AeroVironment (NASDAQ:AVAV) Trading Down 2.3% After Analyst Downgrade

13 Mar 2026, 21:16 by Sarita Garza · The Markets Daily

AeroVironment, Inc. (NASDAQ:AVAV – Get Free Report) shares traded down 2.3% during trading on Friday after Jefferies Financial Group lowered their price target on the stock from $390.00 to $305.00. Jefferies Financial Group currently has a buy rating on the stock. AeroVironment traded as low as $206.64 and last traded at $207.07. 1,364,891 shares changed hands during mid-day trading, a decline of 32% from the average session volume of 1,998,112 shares. The stock had previously closed at $211.88.

A number of other research analysts have also recently issued reports on AVAV. Cantor Fitzgerald lowered their price objective on AeroVironment from $335.00 to $315.00 and set an “overweight” rating for the company in a research note on Wednesday, December 10th. Canaccord Genuity Group cut their target price on AeroVironment from $330.00 to $300.00 and set a “buy” rating on the stock in a research note on Thursday. Needham & Company LLC reduced their price target on AeroVironment from $450.00 to $400.00 and set a “buy” rating for the company in a report on Wednesday. Zacks Research lowered AeroVironment from a “hold” rating to a “strong sell” rating in a research report on Wednesday, March 4th. Finally, Citigroup reiterated a “market outperform” rating on shares of AeroVironment in a research note on Monday, January 12th. One equities research analyst has rated the stock with a Strong Buy rating, eighteen have issued a Buy rating, one has given a Hold rating and three have assigned a Sell rating to the stock. According to MarketBeat.com, the company presently has an average rating of “Moderate Buy” and a consensus target price of $318.78.

Check Out Our Latest Research Report on AeroVironment

Insider Activity

In other news, CAO Brian Charles Shackley sold 200 shares of AeroVironment stock in a transaction that occurred on Tuesday, December 30th. The shares were sold at an average price of $250.92, for a total value of $50,184.00. Following the completion of the sale, the chief accounting officer directly owned 5,994 shares in the company, valued at $1,504,014.48. The trade was a 3.23% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available through this link. Also, Director Stephen F. Page sold 250 shares of the business’s stock in a transaction that occurred on Monday, March 2nd. The shares were sold at an average price of $300.00, for a total transaction of $75,000.00. Following the transaction, the director directly owned 50,001 shares of the company’s stock, valued at $15,000,300. The trade was a 0.50% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold a total of 4,474 shares of company stock valued at $1,390,404 in the last 90 days. 0.81% of the stock is currently owned by insiders.

Key Stories Impacting AeroVironment

Here are the key news stories impacting AeroVironment this week:

Positive Sentiment: MarketBeat argues the pullback is a long‑term value entry: technicals show a near‑term bottom, institutions have been net buyers and the company retains a large backlog and market position that could drive recovery. AeroVironment Touches Down On Value Opportunity
Positive Sentiment: Several brokers cut price targets but kept Buy/Overweight ratings (Jefferies, Canaccord, BTIG), signaling analysts still see meaningful upside if execution and contract visibility improve. Jefferies lowered its PT to $305 but remains Buy. Jefferies/Broker notes (Benzinga)
Neutral Sentiment: Q3 results showed strong YoY revenue growth (~+143% to ~$408M) but missed Wall Street on revenue and EPS; FY‑2026 EPS guidance was trimmed to $2.75–$3.10, below consensus — underlying demand exists but near‑term visibility has deteriorated. Zacks analyst roundup
Neutral Sentiment: Analyst reaction is mixed: many trim targets (median still near $325) but most maintain Buy/Overweight — this keeps upside narratives intact but delays a catalyst until revenue clarity returns. Quiver Quant summary
Negative Sentiment: The stock fell after the Q3 miss and weaker outlook; headlines emphasize missed estimates and investor punishment for reduced near‑term growth expectations. Stock down after earnings (AmericanBankingNews)
Negative Sentiment: Contract risk: reports about the loss/termination or timing disruption of the SCAR/Space Force work (material unfunded backlog reduction) are a key driver of uncertainty and the guidance cut. SCAR contract coverage (Seeking Alpha)
Negative Sentiment: Financing and legal headlines: a disclosed $727M notes issuance raises leverage/tightens covenants (increasing liquidity risk) and a Pomerantz investor probe adds litigation headline risk. Those items increase downside risk until resolved. Notes raise (TipRanks) Pomerantz probe (PR Newswire)
Negative Sentiment: Insider selling: recent small CFO stock sales were disclosed and may add to negative sentiment in the short term (headline risk rather than proof of long‑term view). CFO Form 4 (SEC)

Hedge Funds Weigh In On AeroVironment

Institutional investors and hedge funds have recently modified their holdings of the company. N.E.W. Advisory Services LLC increased its position in AeroVironment by 60.0% in the third quarter. N.E.W. Advisory Services LLC now owns 80 shares of the aerospace company’s stock worth $25,000 after buying an additional 30 shares in the last quarter. Rothschild Investment LLC lifted its position in shares of AeroVironment by 7.8% during the 3rd quarter. Rothschild Investment LLC now owns 498 shares of the aerospace company’s stock valued at $157,000 after buying an additional 36 shares in the last quarter. Legacy Bridge LLC lifted its position in shares of AeroVironment by 1.0% during the 4th quarter. Legacy Bridge LLC now owns 4,046 shares of the aerospace company’s stock valued at $979,000 after buying an additional 39 shares in the last quarter. NewEdge Wealth LLC grew its stake in shares of AeroVironment by 1.1% during the 4th quarter. NewEdge Wealth LLC now owns 3,709 shares of the aerospace company’s stock valued at $897,000 after acquiring an additional 39 shares during the period. Finally, J.W. Cole Advisors Inc. increased its holdings in AeroVironment by 3.7% in the 4th quarter. J.W. Cole Advisors Inc. now owns 1,081 shares of the aerospace company’s stock worth $261,000 after acquiring an additional 39 shares in the last quarter. 86.38% of the stock is currently owned by hedge funds and other institutional investors.

AeroVironment Stock Performance

The company has a current ratio of 5.51, a quick ratio of 4.29 and a debt-to-equity ratio of 0.17. The company has a market cap of $10.34 billion, a P/E ratio of -47.71, a PEG ratio of 3.54 and a beta of 1.26. The business’s 50 day simple moving average is $281.98 and its 200 day simple moving average is $292.12.

AeroVironment (NASDAQ:AVAV – Get Free Report) last announced its quarterly earnings data on Tuesday, March 10th. The aerospace company reported $0.64 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.68 by ($0.04). The firm had revenue of $408.05 million during the quarter, compared to analysts’ expectations of $487.94 million. AeroVironment had a positive return on equity of 3.26% and a negative net margin of 13.93%.The business’s revenue for the quarter was up 143.4% on a year-over-year basis. During the same period last year, the company earned $0.30 earnings per share. AeroVironment has set its FY 2026 guidance at 2.750-3.100 EPS. Sell-side analysts predict that AeroVironment, Inc. will post 3.38 earnings per share for the current fiscal year.

AeroVironment Company Profile

(Get 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.