AeroVironment (AVAV) Reports Earnings Tomorrow: What To Expect

Yahoo

4 hours ago

Aerospace and defense company AeroVironment (NASDAQ:AVAV) will be announcing earnings results this Tuesday afternoon. Here's what investors should know.
AeroVironment missed analysts' revenue expectations by 10.9% last quarter, reporting revenues of $167.6 million, down 10.2% year on year. It was a disappointing quarter for the company, with full-year revenue guidance missing analysts' expectations significantly and full-year EBITDA guidance missing analysts' expectations significantly.
Is AeroVironment a buy or sell going into earnings? Read our full analysis here, it's free.
This quarter, analysts are expecting AeroVironment's revenue to grow 23.7% year on year to $243.7 million, improving from the 5.9% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $1.41 per share.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. AeroVironment has only missed Wall Street's revenue estimates once over the last two years, exceeding top-line expectations by 5.6% on average.
Looking at AeroVironment's peers in the aerospace and defense segment, some have already reported their Q1 results, giving us a hint as to what we can expect. HEICO delivered year-on-year revenue growth of 14.9%, beating analysts' expectations by 3.5%, and Redwire reported a revenue decline of 30.1%, falling short of estimates by 16.5%. HEICO traded up 7.4% following the results while Redwire's stock price was unchanged.
Read our full analysis of HEICO's results here and Redwire's results here.
Investors in the aerospace and defense segment have had steady hands going into earnings, with share prices flat over the last month. AeroVironment is up 7.2% during the same time and is heading into earnings with an average analyst price target of $195.38 (compared to the current share price of $190.94).
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