Baird Continues to Recommend Outperform for AeroVironment (AVAV)
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Oct 02 2025
0mins
Should l Buy AVAV?
Source: NASDAQ.COM
Analyst Recommendations: Baird maintains an "Outperform" rating for AeroVironment (AVAV) as of October 1, 2025, despite a projected average price target of $304.61/share, indicating an 11.99% downside from its recent closing price of $346.09/share.
Fund Sentiment and Ownership Changes: There has been a 21.86% increase in the number of funds reporting positions in AeroVironment, with total shares owned by institutions rising by 2.95% over the last three months, reflecting a bullish outlook indicated by a put/call ratio of 0.95.
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Analyst Views on AVAV
Wall Street analysts forecast AVAV stock price to rise
13 Analyst Rating
13 Buy
0 Hold
0 Sell
Strong Buy
Current: 235.120
Low
315.00
Averages
390.75
High
450.00
Current: 235.120
Low
315.00
Averages
390.75
High
450.00
About AVAV
AeroVironment, Inc. is a defense technology provider delivering integrated capabilities across air, land, sea, space, and cyber. The Company develops and deploys autonomous systems, precision strike systems, counter-UAS technologies, space-based platforms, directed energy systems, and cyber and electronic warfare capabilities. The Company’s segments include Autonomous Systems (AxS) and Space, Cyber, and Directed Energy (SCDE). The AxS segment focuses on the design, development, production, delivery, and support of intelligent, multi-domain robotic systems, including uncrewed aircraft systems (UAS) and ground robot systems. It includes the Company’s former Uncrewed Systems, Loitering Munitions Systems, and MacCready Works segments as well as Radio Frequency and Kinetic Counter-UAS Electronic Warfare Systems and others. The SCDE segment focuses on advanced technologies in the space domain providing space-based and ground-based platforms, cyber capabilities, and directed energy systems.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
U.S. Army Deploys Laser Counter-Drone System Near El Paso Airport
- Laser System Deployment: The U.S. Army positioned AeroVironment's LOCUST laser counter-drone system near El Paso International Airport, resulting in a seven-hour suspension of flights, highlighting the military's rare use of advanced laser platforms domestically.
- Safety Concerns Assessment: The Federal Aviation Administration paused air traffic in and out of El Paso after assessing that Army activities at Fort Bliss could pose safety risks to commercial flights, illustrating the direct impact of military operations on civilian aviation.
- Rising Demand for Counter-Drone Solutions: The U.S. is actively seeking more affordable and scalable counter-drone solutions, particularly around airports and major public events, with urgency increasing ahead of this summer's FIFA World Cup and America250 celebrations.
- Technical Background: AeroVironment delivered its first LOCUST units to the Army in September 2024, tested at Arizona's Yuma Proving Ground, indicating the potential applications of laser systems in modern military strategy, especially against criminal activities along the U.S.-Mexico border.
See More
U.S. Army Deploys Laser Weapon System, Shuts Down Airspace
- Airspace Shutdown Incident: The U.S. Army's deployment of AeroVironment's LOCUST laser weapon system near El Paso International Airport resulted in a seven-hour airspace shutdown, with the FAA initially planning a ten-day closure but lifting restrictions in under eight hours, highlighting a strong commitment to commercial aviation safety.
- Deployment Context: The use of this laser counter-drone system occurred before a scheduled meeting between the Pentagon and FAA later this month to discuss related issues, indicating the military's proactive approach to addressing border drone threats.
- Threat Response: Transportation Secretary Sean Duffy stated on social media that the FAA and Pentagon acted swiftly to neutralize a cartel drone incursion, ensuring safety for commercial travel in the region, which underscores the government's focus on airspace security.
- Drone Surveillance Situation: Drone sightings are common along the U.S.-Mexico border, with Homeland Security officials noting that cartels use drones to transport illegal drugs and surveil law enforcement, reflecting the ongoing security challenges and the necessity for technological responses.
See More
El Paso Airport Shutdown Highlights Trends in Military Drone Technology.
Drone Technology in Military: Drone technology is increasingly important in military strategies, particularly for the United States.
Focus on Dominance: The development of drone dominance is a key objective for America, highlighting its significance in modern warfare.
Impact on Travelers: The emphasis on drone technology may lead to complications for travelers, suggesting potential disruptions.
Current Trends: The growing interest in drones reflects broader trends in military innovation and defense strategies.
See More
AeroVironment Appoints New Senior Director of Washington Operations
- Leadership Expansion: AeroVironment (AV) announces the appointment of Stephen Voline as Senior Director of Washington Operations, leveraging over three decades of military and policy experience to enhance the company's influence with Congress and the Department of Defense, thereby advancing its strategic priorities.
- Policy and Technology Integration: During his tenure as National Security Advisor on Capitol Hill, Voline contributed to the shaping of multiple National Defense Authorization Acts, focusing on soldier readiness, artificial intelligence, and special operations forces, indicating AV's strategic positioning at the intersection of defense policy and technological innovation.
- Industry Influence Enhancement: As Director of Government Relations at Hanwha Defense USA, Voline successfully facilitated an Enhanced Use Lease agreement for a $1.3 billion propellant production facility, showcasing his strong influence and resource integration capabilities within the defense industry.
- Rich Military Background: With 26 years of service in the U.S. Army, Voline held various senior intelligence and command positions, participating in multiple deployments to Afghanistan and Iraq, reflecting his extensive background and practical experience in the defense sector.
See More
Aerovironment Attracts Billionaire Investors Amid Stock Pullback
- Billionaire Investor Involvement: John Overdeck's Two Sigma hedge fund acquired 27,327 shares of Aerovironment for $8.6 million, reflecting confidence in the company's robotics and autonomous vehicle technology.
- ARK Funds Increase Holdings: Cathie Wood's ARK Space & Defense Innovation ETF and ARK Autonomous Technology & Robotics ETF invested $1.6 million and $3.9 million respectively in Aerovironment, indicating optimism about its future growth potential.
- Stock Price Pullback Opportunity: With Aerovironment's stock down over 30% from its 2025 high, some Wall Street insiders view this decline as a buying opportunity, likely attracting more investor interest.
- Positive Market Reaction: Despite a stock price drop due to a government contract stop-work order, Aerovironment's shares rose 57% last year, demonstrating resilience in the market and sustained investor interest.
See More
Wall Street Insiders Quietly Buy Aerovironment Stock
- Investor Accumulation: John Overdeck's Two Sigma hedge fund acquired 27,327 shares of Aerovironment for $8.6 million, reflecting confidence in the company's growth potential amidst a competitive landscape.
- Large Transactions: Ray Dalio's Bridgewater Associates opened a new position by purchasing 11,349 shares for $3.6 million, indicating a rising interest from institutional investors in Aerovironment's stock.
- ARK Fund Involvement: Cathie Wood's ARK Space & Defense Innovation ETF and ARK Autonomous Technology & Robotics ETF invested $1.6 million and $3.9 million in Aerovironment shares respectively, further validating market recognition of the company's technology.
- Price Correction Opportunity: Following a government contract stop-work order, Aerovironment's stock has dropped over 30%, with some Wall Street insiders viewing this pullback as a buying opportunity, despite Motley Fool analysts not including it in their top investment stocks list.
See More
U.S. Army Deploys Laser Counter-Drone System Near El Paso Airport
- Laser System Deployment: The U.S. Army positioned AeroVironment's LOCUST laser counter-drone system near El Paso International Airport, resulting in a seven-hour suspension of flights, highlighting the military's rare use of advanced laser platforms domestically.
- Safety Concerns Assessment: The Federal Aviation Administration paused air traffic in and out of El Paso after assessing that Army activities at Fort Bliss could pose safety risks to commercial flights, illustrating the direct impact of military operations on civilian aviation.
- Rising Demand for Counter-Drone Solutions: The U.S. is actively seeking more affordable and scalable counter-drone solutions, particularly around airports and major public events, with urgency increasing ahead of this summer's FIFA World Cup and America250 celebrations.
- Technical Background: AeroVironment delivered its first LOCUST units to the Army in September 2024, tested at Arizona's Yuma Proving Ground, indicating the potential applications of laser systems in modern military strategy, especially against criminal activities along the U.S.-Mexico border.
See More
U.S. Army Deploys Laser Weapon System, Shuts Down Airspace
- Airspace Shutdown Incident: The U.S. Army's deployment of AeroVironment's LOCUST laser weapon system near El Paso International Airport resulted in a seven-hour airspace shutdown, with the FAA initially planning a ten-day closure but lifting restrictions in under eight hours, highlighting a strong commitment to commercial aviation safety.
- Deployment Context: The use of this laser counter-drone system occurred before a scheduled meeting between the Pentagon and FAA later this month to discuss related issues, indicating the military's proactive approach to addressing border drone threats.
- Threat Response: Transportation Secretary Sean Duffy stated on social media that the FAA and Pentagon acted swiftly to neutralize a cartel drone incursion, ensuring safety for commercial travel in the region, which underscores the government's focus on airspace security.
- Drone Surveillance Situation: Drone sightings are common along the U.S.-Mexico border, with Homeland Security officials noting that cartels use drones to transport illegal drugs and surveil law enforcement, reflecting the ongoing security challenges and the necessity for technological responses.
See More
El Paso Airport Shutdown Highlights Trends in Military Drone Technology.
Drone Technology in Military: Drone technology is increasingly important in military strategies, particularly for the United States.
Focus on Dominance: The development of drone dominance is a key objective for America, highlighting its significance in modern warfare.
Impact on Travelers: The emphasis on drone technology may lead to complications for travelers, suggesting potential disruptions.
Current Trends: The growing interest in drones reflects broader trends in military innovation and defense strategies.
See More
AeroVironment Appoints New Senior Director of Washington Operations
- Leadership Expansion: AeroVironment (AV) announces the appointment of Stephen Voline as Senior Director of Washington Operations, leveraging over three decades of military and policy experience to enhance the company's influence with Congress and the Department of Defense, thereby advancing its strategic priorities.
- Policy and Technology Integration: During his tenure as National Security Advisor on Capitol Hill, Voline contributed to the shaping of multiple National Defense Authorization Acts, focusing on soldier readiness, artificial intelligence, and special operations forces, indicating AV's strategic positioning at the intersection of defense policy and technological innovation.
- Industry Influence Enhancement: As Director of Government Relations at Hanwha Defense USA, Voline successfully facilitated an Enhanced Use Lease agreement for a $1.3 billion propellant production facility, showcasing his strong influence and resource integration capabilities within the defense industry.
- Rich Military Background: With 26 years of service in the U.S. Army, Voline held various senior intelligence and command positions, participating in multiple deployments to Afghanistan and Iraq, reflecting his extensive background and practical experience in the defense sector.
See More
Aerovironment Attracts Billionaire Investors Amid Stock Pullback
- Billionaire Investor Involvement: John Overdeck's Two Sigma hedge fund acquired 27,327 shares of Aerovironment for $8.6 million, reflecting confidence in the company's robotics and autonomous vehicle technology.
- ARK Funds Increase Holdings: Cathie Wood's ARK Space & Defense Innovation ETF and ARK Autonomous Technology & Robotics ETF invested $1.6 million and $3.9 million respectively in Aerovironment, indicating optimism about its future growth potential.
- Stock Price Pullback Opportunity: With Aerovironment's stock down over 30% from its 2025 high, some Wall Street insiders view this decline as a buying opportunity, likely attracting more investor interest.
- Positive Market Reaction: Despite a stock price drop due to a government contract stop-work order, Aerovironment's shares rose 57% last year, demonstrating resilience in the market and sustained investor interest.
See More
Wall Street Insiders Quietly Buy Aerovironment Stock
- Investor Accumulation: John Overdeck's Two Sigma hedge fund acquired 27,327 shares of Aerovironment for $8.6 million, reflecting confidence in the company's growth potential amidst a competitive landscape.
- Large Transactions: Ray Dalio's Bridgewater Associates opened a new position by purchasing 11,349 shares for $3.6 million, indicating a rising interest from institutional investors in Aerovironment's stock.
- ARK Fund Involvement: Cathie Wood's ARK Space & Defense Innovation ETF and ARK Autonomous Technology & Robotics ETF invested $1.6 million and $3.9 million in Aerovironment shares respectively, further validating market recognition of the company's technology.
- Price Correction Opportunity: Following a government contract stop-work order, Aerovironment's stock has dropped over 30%, with some Wall Street insiders viewing this pullback as a buying opportunity, despite Motley Fool analysts not including it in their top investment stocks list.
See More
