AeroVironment (AVAV) Dips More Than Broader Market: What You Should Know

In the latest close session, AeroVironment (AVAV) was down 4.84% at $235.18. This change lagged the S&P 500's daily loss of 0.59%. At the same time, the Dow added 0.02%, and the tech-heavy Nasdaq lost 1.46%. Prior to today's trading, shares of the maker of unmanned aircrafts had lost 9.2% lagged the Aerospace sector's loss of 0.16% and the S&P 500's gain of 2.49%.Market participants will be closely following the financial results of AeroVironment in its upcoming release. The company is expected to report EPS of $0.34, down 61.8% from the prior-year quarter. Meanwhile, the latest consensus estimate predicts the revenue to be $453.5 million, indicating a 139.34% increase compared to the same quarter of the previous year. Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $3.23 per share and revenue of $2 billion. These totals would mark changes of -1.52% and +144.32%, respectively, from last year. Investors should also note any recent changes to analyst estimates for AeroVironment. Recent revisions tend to reflect the latest near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the business outlook. Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system. The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed an unchanged state. AeroVironment currently has a Zacks Rank of #4 (Sell). Looking at valuation, AeroVironment is presently trading at a Forward P/E ratio of 76.47. This valuation marks a premium compared to its industry average Forward P/E of 38.16. The Aerospace - Defense Equipment industry is part of the Aerospace sector. Currently, this industry holds a Zacks Industry Rank of 165, positioning it in the bottom 34% of all 250+ industries. The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1. To follow AVAV in the coming trading sessions, be sure to utilize Zacks.com. Radical New Technology Could Hand Investors Huge GainsQuantum Computing is the next technological revolution, and it could be even more advanced than AI.While some believed the technology was years away, it is already present and moving fast. Large hyperscalers, such as Microsoft, Google, Amazon, Oracle, and even Meta and Tesla, are scrambling to integrate quantum computing into their infrastructure.Senior Stock Strategist Kevin Cook reveals 7 carefully selected stocks poised to dominate the quantum computing landscape in his report, Beyond AI: The Quantum Leap in Computing Power.Kevin was among the early experts who recognized NVIDIA's enormous potential back in 2016. Now, he has keyed in on what could be "the next big thing" in quantum computing supremacy. Today, you have a rare chance to position your portfolio at the forefront of this opportunity.See Top Quantum Stocks Now >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report AeroVironment, Inc. (AVAV): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks