The information provided on EL7.AI is for educational and informational purposes only and does not constitute financial advice.
The information provided on EL7.AI is for educational and informational purposes only and does not constitute financial advice.
| Factor | Score | Distribution | Value | Avg | Rank |
|---|---|---|---|---|---|
Valuation | 20 | — | 20.8x | Bottom tier | |
Growth | 60 | 140.9% | 6.1% | Around median | |
Quality | 19 | -10.1% | 6.6% | Bottom tier | |
Safety | 79 | — | 0.7x | Top tier | |
Capital Return | 16 | — | 2.02% | Bottom tier | |
Momentum | 8 | -25.5% | 4.1% | Bottom tier | |
Sentiment | 59 | 10 | 3 | Around median |
Estimates — analyst targets and a simplified DCF, not investment advice.
Ten ratios that matter, each compared against its sector median and average — so you can see whether a number is rich or cheap relative to peers in the same sector.
AeroVironment, Inc. is a defense technology company listed on NASDAQ under the ticker AVAV, with its business centered on autonomous systems, unmanned aircraft, loitering munitions, counter-drone solutions, space, laser communications, and cyber. The company generates revenue primarily from defense contracts and programs with the U.S. Army, the U.S. Department of Defense, and international allies, with specifically named products such as Switchblade, Red Dragon, Jump 20, P550, Titan, LOCUS, and Freedom Eagle-1. Following the transformational acquisition of Blue Halo, the company’s portfolio became broader, adding capabilities in counter-UAS, space technologies, cyber, and directed energy, making the company, according to management, larger, more diversified, and less dependent on a single product or program.
In the fourth quarter of fiscal 2026, announced on 2026-06-29, AeroVironment reported record revenue of approximately $642 million, with annual organic growth of 31%, new bookings of $572 million, and adjusted EBITDA of $140 million, equal to 22% of revenue. Adjusted gross margin in the quarter was 34%, adjusted product margin was 44%, while adjusted services margin fell to 2% due to delayed funding for a services contract in Cyber and Mission Solutions and a one-time loss adjustment on an old Blue Halo contract. By segment, the autonomous systems segment, or AXS, generated revenue of $492 million, equal to 76% of total quarterly revenue, while the space, cyber, and directed energy segment, or SCDE, generated revenue of $150 million.
For the full fiscal year 2026, the company reported revenue of approximately $2 billion, bookings of $2.7 billion, adjusted EBITDA of $286 million at a 14% margin, and non-GAAP EPS of $3.31. Funded backlog at the end of the quarter was $1.2 billion, of which $869 million, or 73%, was tied to the AXS segment, and $314 million, or 27%, was tied to the SCDE segment, while unfunded backlog was about $1.5 billion after excluding SCAR values following termination of the program for convenience. By contrast, EDGAR data for the third quarter of fiscal 2026 show revenue of $408.0 million, a net loss of $156.6 million, and negative GAAP EPS of $3.15, highlighting the gap between adjusted operating strength and accounting and non-cash impacts.
The company’s given market capitalization is $7.6 billion, and no positive P/E ratio appears in the data because of negative EPS in the EDGAR data, including EPS of -3.15 in 2026 Q3 and on a TTM basis. The analyst consensus is rated Buy, with an average price target of $221, a high target of $280, and a low target of $166, but the data do not include a specific live price that can be relied on within the text to state whether the stock is above or below the average target. The wide 52-week range between $135.2 and $417.86 reflects valuation sensitivity to contract news, guidance, and execution and accounting risks.
Figures in the text are as of 2026-07-09; the live price is shown at the top of the page.
AeroVironment sells defense systems and autonomous technologies that include unmanned aircraft, loitering munitions, counter-drone, space, and cyber technologies. Among the products mentioned in the 2026-06-29 call are Switchblade, Red Dragon, Jump 20, P550, Titan, LOCUS, and Freedom Eagle-1. After integrating Blue Halo, the company added capabilities in counter-UAS, space, directed energy, and long-range laser communications. This diversification appeared in the fourth quarter of fiscal 2026 when AXS contributed $492 million and SCDE contributed $150 million of revenue.
The company announced on 2026-06-29 record fourth-quarter revenue of approximately $642 million, with annual organic growth of 31%. It also recorded adjusted EBITDA of $140 million, equal to 22% of revenue, and new bookings of $572 million. Adjusted gross margin was 34%, with product margin of 44% and services margin of 2%. These figures came after EDGAR data for the third quarter showed a net loss of $156.6 million, so the adjusted operating improvement in the fourth quarter was an important focus for investors.
News over the last 30 days indicated on 2026-07-01 and 2026-07-02 that AeroVironment won a $500 million U.S. defense contract, and mentioned that the stock rose after the announcement. On 2026-07-06, the company began executing the contract with an initial order of $80.5 million for the Titan MS system. Titan is part of the RF detect and defeat family used in counter-drone operations, and management said Titan sales doubled on a pro forma basis during fiscal 2026. The CEO also described the counter-UAS business as having reached approximately a few hundred million dollars in fiscal 2026.
Automated analysis for informational purposes only — not investment advice.
Management explained that there was an additional goodwill impairment of $89 million related to the termination of the SCAR program for convenience. The company said this impact was non-cash and did not affect revenue, current assets, current liabilities, adjusted EBITDA, or adjusted EPS that had previously been announced. However, a material weakness was identified in internal control related to the preparation and review of the goodwill impairment analysis, and the CFO said enhanced review controls and procedures were implemented in the fourth quarter. Also, $1.5 billion tied to the SCAR program was excluded from unfunded backlog after the contract termination.
The company guided for revenue between $2.13 billion and $2.23 billion in fiscal 2027, or growth of approximately 10% at the midpoint compared with fiscal 2026 results. It also expected adjusted EBITDA between $305 million and $325 million, and adjusted EPS between $3.02 and $3.34. Management said revenue will be stronger in the second half, with an approximate split of 45% in the first half and 55% in the second half, and that two-thirds of adjusted EBITDA will come in the second half. This guidance does not include any revenue related to the SCAR program.
Yes, the company plans in fiscal 2027 to spend capital expenditures between 12% and 14% of revenue, a level management said is mainly aimed at expanding production capacity. The cited sites include Salt Lake City, Huntsville, Albuquerque, and Dayton, with Salt Lake City focused on Switchblade and other AV products with potential capacity exceeding $2 billion annually. The company also announced a $30 million investment to expand manufacturing operations in Albuquerque to support LOCUS. By contrast, the CFO said the company does not expect positive free cash flow in fiscal 2027 because of the size of planned CapEx.