AeroVironment Inc (AVAV)
Official siteINDUSTRIALS • AEROSPACE & DEFENSE • NASDAQ
Market Cap: $7.52B
Last updated: Sep 01, 2026 at 10:00 AM ET
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Related GNG Research
When the Pentagon Stops Treating Drones as a Science Project: The June 2026 Refresh
Procurement language shows the US military moved drones from experiment to program of record, implying sustained budget flow and faster, programmatic procurement rather than ad hoc buys Three macro proofs - NATO asked allies to add unmanned assets, India prepping >$2bn drone buy with deliveries inside two years, and US policy debate shifted to "how fast" not "if" Design paradigm flipped from exquisite platforms to throughput and attrition - high-rate production, qualification, sustainment and replacement economics now determine supply-chain winners Investment map spans six layers - weapon, aircraft, subsystem, autonomy, brains, compliance - prioritize bottlenecks like launchers, embedded compute, composites and domestic battery sourcing AeroVironment is the cleanest weapon-layer proxy: revenue compounding ~20% over 3 years, negative FCF and margins, shares fell from ~$418 to ~$170s mid-June, class-action overhang - stage buys
When the Pentagon Goes Shopping: Four Ways to Own the Defense Drone Supercycle
The Pentagon proposed $54.6B for autonomous warfare in FY2027. The prior year's budget for the same group was $225M. That gap is the investment thesis. One company in this basket tripled revenue in a single year and holds a compliance moat written directly into federal procurement law. The gap between what it earns and what that moat is worth is the entire thesis. The most profitable name in the basket isn't the one getting headlines. It's the industrial supplier sitting at the supply chain bottleneck, quietly posting 15.7% operating margins while the platform makers burn cash. One of these four names carries 19% short interest and a one-year drawdown exceeding 90%. We cover it anyway, with the risk flags at full weight.
Government Contracts
Top agency: Department of Defense at 99.9% of trailing twelve month obligations across 2 agencies
Recent Awards
Federal contract obligations are bookings recorded by the awarding agency, not recognized revenue. They can exceed 100% of revenue and can be negative when contracts are de-obligated. Source: USAspending.gov prime awards, data through Jul 31, 2026.
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Frequently Asked Questions About AVAV
- Does AVAV pay dividends?
- AeroVironment Inc (AVAV) does not currently pay a regular dividend.
- What is AVAV's P/E ratio?
- AeroVironment Inc has a price-to-earnings (P/E) ratio of 45.66.
- What is AVAV's market cap?
- AeroVironment Inc (AVAV) has a market capitalization of $7.52B with a current stock price of $147.94.
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