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AeroVironment (AVAV) Rises Higher Than Market: Key Facts

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AeroVironment (AVAV - Free Report) closed at $169.61 in the latest trading session, marking a +1.5% move from the prior day. The stock's change was more than the S&P 500's daily gain of 1.09%. Meanwhile, the Dow gained 0.14%, and the Nasdaq, a tech-heavy index, added 1.91%.

Shares of the maker of unmanned aircrafts have appreciated by 1.98% over the course of the past month, underperforming the Aerospace sector's gain of 10.21%, and outperforming the S&P 500's gain of 0.29%.

Investors will be eagerly watching for the performance of AeroVironment in its upcoming earnings disclosure. The company's earnings report is set to be unveiled on June 29, 2026. The company's upcoming EPS is projected at $1.53, signifying a 4.97% drop compared to the same quarter of the previous year. In the meantime, our current consensus estimate forecasts the revenue to be $563.14 million, indicating a 104.74% growth compared to the corresponding quarter of the prior year.

In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $2.94 per share and a revenue of $1.9 billion, indicating changes of -10.37% and +131.33%, respectively, from the former year.

Any recent changes to analyst estimates for AeroVironment should also be noted by investors. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the business outlook.

Our research shows that these estimate changes are directly correlated with near-term stock prices. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.

The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed an unchanged state. AeroVironment presently features a Zacks Rank of #3 (Hold).

In the context of valuation, AeroVironment is at present trading with a Forward P/E ratio of 44.75. Its industry sports an average Forward P/E of 39.5, so one might conclude that AeroVironment is trading at a premium comparatively.

It is also worth noting that AVAV currently has a PEG ratio of 2.29. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. Aerospace - Defense Equipment stocks are, on average, holding a PEG ratio of 2.24 based on yesterday's closing prices.

The Aerospace - Defense Equipment industry is part of the Aerospace sector. This industry currently has a Zacks Industry Rank of 73, which puts it in the top 30% of all 250+ industries.

The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.

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