrauded investors. More information about the firm can be found online at www.blbglaw.com.

ARLINGTON, Va.--(BUSINESS WIRE)--AeroVironment, Inc. (“AV”) (NASDAQ: AVAV), a global defense technology leader, today announced that it has received an MQ-31A military designation from Italy’s Directorate of Aeronautical Armaments and Airworthiness (DAAA) to deliver the JUMP® 20 unmanned aircraft system (UAS) to the Italian Army.

The MQ‑31A designation confirms that the Italian Ministry of Defence now recognizes JUMP 20 as an official military capability.

ShareThe MQ-31A designation confirms that the Italian Ministry of Defence now recognizes JUMP 20 as an official military capability.

“This designation validates that JUMP 20 meets the standards of a modern European military and underscores the system’s ability to deliver actionable intelligence and persistent overwatch in highly contested environments,” said Shane Hastings, Vice President and General Manager, Medium Unmanned Aircraft Systems at AV. “It also signals that Italy is treating JUMP 20 as an integrated element of its formal military inventory, rather than a limited trial or off-the-shelf experiment.”

The MQ-31A designation is the next step following AV’s April 2025 contract to deliver JUMP 20 VTOL aircraft systems, sustainment, engineering, and support, replacing Italy’s legacy unmanned ISR fleet while enhancing NATO interoperability, expeditionary operations, and operational readiness.

The JUMP 20 was selected over multiple bidders through a competitive procurement process and continues to grow in popularity among NATO forces in Europe.

“Across Europe, JUMP 20 continues to gain traction with allied forces, including Italy, Denmark, Lithuania, and the Czech Republic, reinforcing its position as a trusted and rapidly adopted medium UAS platform,” said Hastings.

Designed for simplicity and adaptability, JUMP 20 is a vertical takeoff and landing (VTOL), fixed-wing unmanned aircraft system with more than 13 hours of endurance and an operational range of 185 km (115 mi). Runway-independent, the system is built for rapid, safe deployment, launching and landing autonomously without the need for personnel intervention. Its rugged, easily transportable design makes it ideal for dynamic, on-the-move operations. The system offers best-in-class open system architecture, with more than 70 integrated payloads and over 500,000 flight hours in operational environments.

Engineered with a 30-pound modular payload capacity, JUMP 20 easily adapts to evolving concepts of operations (CONOPS) and multi-domain mission demands. Its modular design ensures seamless integration of next-generation sensors, communication tools and advanced autonomy, helping Italian forces maintain an edge in UAS battlefield innovation.

About AV

AeroVironment (“AV”) (NASDAQ: AVAV) is a defense technology leader delivering integrated capabilities across air, land, sea, space, and cyber. The Company develops and deploys autonomous systems, loitering munitions, counter-UAS technologies, space-based platforms, directed energy systems, and cyber and electronic warfare capabilities—built to meet the mission needs of today’s warfighter and tomorrow’s conflicts. At the core of these technologies lies AV_Halo™, a modular, mission-ready suite of AI-powered software tools that empowers warfighters and enables full-battlefield dominance: detect, decide, deliver. With a national manufacturing footprint and a deep innovation pipeline, AV delivers proven systems and future-defining capabilities at speed, scale, and operational relevance. For more information, visit www.avinc.com.

Safe Harbor Statement

Certain statements in this press release may constitute "forward-looking statements" as defined in the Private Securities Litigation Reform Act of 1995. These statements are based on current expectations, forecasts, and assumptions that involve risks and uncertainties, which could cause actual results to differ materially. Factors that may cause such differences include, but are not limited to, our ability to perform under existing contracts and obtain new ones; regulatory changes; competitor activities; market growth; product development challenges; and general economic conditions. For a more detailed discussion of these risks, please refer to AeroVironment’s filings with the Securities and Exchange Commission. We undertake no obligation to update forward-looking statements as a result of new information or future events.

More News From AeroVironment, Inc.

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Well-Positioned to Continue Leading Innovation, Capturing Growth and Executing with Excellence.​

ARLINGTON, Va.--(BUSINESS WIRE)--AeroVironment, Inc. (“AV”) (NASDAQ: AVAV) today hosted its 2026 Investor Day during which AV’s leadership team outlined its growth strategy and introduced new fiscal year 2030 financial targets.

“At AV, we are driving the business forward as a stronger, more resilient company than ever,” said Wahid Nawabi, Chairman, President and Chief Executive Officer at AV. “We look forward to leading product innovation, scaling our capacity to capture demand across multiple domains, and continuing to execute with excellence for the remainder of the decade. Two years ago, we outlined an ambitious set of strategic objectives designed to accelerate growth and we’ve delivered on several of these initiatives, giving us momentum for the road ahead. We will leverage AV's proven business model to commercialize new technologies across a broader global and commercial customer base. The fiscal year 2030 financial targets we provided today underscore our confidence in our ability to create long-term value for our shareholders.” ​

AV introduced fiscal year 2030 financial targets and expects to achieve:

$3.5 - $4.0 billion in revenue, a 15% - 20% organic CAGR, driven by market expansion and leadership 7% - 9% investment in R&D to accelerate innovation and keep AV ahead of competition 18% - 20% adjusted EBITDA margins driven by operational excellence and sustainable profitability A webcast replay and presentation used in today’s event are available on the Investor Relations section of www.avinc.com.

ABOUT AEROVIRONMENT, INC.

AeroVironment (“AV”) (NASDAQ: AVAV) is a defense technology leader delivering integrated capabilities across air, land, sea, space, and cyber. The company develops and deploys autonomous systems, precision strike systems, counter-UAS technologies, space-based platforms, directed energy systems, and cyber and electronic warfare capabilities—built to meet the mission needs of today’s warfighter and tomorrow’s conflicts. With a national manufacturing footprint and a deep innovation pipeline, AV delivers proven systems and future-defining capabilities with speed, scale, and operational relevance.

For more information visit: www.avinc.com.

SAFE HARBOR STATEMENT

This press release contains "forward-looking statements" as that term is defined in the Private Securities Litigation Reform Act of 1995. Forward-looking statements include, without limitation, any statement that may predict, forecast, indicate or imply future results, performance or achievements, and may contain words such as “will,” “believe,” “anticipate,” “expect,” “estimate,” “intend,” “project,” “plan,” or words or phrases with similar meaning. Forward-looking statements are based on current expectations, forecasts and assumptions that involve risks and uncertainties, including, but not limited to, economic, competitive, governmental and technological factors outside of our control, that may cause our business, strategy or actual results to differ materially from the forward-looking statements.

Factors that could cause actual results to differ materially from the forward-looking statements include, but are not limited to, the impact of our ability to successfully close and integrate acquisitions into our operations and avoid disruptions from acquisition transactions that will harm our business; the recording of goodwill and other intangible assets as part of acquisitions that are subject to potential impairments in the future and any realization of such impairments; any actual or threatened disruptions to our relationships with our distributors, suppliers, customers and employees, including shortages in components for our products, whether due to restrictions and sanctions imposed by foreign governments or otherwise; the ability to timely and sufficiently integrate international operations into our ongoing business and compliance programs; reliance on sales to the U.S. government, including uncertainties in classification, pricing or potentially burdensome imposed terms for certain types of government contracts; availability of U.S. government funding for defense procurement and R&D programs; our ability to win U.S. and international government R&D and procurement programs, including foreign military financing aid; changes in the timing and/or amount of government spending, including due to continuing resolutions and/or changing government priorities; adverse impacts of any U.S. government shutdown; our ability to realize the anticipated benefits of the BlueHalo transaction or other acquisitions; our ability to execute contracts for anticipated sales, perform under such contracts and other existing contracts and obtain new contracts; risks related to our international business, including compliance with export control laws; the extensive and increasing regulatory requirements governing our contracts with the U.S. government and international customers; the consequences to our financial position, business and reputation that could result from failing to comply with applicable law, regulatory requirements, and contractual obligations; unexpected technical and marketing difficulties inherent in major research and product development efforts; the impact of potential security and cyber threats or the risk of unauthorized access to and resulting misuse of our, our customers’ and/or our suppliers’ information and systems; failure to remain a market innovator, to create new market opportunities or to expand into new markets; our ability to increase production capacity to support anticipated growth; unexpected changes in significant operating expenses, including components and raw materials; failure to develop new products or integrate new technology into current products; any increase in litigation activity or unfavorable results in legal proceedings, including pending class actions, or litigation that may arise from or in conjunction with our recent acquisitions; our ability to respond and adapt to legal, regulatory and government budgetary changes; our ability to comply with the covenants in our loan documents, outstanding convertible notes or acquisition and merger agreements for acquisitions; our ability to attract and retain skilled employees, including retention of employees of acquired companies; the impact of inflation; and general economic and business conditions in the United States and elsewhere in the world; and the failure to establish and maintain effective internal control over financial reporting. For a further list and description of such risks and uncertainties, see the reports we file with the Securities and Exchange Commission. We do not intend, and undertake no obligation, to update any forward-looking statements, whether as a result of new information, future events or otherwise.

More News From AeroVironment, Inc.

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A securities fraud class action lawsuit has been filed on behalf of AeroVironment investors after its stock plummeted over 17% because AeroVironment allegedly misled investors regarding its SCAR contract to provide the U.S. Space Force with its BADGER systems.

, /PRNewswire/ -- Leading securities law firm Bleichmar Fonti & Auld LLP announces that a class action lawsuit has been filed against AeroVironment, Inc. (NASDAQ:AVAV) and certain of the Company's senior executives for securities fraud after its significant stock drop resulting from potential violations of the federal securities laws.

If you invested in AeroVironment, you are encouraged to obtain additional information by visiting: https://www.bfalaw.com/cases/aerovironment-class-action-lawsuit.

Key Details of the AeroVironment ($AVAV) Class Action:

Lead Plaintiff Deadline: July 27, 2026 Alleged Misconduct: Securities fraud relating to AeroVironment's contract to provide the U.S. Space Force's SCAR program with its BADGER phased array antenna systems Largest Alleged Stock Drop: March 2, 2026 – 17% Stock Drop Court: U.S. District Court for the Eastern District of Virginia Action: Contact BFA Law to discuss your rights Investors have until July 27, 2026 to ask the Court to be appointed to lead the case. The complaint asserts securities fraud claims under Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 on behalf of investors in AeroVironment securities. The class action is pending in the U.S. District Court for the Eastern District of Virginia. It is captioned Norrell v. AeroVironment, et al., No. 26-cv-01429.

Why is AeroVironment Being Sued for Securities Fraud?

In May 2025, AeroVironment acquired BlueHalo, LLC, a defense technology firm specializing in advanced engineering. Three years earlier, BlueHalo had been awarded a $1.4 billion contract to deliver its BADGER phased array antenna systems to support the U.S. Space Force's SCAR program.

According to the complaint, during the relevant period, AeroVironment consistently touted its SCAR contract and indicated it represented a "tremendous growth opportunity," that AeroVironment's work pursuant to the contract was "very much on track," that the customer was "asking for more [BADGER systems]," and that the Company stood "ready to build more."

As alleged, in truth, AeroVironment faced a significant likelihood of competition for the SCAR program and overstated its goodwill from its BlueHalo acquisition.

BFA Law is also investigating AeroVironment's June 22, 2026, announcement that the financial statements in its quarterly report for the three and nine months ended January 31, 2026 "require restatement and should no longer be relied upon."

Why did AeroVironment's Stock Drop?

On January 20, 2026, AeroVironment announced that the U.S. government issued a stop work order on the Company's agreement to deliver BADGER systems to the SCAR program, upon mutual agreement with the Company. This news caused the price of AeroVironment common stock to decline $61.97 per share, or 15.77%, from $392.86 per share on January 16, 2026, to $330.89 per share on January 20, 2026.

On March 2, 2026, Space News reported that the U.S. Space Force was reopening the SCAR program to suppliers other than AeroVironment and "are going to move into a new acquisition strategy for SCAR" which would "likely take the form of other companies building versions or variants of SCAR." On this news, AeroVironment's common stock dropped $43.93 per share, or 17.42%, from $284.24 per share at open on March 2, 2026, to a close of $208.32 per share.

Then, on March 10, 2026, AeroVironment announced its Q3 financial results reporting an operating loss of $179.0 million, compared to an operating loss of $3.1 million for the same period in fiscal year 2025. The company also announced the impact of a $151.3 million goodwill impairment in the AeroVironment's space division after the stop work order tied to the Space Force's SCAR program. This news caused the price of AeroVironment common stock to drop $13.84 per share, or 6.24%, from $221.57 per share on March 10, 2026, to $207.73 per share on March 11, 2026.

Click here for more information: https://www.bfalaw.com/cases/aerovironment-class-action-lawsuit.

What Can You Do?

If you invested in AeroVironment, you may have legal options and are encouraged to submit your information to the firm.

All representation is on a contingency fee basis; there is no cost to you. Shareholders are not responsible for any court costs or expenses of litigation. The firm will seek court approval for any potential fees and expenses.

Submit your information by visiting:

https://www.bfalaw.com/cases/aerovironment-class-action-lawsuit

Why Bleichmar Fonti & Auld LLP?

BFA is a leading international law firm representing plaintiffs in securities class actions and shareholder litigation. It has been named a top plaintiff law firm by Chambers USA, The Legal 500, and ISS SCAS, and its attorneys have been named "Elite Trial Lawyers" by the National Law Journal, "Litigation Stars" by Benchmark Litigation, among the top "500 Leading Plaintiff Financial Lawyers" by Lawdragon, "Titans of the Plaintiffs' Bar" by Law360 and "SuperLawyers" by Thomson Reuters.

Most recently, The Legal 500 awarded BFA the most client satisfaction accolades of any plaintiff's securities litigation law firm, with clients noting: "[t]here is no better service provider in the practice area," "[t]he interest of the client is always front and center," and "[t]here isn't a better firm in this space."  One testimonial described the firm as "nimble and entrepreneurial," with a "relentless focus on adding value for clients."

Among its recent notable successes, BFA recovered over $900 million in value from Tesla, Inc.'s Board of Directors, as well as $420 million from Teva Pharmaceutical Ind. Ltd.

For more information about BFA and its attorneys, please visit https://www.bfalaw.com.

https://www.bfalaw.com/cases/aerovironment-class-action-lawsuit

Attorney advertising. Past results do not guarantee future outcomes.

SOURCE Bleichmar Fonti & Auld LLP

, /PRNewswire/ -- Pomerantz LLP announces that a class action lawsuit has been filed against AeroVironment, Inc. ("AeroVironment" or the "Company") (NASDAQ: AVAV) and certain officers. The class action, filed in the United States District Court for the Eastern District of Virginia, and docketed under 26-cv-01429, is on behalf of a class consisting of all persons and entities other than Defendants that purchased or otherwise acquired AeroVironment securities between June 25, 2025 and March 10, 2026, both dates inclusive (the "Class Period"), seeking to recover damages caused by Defendants' violations of the federal securities laws and to pursue remedies under Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 and Rule 10b-5 promulgated thereunder, against the Company and certain of its top officials.

If you are an investor who purchased or otherwise acquired AeroVironment securities during the Class Period, you have until July 27, 2026, to ask the Court to appoint you as Lead Plaintiff for the class. A copy of the Complaint can be obtained at www.pomerantzlaw.com. To discuss this action, contact Danielle Peyton at [email protected] or 646-581-9980 (or 888.4-POMLAW), toll-free, Ext. 7980. Those who inquire by e-mail are encouraged to include their mailing address, telephone number, and the number of shares purchased.  

[Click here for information about joining the class action]

AeroVironment operates as a defense technology provider delivering integrated capabilities across air, land, sea, space, and cyber.

On May 1, 2025, AeroVironment announced it had completed the acquisition of BlueHalo, LLC ("BlueHalo"), a defense technology firm specializing in advanced engineering products, in an all-stock transaction with an enterprise value of approximately $4.1 billion.

Three years earlier, BlueHalo had been awarded a $1.4 billion contract to deliver BADGER phased array antenna systems (a type of advanced ground-terminal system used to track satellites), to support the United States Space Force's Satellite Communication Augmentation Resource ("SCAR") program.  The BADGER would be a bespoke product designed for the United States ("U.S.") Space Force, according to its specifications.  This contract value subsequently increased to $1.7 billion. 

The SCAR program represents the U.S. Space Force's efforts to modernize antennas used by the Satellite Control Network ("SCN"), which is comprised of 19 fixed antennas across the world and executes tasks such as tracking satellites, transmitting signals, and conducting telemetry, or accessing data from satellites to assess their status and health.

In an April 2023 report, the U.S. Government Accountability Office described the SCN as "aging and difficult to maintain."  The U.S. Space Force has described the purpose of the SCAR program as modernizing the aging SCN by introducing phased array antennas to the network that boast newer capabilities, such as the ability to communicate with more than one satellite simultaneously. 

During the Class Period, Defendants consistently assured investors that the SCAR program would drive revenue growth for AeroVironment moving forward.  Among other items, Defendants stated that the SCAR program represented a "tremendous growth opportunity," that AeroVironment's work pursuant to the contract was "very much on track," that the customer was "asking for more [BADGER systems]," and that the Company stood "ready to build more."

The complaint alleges that, throughout the Class Period, Defendants made materially false and misleading statements regarding the Company's business, operations, and prospects.  Specifically, Defendants made false and/or misleading statements and/or failed to disclose that: (i) AeroVironment understated the likelihood that it would imminently face competition from other vendors for the work it performed in connection with the SCAR program and the U.S. Space Force's ongoing efforts to modernize the SCN; (ii) accordingly, Defendants overstated AeroVironment's business and financial prospects; and (iii) as a result, Defendants' public statements were materially false and misleading at all relevant times.

On January 20, 2026, AeroVironment announced that the U.S. government had issued a stop work order on the Company's agreement to deliver BADGER systems to the SCAR program.  In the same announcement, AeroVironment stated that the stop work order "allows for the parties to negotiate an amended agreement for the future of the SCAR program" and that "[t]he Company expects to continue to deliver capabilities and products for the SCAR program."  

On this news, AeroVironment's stock price fell $61.97 per share, or 15.77%, to close at $330.89 per share on January 20, 2026.

Then, on March 2, 2026, Space News reported that the U.S. Space Force was reopening the SCAR program and "reassessing how to move forward."  Space News quoted Colonel Owen Stevens, director of contracting at the Space Rapid Capabilities Office, which supervised SCAR, as stating, "We have been in conversations with the [senior acquisition executive] for a little while now, and we are going to move into a new acquisition strategy for SCAR."  

On this news, AeroVironment's stock price fell $43.93 per share, or 17.42%, to close at $208.32 per share on March 2, 2026.

Then, on March 10, 2026, AeroVironment announced its financial results for the third quarter of fiscal year 2026.  Among other items, AeroVironment reported a third-quarter operating loss of $179.0 million, compared to an operating loss of $3.1 million for the same period in fiscal year 2025.  These financial results reflected the impact of a $151.3 million goodwill impairment in the Company's space division after the stop work order on the Company's BADGER systems built for the SCAR program.  AeroVironment also reported that the U.S. Space Force had terminated the Company's contract concerning the SCAR program, and as a result, it would have to "recompete" for the SCAR program.

On this news, AeroVironment's stock price fell $13.84 per share, or 6.24%, to close at $207.73 per share on March 11, 2026.

On March 31, 2026, the U.S. Space Force announced its decision to diversify suppliers and rely on less costly commercial, off-the-shelf solutions in connection with its work to upgrade the SCN, instead of pursuing another single-vendor bespoke solution. 

Pomerantz LLP, with offices in New York, Chicago, Los Angeles, London, Paris, and Tel Aviv, is acknowledged as one of the premier firms in the areas of corporate, securities, and antitrust class litigation. Founded by the late Abraham L. Pomerantz, known as the dean of the class action bar, Pomerantz pioneered the field of securities class actions. Today, more than 85 years later, Pomerantz continues in the tradition he established, fighting for the rights of the victims of securities fraud, breaches of fiduciary duty, and corporate misconduct. The Firm has recovered billions of dollars in damages awards on behalf of class members. See www.pomlaw.com. 

Attorney advertising.  Prior results do not guarantee similar outcomes.  

CONTACT:
Danielle Peyton
Pomerantz LLP
[email protected]
646-581-9980 ext. 7980

SOURCE Pomerantz LLP

• AeroVironment stock is among today’s top performers. Why are AVAV shares rallying?

The AeroVironment Analyst: Analyst Andre Madrid reiterated a Buy rating and price target of $205.

The AeroVironment Thesis: Supported by Precision Strike & Defense Systems, AxS generated 80% year-on-year sales growth in the fourth quarter and 61% in fiscal 2026, Madrid said in the note.

Check out other analyst stock ratings.

Fourth-quarter adjusted EBITDA margin at AxS was strong, at 28%, partially offset by weaker SCDE margins, he added.

Madrid stated that the programmatic growth drivers were:

Switchblade Red Dragon Titan "This growth was partially offset by weakness at the SCDE (Space, Cyber & Directed Energy) segment driven by the SCAR program termination and government funding delays that weighed on the Cyber and Mission Systems (CMS) business," the analyst further wrote.

While there is significant demand for SCDE platforms, timing remains uncertain with funding delays expected to persist into late 2026 or early 2027, Madrid said.

The Outlook: Management guided to fiscal 2027 sales of $2.125-$2.225 billion, representing 10% growth and coming in line with expectations, the analyst stated. They projected adjusted EBITDA of $305-$325 million and adjusted earnings of $3.02-$3.34 per share.

Management’s fiscal 2027 outlook implies around 14.5% adjusted EBITDA margin, roughly flat as the company increasingly invests in growth, he further noted.

AVAV Price Action: Shares of AeroVironment had risen by 17.48% to $164.30 at the time of publication on Tuesday.

Photo: Piotr Swat via Shutterstock

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Key Takeaways AVAV says fiscal 2027 hinges on execution and timing, not demand, after record quarterly revenues.AVAV expects revenues and adjusted EBITDA to be back-half weighted amid contract and budget timing.AVAV is expanding production, while BlueHalo boosts counter-UAS and directed-energy growth potential. AeroVironment, Inc. (AVAV - Free Report) used its fourth-quarter call to frame fiscal 2027 less as a demand story than an execution and timing story. Management pointed to strong program momentum, but also made clear that federal budget timing could push more revenues and profit into the back half of the year.

The setup matters because AVAV is entering the year after record quarterly revenues, a major acquisition integration and a broad manufacturing build-out meant to support what executives described as rising demand across drones, counter-UAS, directed energy and space systems.

AVAV Leans on Demand VisibilityAeroVironment posted quarterly earnings of $1.84 per share, which rose from $1.61 a year ago. The figure beat the Zacks Consensus Estimate of $1.53 by 20.3%. Fourth-quarter revenues came in at $641.6 million, which topped the estimate of $563.1 million by 13.9%.

Chairman, president and CEO Wahid Nawabi said fiscal 2026 was a transformational year, with BlueHalo materially broadening the portfolio and helping position the company for what he called unprecedented demand across served markets. He tied that view to lethal drones, nonlethal drones, counter-UAS, space and advanced technologies.

He highlighted several recent wins and product milestones, including the Army’s long-range reconnaissance award for the P550, additional traction for JUMP 20-X, continued Switchblade development and a growing pipeline for RedDragon and MAYHEM 10. The message was that AVAV is now selling across more mission sets rather than relying on a narrow franchise base.

That broader framing sat behind management’s confidence in fiscal 2027 revenue guidance of $2.125 billion to $2.225 billion and adjusted EBITDA guidance of $305 million to $325 million, even as it avoided assuming an early federal budget release.

AeroVironment Pushes Production ReadinessNawabi repeatedly returned to capacity expansion as a strategic differentiator. He said the Salt Lake City site is on track to begin production in spring 2027 and has potential annual output above $2 billion for Switchblade and related products.

The company is also expanding Huntsville for Freedom Eagle 1 and Albuquerque for directed-energy systems, with chief financial officer Sean Woodward saying fiscal 2027 capital spending will run at 12% to 14% of revenues. He added that the spending is aimed at long-term production growth, not near-term financial engineering.

That stance shaped the cash-flow discussion as well. Woodward said the company does not expect positive free cash flow in fiscal 2027 because of the magnitude of the planned capacity investments.

AVAV Sees Mix Shifts in 2027Woodward described the fiscal 2027 model as back-half weighted, with a roughly 45-55 first-half to second-half revenue split and two-thirds of adjusted EBITDA expected in the second half. He said first-quarter revenues would account for about 45% of first-half sales, underscoring a deliberately conservative pacing assumption.

He attributed the cadence mainly to contract timing, customer acceptance testing and the expected delay in defense budget funding rather than any deterioration in underlying demand. Nawabi said the company is assuming a continuing resolution and that material funding may not reach customer accounts until around March.

That helps explain why management stressed full-year guidance over quarterly volatility. It also frames why adjusted EPS guidance of $3.02 to $3.34 is roughly flat year over year despite higher revenues and EBITDA, with Woodward pointing to a sharp rise in depreciation and cloud amortization from recent investment.

AeroVironment Defends BlueHalo LogicThe BlueHalo portfolio was one of the most important themes in both prepared remarks and Q&A. Nawabi singled out Titan counter-UAS systems and LOCUST directed-energy weapons as some of the fastest-growing and highest-potential parts of the combined company.

He described counter-UAS as already a couple-hundred-million-dollar business in fiscal 2026 and said it could become as large as, or larger than, loitering munitions over the next three to five years. That was one of the clearest long-term growth statements on the call.

At the same time, Woodward had to address the incremental goodwill impairment tied to the SCAR program termination. He said the added charge stemmed from an error in the third-quarter impairment analysis, not a fresh deterioration in long-term cash-flow assumptions, and said enhanced controls are now in place.

AVAV Q&A Focuses on Pressure PointsAnalysts pressed hardest on budget timing, free cash flow, the SCAR disruption and the pace of production expansion. Management’s answers were detailed and generally firm, especially on its view that current guidance excludes upside from a more favorable funding schedule.

A JPMorgan analyst asked about revenue timing and funding assumptions, prompting Nawabi to lay out a cautious scenario in which budget approvals slip into winter, and revenues remain more dependent on existing backlog in the near term.

A Jefferies analyst also pressed on counter-UAS and remaining goodwill. That exchange gave investors a clearer picture of the size of the counter-UAS opportunity and how management wants the impairment issue interpreted.

AeroVironment Leaves a Build-Through MessageThe tone exiting the call was expansive, but disciplined. Management did not overpromise on near-term timing, yet it repeatedly emphasized backlog, funded opportunities and manufacturing readiness as reasons to keep investing.

That posture leaves AeroVironment presenting fiscal 2027 as a year of scaling into demand rather than harvesting it all immediately. The company’s central argument is that capacity, product breadth and budget exposure matter more right now than any single quarter’s conversion rate.

AVAV’s Zacks SignalsAVAV currently carries a Zacks Rank #3 (Hold), with Value, Growth and VGM Scores of D and a Momentum Score of B, according to the provided Zacks data. The Zacks framework indicates Rank is the primary screen, while Style Scores serve as a complement, with stronger A or B grades generally seen as more favorable within the Rank system. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Within that framework, a Zacks Rank #3 points to a more neutral near-term outlook than a Rank #1 or 2 (Buy), while the Momentum Score of B suggests relatively better trend support than the stock’s Value, Growth or VGM profiles. The Zacks Rank can change as earnings estimate revisions move after the quarter’s results.

AVAV stock is up heading into the print. Watch the price action here.  Backlog and VisibilityAeroVironment closed the third quarter with a record funded backlog of roughly $1.1 billion, supported by total bookings of about $2.1 billion over the first nine months and a book‑to‑bill ratio near 1.6. 

A book-to-bill ratio of 1.6 signals demand running ahead of recognized revenue and underpins management’s framing of the fourth quarter as a potential record quarter driven by conversion of delayed Space, Cyber and Directed Energy (SCDE) work.

Investors have also seen a string of multi‑year U.S. Army and foreign military sales awards in unmanned aircraft and counter‑UAS systems, with recent contracts totaling in the high hundreds of millions and extending revenue visibility into the next decade. 

The question is less about the existence of demand and more about its quality: how much of AeroVironment’s backlog sits in funding‑sensitive programs and whether management’s fourth quarter commentary reduces concerns around timing, competitive rebids and program‑level risk.

Stock Setup and Valuation TensionDespite the supportive fundamentals, AeroVironment shares have fallen about 43% year to date and more than 30% over the past three months following a sizable third-quarter miss and a cut to full‑year guidance. 

Revenue of roughly $408 million in the third quarter came in more than 15% below consensus, with EPS also missing, and management trimmed its fiscal 2026 outlook to $1.85 billion to $1.95 billion of revenue. 

The stock has traded in the mid‑$140s to mid‑$150s recently, well below its consensus price target of $302.44 based on the ratings of 19 analysts compiled by Benzinga.  

The disconnect between AeroVironment’s current price and the consensus price target gives this earnings report a clear narrative hook: broken momentum versus intact thesis. 

On one side, the market is treating AeroVironment as a "prove‑it" story after guidance cuts, margin volatility and program delays; on the other, a consensus target around $300 per share, reflecting confidence that backlog and bookings will eventually translate into cleaner earnings and cash flow. 

Monday evening’s earnings report could be a potential capitulation moment if execution again disappoints, or a reset where a true record quarter, solid SCDE catch‑up and a steadier FY27 outlook begin to narrow the gap between a discounted share price and bullish valuation models.

AVAV Stock Price Activity: AeroVironment stock was up 2.76% at $141.76 at the time of publication on Monday, according to data from Benzinga Pro.

Over the past month, AeroVironment stock has declined about 29.7% versus a 2% decline in the S&P 500 and is down roughly 43% year-to-date compared to the index’s 8% gain. The stock is trading near its 52-week low of $135.20.

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AeroVironment, Inc. (NASDAQ:AVAV) will release earnings for its fourth quarter after the closing bell on Monday, June 29.

Analysts expect the Arlington, Virginia-based company to report quarterly earnings of $1.47 per share, down from $1.61 per share in the year-ago period. The consensus estimate for AeroVironment’s quarterly revenue is $559.1 million. It reported $275.05 million last year, according to Benzinga Pro.

AeroVironment recently disclosed it restated its quarterly filings for 10-Q after incorrectly calculating the goodwill impairment.

Shares of AeroVironment fell 10.8% to close at $151.33 on Monday.

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