AeroVironment Stock Sinks Despite Better-Than-Expected Q4 Report: Here's Why

Core Insights - AeroVironment, Inc. reported strong fourth-quarter results with earnings of $1.61 per share, surpassing the analyst consensus estimate of $1.42 [1] - Quarterly revenue reached $275.05 million, exceeding the Street estimate of $242.69 million, marking a 40% year-over-year increase [1][2] - The company experienced significant revenue growth in various segments, including Loitering Munitions Systems (87% increase), MacCready Works (24% increase), and Uncrewed Systems (9% increase) [2] Financial Performance - The fourth quarter concluded fiscal year 2025 with record revenue and significantly higher profits, alongside a robust backlog nearly double that of fiscal year 2024 [3] - For fiscal 2027, AeroVironment projects adjusted EPS between $2.80 and $3, compared to the estimate of $3.72, with revenue expectations ranging from $1.9 billion to $2 billion, slightly below the $1.98 billion estimate [3] Stock Performance - Following the earnings release, AeroVironment's stock declined by 5.58%, trading at $182.50 in extended trading [4]