Why did AeroVironment's stock price fall?

AeroVironment's stock price fell over 12% because its second-quarter adjusted earnings per share ($0.44) missed Wall Street's expectations ($0.79).

How much revenue did AeroVironment generate?

AeroVironment reported a revenue of $472.5 million in its fiscal second quarter, a 151% increase year-over-year, driven by the BlueHalo acquisition.

What is AeroVironment's outlook for the full year?

AeroVironment expects full-year revenue between $1.95 billion and $2 billion and adjusted earnings per share of $3.40 to $3.55.

Home / Business and Economy / AeroVironment Stock Drops on Earnings Miss

AeroVironment Stock Drops on Earnings Miss

12 Dec, 2025

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Summary

AeroVironment stock fell over 12% on Wednesday.
Revenue surged 151% to $472.5 million due to BlueHalo acquisition.
Adjusted earnings per share of $0.44 missed analyst estimates of $0.79.

AeroVironment Stock Drops on Earnings Miss

Shares of AeroVironment saw a notable drop of more than 12% on Wednesday after the company announced its second-quarter financial results. The unmanned aerial vehicle manufacturer reported a substantial revenue increase of 151% year-over-year, reaching $472.5 million. This impressive growth was significantly boosted by the May acquisition of BlueHalo, a key player in space technology and autonomous systems.

Despite the strong revenue performance, AeroVironment's adjusted earnings per share for the quarter came in at $0.44. This figure did not meet analyst expectations, which had projected earnings of $0.79 per share. The company's adjusted EBITDA did show a significant increase of 74% to $45 million, but the lower-than-anticipated earnings per share impacted investor sentiment.

Looking ahead, AeroVironment maintains a positive outlook, projecting full-year revenue between $1.95 billion and $2 billion. Management remains confident in the company's strategic positioning and innovation capabilities within the evolving defense sector, emphasizing its readiness to meet critical defense needs and lead in the generational shift toward drone-based solutions.