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Why AeroVironment Stock Is Losing Altitude in After-Hours Trading

The Motley Fool
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Why AeroVironment Stock Is Losing Altitude in After-Hours Trading

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By Scott Levine – Dec 9, 2025 at 5:13PMKey PointsAeroVironment surpassed analysts' revenue expectations for the second quarter of 2026.Management downwardly revised fiscal 2026 guidance.The current sell-off provides a potential buying opportunity for investors willing to endure some volatility.These 10 Stocks Could Mint the Next Wave of Millionaires ›NASDAQ: AVAVAeroVironmentMarket Cap$14BToday's Changeangle-down(-0.45%) $1.27Current Price$281.20Price as of December 9, 2025 at 3:58 PM ETAfter dipping slightly during regular trading hours, a weaker-than-expected financial report is leading this drone stock lower in after-hours trading.Shares of drone manufacturer AeroVironment (AVAV 0.45%) are encountering turbulence late this afternoon. The company reported disappointing financial results for the second quarter of 2026, and management's downward revision of guidance for fiscal 2026 is also contributing to the stock losing altitude this afternoon. As of 4:50 p.m. ET, shares of AeroVironment are down 4.7% from their closing price of $281.42 at 4:00 p.m. Image source: Getty Images. Shrugging off the company's strong year-over-year revenue growth Despite a strong performance at the top of the income statement, investors are placing more weight on the company's inability to meet analysts' profitability expectations. While analysts anticipated the company would report adjusted diluted earnings per share (EPS) of $0.79, AeroVironment posted adjusted EPS of $0.44, a 6.4% year-over-year decrease. ExpandNASDAQ: AVAVAeroVironmentToday's Change(-0.45%) $-1.27Current Price$281.20Key Data PointsMarket Cap$14BDay's Range$278.58 - $291.3852wk Range$102.25 - $417.86Volume88KAvg Vol1.1MGross Margin26.45%Dividend YieldN/A In addition to examining the company's recent performance, management's increasingly bearish outlook on the remainder of fiscal 2026 is prompting investors to consider move the drone stock from their portfolios. AeroVironment now expects to report adjusted diluted EPS of $3.40 to $3.55 -- lower than the adjusted diluted EPS of $3.60 to $3.70 that it projected in September, when it reported Q1 2026 financial results. Reporting Q2 2026 revenue of $472.5 million, AeroVironment achieved a 151% year-over-year increase on the top line, surpassing analysts' estimates of $465.6 million.Advertisement Now may be a good time to fly AeroVironment into your portfolio While investors are sending AeroVironment stock lower in after-hours trading, those with the resilience to withstand some near-term turbulence would be wise to consider shares of this leading drone stock. The company projects strong revenue growth in fiscal 2026, and while it expects to report lower adjusted diluted EPS than it did several months ago, this is hardly enough to justify a steep sell-off.About the AuthorScott Levine is a contributing Motley Fool stock market analyst covering energy, industrials, technology, and materials. He is also a high school English teacher and a small business owner. He holds a bachelor’s degree in English and creative writing from Binghamton University, a master’s degree in secondary education from Adelphi University, and an advanced certificate in school building leadership from CUNY Queens College. A crossword puzzle enthusiast, he has solved more than 3,100 New York Times puzzles with a 97% solve rate.TMFProudMonkeyX@TMFProudMonkeyRead NextDec 1, 2025 •By John BromelsWhat Every AeroVironment Investor Should Know Before BuyingNov 28, 2025 •By John BromelsEvaluating AVAV Stock's Actual PerformanceNov 6, 2025 •By Scott LevineWhy AeroVironment Stock Is Losing Altitude TodayNov 6, 2025 •By Jeremy BowmanWhy AeroVironment Stock Jumped 18% in OctoberOct 6, 2025 •By Courtney CarlsenHere's Why AeroVironment Stock Jumped 30.5% in SeptemberOct 3, 2025 •By Josh Kohn-LindquistWhy AeroVironment Stock Is Skyrocketing This Week

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