AVAV
Double beat, double take
AeroVironment came out swinging after the bell on Monday, and the market immediately noticed. The drone maker reported fiscal Q4 revenue of $641.6 million, easily ahead of the $558.8 million analysts were expecting, while adjusted EPS landed at $1.84 versus the $1.46 consensus.
The big number: growth with a capital G
Revenue jumped 133% year over year, which is the kind of growth rate that makes investors sit up straight and stop doomscrolling for a second. Management pointed to stronger product sales and service revenue, plus a funded backlog of $1.2 billion as of April 30. Translation: there’s still a decent chunk of business sitting in the pipeline, not just vibes and slide decks.
The catch in the fine print
The company’s fiscal 2027 guide was more of a mixed bag. Revenue of about $2.13 billion to $2.23 billion bracketed the Street’s $2.19 billion expectation, but adjusted EPS guidance of $3.02 to $3.34 came in well below the $3.98 analysts were modeling.
Why investors are still cheering
Even with the softer profit outlook, this print says AeroVironment is in the middle of a pretty dramatic transformation. The company talked up its largest acquisition, portfolio diversification, and supply-chain cleanup — basically, the corporate version of rearranging the garage while trying to win the marathon.
Big picture: the market loves a double beat, especially when it comes with a big backlog and a growth story. But the real test is whether AeroVironment can turn this revenue rocket fuel into something closer to the profit numbers Wall Street was dreaming about.