AeroVironment (AVAV) closed the most recent trading day at $207.37, moving -3.27% from the previous trading session. This change lagged the S&P 500's daily gain of 0.22%. Meanwhile, the Dow gained 0.72%, and the Nasdaq, a tech-heavy index, added 0.21%.
The maker of unmanned aircrafts's shares have seen an increase of 9.93% over the last month, surpassing the Aerospace sector's gain of 9.28% and the S&P 500's gain of 6.04%.
The investment community will be paying close attention to the earnings performance of AeroVironment in its upcoming release. The company's earnings per share (EPS) are projected to be $1.53, reflecting a 4.97% decrease from the same quarter last year. Our most recent consensus estimate is calling for quarterly revenue of $566.61 million, up 106% from the year-ago period.
In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $2.94 per share and a revenue of $1.91 billion, indicating changes of -10.37% and +133.23%, respectively, from the former year.
It's also important for investors to be aware of any recent modifications to analyst estimates for AeroVironment. These recent revisions tend to reflect the evolving nature of short-term business trends. As such, positive estimate revisions reflect analyst optimism about the business and profitability.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering 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 #3 (Hold).
Valuation is also important, so investors should note that AeroVironment has a Forward P/E ratio of 57.42 right now. This signifies a premium in comparison to the average Forward P/E of 37.45 for its industry.
Meanwhile, AVAV's PEG ratio is currently 2.94. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. As of the close of trade yesterday, the Aerospace - Defense Equipment industry held an average PEG ratio of 2.12.
The Aerospace - Defense Equipment industry is part of the Aerospace sector. This industry currently has a Zacks Industry Rank of 64, which puts it in the top 27% of all 250+ industries.
The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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AeroVironment, Inc. (AVAV): Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).