AeroVironment Expects 185% Q4 Revenue Growth After 151% Q3 Surge

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AeroVironment posted $472.5 million in Q3 revenue, up 151% year-on-year, but missed both EBITDA and EPS estimates. For Q4, revenue is forecast to climb 185% year-on-year after a prior 10.2% decline, with consensus estimates largely unchanged and peers’ stocks down 8.3% on average last month.

1. Q3 Financial Results

AeroVironment reported Q3 revenue of $472.5 million, a 151% year-on-year increase, but missed analysts’ EBITDA and EPS estimates significantly.

2. Q4 Revenue Forecast

Revenue for Q4 is projected to grow 185% year-on-year, a reversal from a 10.2% decline in the same quarter last year, with consensus estimates remaining stable over the past month.

3. Peer Comparisons

Leonardo DRS delivered 8.1% revenue growth and beat expectations by 7%, while RTX posted 12.1% growth topping estimates by 7%; the defense contractors group is down 8.3% in share value over the last month, with AeroVironment off by 16.2% and an average analyst price target of $355.17.

4. 2025 Outlook Risks

Ongoing trade policy and corporate tax discussions cast uncertainty over 2025 growth prospects, potentially weighing on business confidence across the defense sector.

Sources

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