AeroVironment (AVAV) Reports Next Week: Wall Street Expects Earnings Growth

Core Viewpoint - Wall Street anticipates a year-over-year increase in earnings for AeroVironment (AVAV) due to higher revenues, with actual results being crucial for stock price movement [1][2]. Earnings Expectations - The earnings report is expected on December 9, with a consensus EPS estimate of $0.85, reflecting an 80.9% increase year-over-year. Revenues are projected at $477.43 million, up 153.3% from the previous year [3]. Estimate Revisions - The consensus EPS estimate has been revised down by 1.59% over the last 30 days, indicating a reassessment by analysts [4]. Earnings Surprise Prediction - The Zacks Earnings ESP model suggests that a positive or negative Earnings ESP reading can indicate the likelihood of actual earnings deviating from consensus estimates, with positive readings being more predictive [9][10]. Current Earnings ESP and Zacks Rank - AeroVironment has a negative Earnings ESP of -9.20%, indicating bearish sentiment among analysts. The stock holds a Zacks Rank of 3, complicating predictions of an earnings beat [12]. Historical Performance - In the last reported quarter, AeroVironment's actual earnings of $0.32 per share fell short of the expected $0.34, resulting in a surprise of -5.88%. Over the last four quarters, the company has only beaten consensus EPS estimates once [13][14]. Conclusion - AeroVironment does not appear to be a strong candidate for an earnings beat, and investors should consider additional factors when making decisions regarding the stock ahead of the earnings release [17].