AeroVironment (NASDAQ:AVAV) Shares Gap Down on Disappointing Earnings

AeroVironment, Inc. (NASDAQ:AVAV)’s share price gapped down before the market opened on Thursday following a weaker than expected earnings announcement. The stock had previously closed at $196.89, but opened at $175.00. AeroVironment shares last traded at $172.35, with a volume of 477,175 shares trading hands.

The aerospace company reported $0.47 EPS for the quarter, missing analysts’ consensus estimates of $0.76 by ($0.29). The business had revenue of $188.46 million for the quarter, compared to analysts’ expectations of $181.80 million. AeroVironment had a net margin of 7.82% and a return on equity of 9.87%. The company’s revenue for the quarter was up 4.2% on a year-over-year basis. During the same period last year, the business posted $0.97 EPS.

Analysts Set New Price Targets

A number of brokerages have recently issued reports on AVAV. Alembic Global Advisors raised shares of AeroVironment from a “neutral” rating to an “overweight” rating and set a $216.00 price objective on the stock in a research report on Wednesday, August 28th. Royal Bank of Canada cut their price objective on shares of AeroVironment from $230.00 to $215.00 and set an “outperform” rating on the stock in a research report on Thursday, September 5th. Baird R W raised shares of AeroVironment from a “hold” rating to a “strong-buy” rating in a research report on Wednesday, August 28th. William Blair reaffirmed an “outperform” rating on shares of AeroVironment in a research report on Thursday. Finally, Robert W. Baird raised shares of AeroVironment from a “neutral” rating to an “outperform” rating and lifted their price objective for the stock from $161.00 to $220.00 in a research report on Wednesday, August 28th. One research analyst has rated the stock with a hold rating, six have assigned a buy rating and one has issued a strong buy rating to the company’s stock. According to data from MarketBeat.com, the stock presently has an average rating of “Buy” and a consensus target price of $211.83.

Insider Buying and Selling at AeroVironment

In other AeroVironment news, CFO Kevin Patrick Mcdonnell sold 396 shares of AeroVironment stock in a transaction that occurred on Monday, December 2nd. The shares were sold at an average price of $198.73, for a total transaction of $78,697.08. Following the completion of the sale, the chief financial officer now directly owns 16,472 shares in the company, valued at approximately $3,273,480.56. The trade was a 2.35 % decrease in their position. The sale was disclosed in a legal filing with the SEC, which is accessible through the SEC website. In the last ninety days, insiders sold 1,782 shares of company stock worth $373,609. Company insiders own 1.27% of the company’s stock.

Hedge Funds Weigh In On AeroVironment

Several large investors have recently made changes to their positions in AVAV. Franklin Resources Inc. increased its holdings in AeroVironment by 299.4% in the 3rd quarter. Franklin Resources Inc. now owns 4,821 shares of the aerospace company’s stock worth $1,037,000 after acquiring an additional 3,614 shares in the last quarter. Tidal Investments LLC increased its holdings in AeroVironment by 39.6% in the 3rd quarter. Tidal Investments LLC now owns 7,451 shares of the aerospace company’s stock worth $1,494,000 after acquiring an additional 2,115 shares in the last quarter. Geode Capital Management LLC increased its holdings in AeroVironment by 0.8% in the 3rd quarter. Geode Capital Management LLC now owns 634,189 shares of the aerospace company’s stock worth $127,180,000 after acquiring an additional 4,948 shares in the last quarter. Barclays PLC increased its holdings in AeroVironment by 149.7% in the 3rd quarter. Barclays PLC now owns 57,245 shares of the aerospace company’s stock worth $11,477,000 after acquiring an additional 34,318 shares in the last quarter. Finally, MML Investors Services LLC increased its holdings in AeroVironment by 85.0% in the 3rd quarter. MML Investors Services LLC now owns 4,395 shares of the aerospace company’s stock worth $881,000 after acquiring an additional 2,019 shares in the last quarter. 86.38% of the stock is currently owned by institutional investors and hedge funds.

AeroVironment Stock Performance

The company has a market cap of $4.61 billion, a PE ratio of 94.34 and a beta of 0.45. The firm’s fifty day moving average is $208.20 and its 200 day moving average is $194.17. The company has a current ratio of 4.26, a quick ratio of 3.04 and a debt-to-equity ratio of 0.01.

About AeroVironment

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 Small Unmanned Aircraft Systems (SUAS), Tactical Missile System (TMS), Medium Unmanned Aircraft Systems (MUAS), and High Altitude Pseudo-Satellite Systems (HAPS) segments.