Investors now await first-quarter earnings amid production expansion, contract wins, and European growth.

  • AeroVironment received a $51 million U.S. Army order for additional Switchblade 600 Block 2 systems.
  • AeroVironment is investing $100 million in a new California campus to boost production and meet defense demand. 
  • The company will report Q1 results September 9, with analysts expecting $459 million in revenue. 

AeroVironment Inc. (AVAV) stock gained overnight after the defense contractor secured a $51 million U.S. Army order for additional Switchblade 600 systems as investors turn to looming earnings, placing the drone maker’s execution and outlook firmly in focus. 

AeroVironment Lands $51 Million Army Deal 

AeroVironment said on Wednesday that the U.S. Army placed a $51 million delivery order covering additional Switchblade 600 Block 2 systems. The deal also includes Block 1 units intended for an allied country through a U.S. Foreign Military Sale.

The latest contract is part of a five-year, $990 million Army deal for Lethal Unmanned Systems that began in 2024. AeroVironment said the new award follows the service’s earlier procurement of its newer Switchblade systems.

“Continued investment by the U.S. Army in Switchblade 600 Block 2 reflects both the growing demand for long-range, precision loitering munitions and the proven reliability of the Switchblade family in demanding operational environments,” said Brian Young, Senior Vice President of Loitering Munitions, AeroVironment.

The AeroVironment Switchblade 600 Block 2 is an upgraded version of the company’s long-range loitering munition (kamikaze drone). Built mainly to strike armored targets from a distance, it adds better sensors, AI-powered targeting, stronger communications and improved navigation to operate in areas where GPS and communications may be disrupted. 

AeroVironment stock traded nearly 1% higher overnight, ahead of Thursday. The stock is on track for a second week of losses. 

AeroVironment Boosts Production Capacity Ahead Of Earnings 

Heading into its Q1 fiscal 2027 earnings release, AeroVironment (AV) executed a series of aggressive strategic moves in August to strengthen its operational foundation, leadership governance, and global footprint. 

AeroVironment will invest $100 million in a new 400,000-square-foot campus in Moorpark, California. The site will combine five locations, helping the company improve production and meet rising global defense demand. The company also added aerospace and defense veteran Michael D. Ruppert to its board for his finance and deal-making experience. 

Additionally, AeroVironment is expanding in Europe by setting up local production in Greece through a joint venture called AV Eagle with Eyeonix SA. The move will help it serve Greece, NATO allies and other European markets.

The company is slated to report fiscal first-quarter 2027 earnings on September 9. Analysts project $459 million in revenue and $ 0.30 per share in earnings, according to Fiscal AI data. 

What AVAV Retail Traders Are Saying 

On Stocktwits, retail sentiment around the stock remained in ‘neutral’ territory. 

A user said, “AeroVironment has had three separate swings of 40%+ in roughly the past three months.That’s an incredible amount of volatility for a stock of its size moving more than 40% up or down, recovering, and then doing it all over again multiple times in such a short period. Wild price action!!” 

Another user said, “Earnings coming up soon, curious how defense demand and margins are trending this quarter. Market seems split on guidance expectations going in. Volume's been picking up ahead of the print. Will be watching the commentary on order backlog more than the headline numbers.”

AVAV stock has crashed 39% so far this year. 

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