AVAV

AeroVironment, Inc.

Fundamental data last updated:June 5, 2026

We may earn a commission from partner links. This content is for informational purposes only and is not financial advice. Information may be delayed or inaccurate.

company profile

SECTOR

Industrials

industry

Aerospace & Defense

Exchange

NASDAQ

County of HQ

US

Next Earnings Date

06/29/2026

Business Summary

AeroVironment, Inc. designs, develops, produces, delivers, and supports a portfolio of robotic systems and related services for government agencies and businesses in the United States and internationally. It operates through four segments: Unmanned Aircraft Systems (UAS), Tactical Missile System (TMS), Medium Unmanned Aircraft Systems (MUAS), and High Altitude Pseudo-Satellite Systems (HAPS). The company supplies UAS, TMS, unmanned ground vehicle, and related services primarily to organizations within the U.S. Department of Defense and to international allied governments. It also designs, engineers, tools, and manufactures unmanned aerial and aircraft systems, including airborne platforms, payloads and payload integration, ground control systems, and ground support equipment and other items and services related to unmanned aircraft systems. In addition, the company offers small UAS products, including spare equipment, alternative payload modules, batteries, chargers, repair services, and customer support, as well as multiple aircraft, hand-held ground control system, and spare parts and accessories. Further, it develops high-altitude pseudo-satellite UAS systems. The company was incorporated in 1971 and is headquartered in Arlington, Virginia.

 


VALUATION

P/E

-44.84

Market Cap ($M USD)

$10.30B

Forward P/E

23.99

PEG

0.08

PRICE TO SALES

6.40

PRICE TO BOOK

2.35

EV / EBITDA

76.02

5-Year Average P/E

Free Cash Flow Yield

-1.90%

DCF Value

$3.19

Graham Number

N/A

Price to FCF

-52.75

EV to FCF

-55.49

Earnings Yield

-2.23%

FCF Yield

-1.90%

DIVIDEND

Yield

0.00%

Annual Payout

$0.00

Payout Ratio

0.00%

Consecutive Years of Dividend Growth

5-Year Dividend Growth Rate

Financial Health & Profitability

Earnings Per Share

-$4.60

Next Year EPS Growth Estimate

$8.60

Next Year Revenue Growth Estimate

$290.92B

Return on Equity (ROE)

-6.41%

FREE CASH FLOW

Operating Margin

-6.10%

Debt-to-Equity

0.07

Piotroski F-Score

2

Altman Z-Score

5.60

Return on Invested Capital (ROIC)

-1.91%

Current Ratio

5.51

Quick Ratio

4.54

Net Debt to EBITDA

3.76

Interest Coverage

-5.33

Gross Profit margin

21.82%

FCF PER SHARE

$-4.01

REVENUE PER SHARE

$33.02

Gainseekers Quantitative Analysis

Summary

The market seems to have misjudged AeroVironment’s valuation. Despite a snapshot price that traded significantly below its DCF value, the company exhibits a negative earnings yield and a daunting P/E ratio, suggesting current profitability challenges. However, the forward P/E indicates optimism for future earnings growth, supported by an impressive Altman Z-score of 4.83, signaling financial stability. The market cap reflects substantial investor confidence, yet the negative ROIC and operating margin raise questions about management’s efficiency in capital allocation.

AI Exposure / Tech Reliance

Positioned within the Aerospace & Defense industry, AeroVironment is strategically poised to leverage AI and tech advancements. The sector's inherent demand for cutting-edge technology aligns well with AI integration, potentially enhancing operational efficiency and product innovation. This adaptability could serve as a catalyst for future growth.

The Bull Case

For the discerning GARP investor, AeroVironment presents a compelling opportunity. The forward PEG ratio of 0.068 suggests undervaluation relative to expected growth, while a low debt/equity ratio of 0.072 underscores financial prudence. Despite a low Piotroski F-Score, the company's robust current ratio indicates strong liquidity, providing a buffer against economic volatility. These factors collectively hint at potential pricing power and capital efficiency.

The Bear Case

Yet, the bear case cannot be ignored. The company's negative EPS and high EV to EBITDA ratio of 62.71 highlight profitability concerns. With a price/sales ratio over 5 and a price/book ratio near 2, the stock appears overvalued relative to its tangible assets. Additionally, the negative FCF yield and interest coverage ratio raise red flags about cash flow sustainability, suggesting structural weaknesses that could hinder long-term growth.

Market Sentiment & Smart Money

Short Interest %

Analyst Consensus

Buy

Average Analyst Price Target

$338.33

Institutional Ownership %

1-Year Beta

1.36

Insider Buying % (6 Mo)

Distance to 52-Week High

102.54%

Distance to 52-Week Low

24.39%

EARNINGS SURPRISE %

-5.60%

50-DAY SMA

$185.62

200-DAY SMA

$262.59

⚠️ Financial Disclaimer:
This content is for informational purposes only and is not financial advice. Information may be delayed or inaccurate. We may earn a commission from partner links.