Why AeroVironment Is Ready to Fly

Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, unmanned aerial vehicle specialist AeroVironment (NASDAQ: AVAV  ) has earned a coveted five-star ranking.

With that in mind, let's take a closer look at AeroVironment and see what CAPS investors are saying about the stock right now.

AeroVironment facts

Headquarters (Founded)

Monrovia, Calif. (1971)

Market Cap

$503.4 million

Industry

Aerospace and defense

Trailing-12-Month Revenue

$321.6 million

Management

Chairman/CEO Timothy Conver
CFO Jikun Kim

Return on Equity (Average, Past 3 Years)

11.2%

Cash/Debt

$135.5 million / $0

Competitors

Aker ASA
L-3 Communications
(NYSE: LLL  )
Lockheed Martin
(NYSE: LMT  )

Sources: S&P Capital IQ and Motley Fool CAPS.

On CAPS, 97% of the 612 members who have rated AeroVironment believe the stock will outperform the S&P 500 going forward.

Just yesterday, one of those Fools, Lambo303, succinctly summed up the AeroVironment bull case for our community: "This is an unexplored, relatively undeveloped area. Unmanned aircrafts have a huge potential, and as long as [AeroVironment] sticks to the basics and continue doing what they do, they have the potential for huge gains."

If you want market-thumping returns, you need to put together the best portfolio you can. Of course, despite a strong four-star rating, AeroVironment may not be your top choice.

We've found another stock we are incredibly excited about -- excited enough to dub it "The Motley Fool's Top Stock for 2013." We have compiled a special free report for investors to uncover this stock today. The report is 100% free, but it won't be here forever, so click here to access it now.

Want to see how well (or not so well) the stocks in this series are performing? Follow the TrackPoisedTo CAPS account.


Read/Post Comments (1) | Recommend This Article (2)

Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

  • Report this Comment On February 13, 2013, at 12:51 PM, woo131 wrote:

    Your article proves that the CAPS rating is not trustworthy.

    You state that the return on equity is 11.2% over three years. This is fallacious since the stock has gone nowhere over 3 years and does not pay a dividend. If you were able to pick the day to sell and short and traded daily, maybe you could figure out (using hindsight) how to make a profit.

    AVAV is stuck in the questionable electric charging business since without decent batteries the electric car is a dodo, and in the tiny drone business which is also questionable unless drones are made into nonmilitary items. Their glorious history is just that.

Add your comment.

Sponsored Links

Leaked: Apple's Next Smart Device
(Warning, it may shock you)
The secret is out... experts are predicting 458 million of these types of devices will be sold per year. 1 hyper-growth company stands to rake in maximum profit - and it's NOT Apple. Show me Apple's new smart gizmo!

DocumentId: 2217176, ~/Articles/ArticleHandler.aspx, 9/2/2014 5:42:00 AM

Report This Comment

Use this area to report a comment that you believe is in violation of the community guidelines. Our team will review the entry and take any appropriate action.

Sending report...

Apple's next smart device (warning, it may shock you

Apple recently recruited a secret-development "dream team" to guarantee its newest smart device was kept hidden from the public for as long as possible. But the secret is out. In fact, ABI Research predicts 485 million of this type of device will be sold per year. But one small company makes Apple's gadget possible. And its stock price has nearly unlimited room to run for early-in-the-know investors. To be one of them, and see Apple's newest smart gizmo, just click here!


Advertisement