AeroVironment, Inc. (NASDAQ:AVAV) Quarterly Earnings Preview

• The anticipated EPS of $1.44 represents a significant year-over-year growth of 234.9%.

• Revenue is expected to reach $243.67 million, marking a 23.7% increase from the same quarter last year.

• Despite positive growth indicators, there has been a downward revision of 21.7% in the consensus EPS estimate over the past 30 days.

AeroVironment, Inc. (NASDAQ:AVAV) is a technology company specializing in unmanned aircraft systems and tactical missile systems. As a leader in the defense and aerospace industry, AVAV competes with companies like Lockheed Martin and Boeing. On June 24, 2025, AVAV is set to release its quarterly earnings, with analysts estimating an earnings per share (EPS) of $1.44 and projected revenue of approximately $242.7 million.

The anticipated EPS of $1.44 represents a significant year-over-year growth of 234.9%, as highlighted by analysts. This growth indicates a strong performance compared to the previous year. Revenue is expected to reach $243.67 million, marking a 23.7% increase from the same quarter last year. These figures suggest a positive trajectory for AVAV's financial performance.

Despite the positive outlook, there has been a downward revision of 21.7% in the consensus EPS estimate over the past 30 days. This reassessment by analysts may influence investor behavior and impact the short-term price performance of AVAV stock. Such revisions are crucial as they reflect changing expectations and market conditions.

AVAV's financial metrics reveal a high valuation, with a price-to-earnings (P/E) ratio of approximately 161.42. This indicates that investors are willing to pay a premium for the company's earnings. The price-to-sales ratio stands at about 11.68, suggesting that investors are paying $11.68 for every dollar of sales. However, the enterprise value to operating cash flow ratio is negative at -682.53, indicating potential challenges in generating cash flow from operations.

The company maintains a low debt-to-equity ratio of 0.069, reflecting a conservative use of debt in its capital structure. Additionally, AVAV has a strong current ratio of 4.22, indicating good short-term financial health and the ability to cover its current liabilities with its current assets. These metrics suggest that AVAV is well-positioned to manage its financial obligations and continue its growth trajectory.