Traders Buy High Volume of AeroVironment Call Options (NASDAQ:AVAV)

AeroVironment, Inc. (NASDAQ:AVAV) saw unusually large options trading activity on Thursday. Stock investors purchased 7,627 call options on the company. This represents an increase of approximately 20% compared to the average daily volume of 6,382 call options.

Insider Activity at AeroVironment

In other AeroVironment news, CAO Brian Charles Shackley sold 200 shares of the business’s stock in a transaction that occurred on Tuesday, December 30th. The shares were sold at an average price of $250.92, for a total transaction of $50,184.00. Following the completion of the transaction, the chief accounting officer owned 5,994 shares in the company, valued at $1,504,014.48. The trade was a 3.23% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available at this link. Also, CFO Kevin Patrick Mcdonnell sold 513 shares of the firm’s stock in a transaction on Monday, November 10th. The shares were sold at an average price of $331.46, for a total transaction of $170,038.98. Following the completion of the sale, the chief financial officer owned 18,811 shares in the company, valued at $6,235,094.06. The trade was a 2.65% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold a total of 1,224 shares of company stock valued at $347,651 in the last quarter. 0.81% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On AeroVironment

A number of hedge funds and other institutional investors have recently modified their holdings of the stock. N.E.W. Advisory Services LLC increased its stake in AeroVironment by 60.0% in the 3rd quarter. N.E.W. Advisory Services LLC now owns 80 shares of the aerospace company’s stock valued at $25,000 after purchasing an additional 30 shares in the last quarter. AlphaQuest LLC acquired a new stake in shares of AeroVironment during the third quarter worth $25,000. ORG Partners LLC grew its position in shares of AeroVironment by 296.0% in the second quarter. ORG Partners LLC now owns 99 shares of the aerospace company’s stock valued at $27,000 after purchasing an additional 74 shares during the period. RMG Wealth Management LLC purchased a new position in AeroVironment during the second quarter worth about $28,000. Finally, TD Waterhouse Canada Inc. lifted its position in AeroVironment by 100.0% during the third quarter. TD Waterhouse Canada Inc. now owns 80 shares of the aerospace company’s stock worth $28,000 after buying an additional 40 shares during the period. 86.38% of the stock is currently owned by institutional investors and hedge funds.

AeroVironment Price Performance

Shares of NASDAQ:AVAV opened at $364.99 on Friday. The company has a 50-day simple moving average of $282.00 and a 200-day simple moving average of $285.49. AeroVironment has a one year low of $102.25 and a one year high of $417.86. The company has a debt-to-equity ratio of 0.16, a quick ratio of 4.29 and a current ratio of 5.08. The stock has a market capitalization of $18.22 billion, a price-to-earnings ratio of -291.99, a PEG ratio of 5.09 and a beta of 1.16.

AeroVironment (NASDAQ:AVAV) last released its quarterly earnings results on Tuesday, December 9th. The aerospace company reported $0.44 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.87 by ($0.43). The company had revenue of $472.51 million for the quarter, compared to analysts’ expectations of $466.16 million. AeroVironment had a positive return on equity of 3.42% and a negative net margin of 5.08%.The business’s quarterly revenue was up 150.7% compared to the same quarter last year. During the same period in the prior year, the business earned $0.47 EPS. AeroVironment has set its FY 2026 guidance at 3.400-3.550 EPS. On average, analysts predict that AeroVironment will post 3.38 EPS for the current year.

Key Headlines Impacting AeroVironment

Here are the key news stories impacting AeroVironment this week:

• Positive Sentiment: Major U.S. Army drone award flow and contract wins are being cited as the primary catalyst lifting sentiment and volumes; media coverage highlights a cluster of Army awards that materially improve AVAV’s addressable backlog and growth outlook. AeroVironment (AVAV) Is Up 31.7% After Major U.S. Army Drone Awards Has The Bull Case Changed?
• Positive Sentiment: Piper Sandler reaffirmed its Buy rating on AVAV, supporting investor confidence and reinforcing the bullish narrative from sell‑side coverage. Piper Sandler Reaffirms Their Buy Rating on AeroVironment (AVAV)
• Positive Sentiment: Partner win: Parry Labs will integrate MOSA-aligned mission systems into AV’s P550 UAS for the Army’s Long Range Reconnaissance program, strengthening AVAV’s product competitiveness on key military programs. Parry Labs Advances Modular Mission Systems in AV’s P550™ for Army LRR Program
• Positive Sentiment: Recent Wall Street starts and upgrades (e.g., KeyBanc/other coverage) underline continued institutional interest in AVAV’s defense/leverage story. Where is AeroVironment (AVAV) Headed According to Wall Street?
• Neutral Sentiment: Market conversation on valuation: several commentaries ask whether the run (roughly +100% over 1 year) leaves AVAV overvalued, prompting some profit‑taking and debate about upside from here. Is It Too Late To Consider AeroVironment (AVAV) After A 111% One-Year Surge?
• Neutral Sentiment: Unusually large call-option activity was reported, indicating speculative or hedged bullish positioning that likely amplified intraday moves.
• Negative Sentiment: Analyst caution and downgrades: at least one note argued AVAV is “flying too high” and trimmed ratings/targets, which could cap near-term upside if revisions accelerate. AeroVironment: This Drone Stock Is Flying Too High (Rating Downgrade)
• Negative Sentiment: Legal/investor risk: Pomerantz launched an investor investigation into AVAV, adding regulatory/legal overhang that could pressure sentiment if it develops. INVESTOR ALERT: Pomerantz Law Firm Investigates Claims On Behalf of Investors of Aerovironment, Inc. – AVAV
• Negative Sentiment: Fundamental caution: AVAV’s Dec. quarterly report missed EPS expectations (though revenue grew sharply) and the company trimmed prior guidance, a backdrop that some investors cite when judging sustainability of the rally.

Wall Street Analyst Weigh In

A number of research analysts have recently commented on the company. BNP Paribas upgraded AeroVironment to a “strong-buy” rating in a report on Tuesday, November 18th. Needham & Company LLC reiterated a “buy” rating and issued a $450.00 price target on shares of AeroVironment in a research note on Wednesday, December 10th. Zacks Research raised shares of AeroVironment from a “strong sell” rating to a “hold” rating in a report on Tuesday, December 2nd. Piper Sandler restated an “overweight” rating on shares of AeroVironment in a report on Wednesday, December 10th. Finally, JMP Securities increased their target price on shares of AeroVironment from $325.00 to $400.00 and gave the company a “market outperform” rating in a research report on Friday, October 3rd. Two analysts have rated the stock with a Strong Buy rating, nineteen have given a Buy rating, one has assigned a Hold rating and one has issued a Sell rating to the company. According to MarketBeat.com, AeroVironment currently has a consensus rating of “Moderate Buy” and an average target price of $375.41.

About AeroVironment

AeroVironment, Inc (NASDAQ:AVAV) is a technology company specializing in unmanned aerial systems (UAS), tactical missiles and precision loitering munitions, electric vehicle charging and scalable energy systems. Headquartered in Monrovia, California, the company develops solutions for defense, public safety and commercial markets. Their offerings include small UAS for intelligence, surveillance and reconnaissance, as well as advanced weapons systems designed to meet the needs of modern military operations.

The company’s unmanned aerial systems portfolio features platforms such as the Raven, Puma and Switchblade series, which are deployed by the U.S.