Nasdaq · defense uncrewed systems · loitering munitions (Switchblade)

AeroVironment

A defense firm supplying US and allied forces with small drones and loitering munitions (Switchblade 300/600), where post-Ukraine drone-warfare demand is the core driver. FY2025 revenue was $821M (+14.5%) with a Switchblade backlog of $764M, scaling to 14,400/year (1,200/month). Its 2025 BlueHalo acquisition added space, cyber and directed energy, more than doubling FY2026 revenue guidance to $1.9-2.0B — what matters now is the integration of that deal and the pace at which backlog converts to revenue.

AVAV Updated Jul 12, 2026 3 AI consumers· 1 recurring

Per the valuechain.wiki graph, AeroVironment is directly linked to 2 companies (2 supply, 0 revenue relationships) and reaches 3 companies within two hops; the links are backed by 3 dated sources, 1 of them primary filings (as of 2026-07-12).

Annual return · 2026-07-10'21-28.6%'22+38.1%'23+47.1%'24+22.1%'25+57.2%YTD-40.2%
Money inUS military · allies (loitering munitions · drones)Revenue ~$821MSpace · cyber · directed energy (BlueHalo)
AeroVironmentFY2025 revenue $821M
Money outAmbarellaTeledyne TechnologiesSensors · components · capacity expansion (undisclosed)

Financials & Segments

  • Total revenue · FY2025 revenue $821M (+14.5%)
  • Customer concentration · Switchblade 1,200/month; BlueHalo deal.
  • Segments · Loitering munitions (Switchblade) · Recon drones · Space/cyber (BlueHalo)

Revenue from

  • US military · allies (loitering munitions · drones) High confidence· Revenue ~$821M · 2025 · FY2025 revenue (+14.5%)
    Switchblade and recon-drone sales to US/allied forces are the revenue base. FY2025 $821M (+14.5%), a $764M backlog worked at 1,200/month — government orders anchor earnings visibility.
    Confirms EN Army Recognition Published Jun 1, 2025: AeroVironment to produce 14,400 Switchblades/year
    Confirms EN SEC EDGAR Published Mar 4, 2025: AeroVironment FY2025 results (8-K)
  • Space · cyber · directed energy (BlueHalo) Medium confidence
    Space, cyber and directed energy added via BlueHalo — the growth engine behind $1.9-2.0B FY2026 guidance and the execution risk of integration.
    Confirms EN BeyondSPX Published Jan 1, 2026: AeroVironment $743M Switchblade ceiling; BlueHalo

Pays to

  • Ambarella Medium confidence
    Uses Ambarella edge-AI vision SoCs for the vision/targeting of its drones and munitions — the brains of autonomous targeting, so its ramp flows straight into Ambarella demand.
    Confirms EN BeyondSPX Published Jan 1, 2026: AeroVironment $743M Switchblade ceiling; BlueHalo
  • Teledyne Technologies Medium confidence
    Teledyne supplies EO/IR sensors for AeroVironment's drones/munitions — a core component for night and precision targeting, with limited alternative sources.
    Confirms EN BeyondSPX Published Jan 1, 2026: AeroVironment $743M Switchblade ceiling; BlueHalo
  • Sensors · components · capacity expansion (undisclosed) Low confidence
    Sensors, electronics sourcing and Salt Lake capacity expansion — the capex to clear backlog, where ramp bottlenecks are set.
    Confirms EN Army Recognition Published Jun 1, 2025: AeroVironment to produce 14,400 Switchblades/year

Value-chain ripple (2 tiers)

Following node-to-node links up to 2 tiers; each firm is shown once, at its nearest tier.

CompanyChain'21'22'23'24'25YTD
AeroVironmentnode-28.6+38.1+47.1+22.1+57.2-40.2
Teledyne Technologiesbenef1+11.5-8.5+11.6+4+10+24.3
Ambarellabenef1+121-59.5-25.5+18.7-2.6+9.1
TSMCbenef2+12.1-36.7+42.3+92.6+55.9+43.6

YTD as of 2026-07-10 · source: Yahoo Finance

AeroVironment is morphing from a pure beneficiary of the drone-warfare shift into a defense-platform company. Switchblade loitering munitions have become a standard weapon post-Ukraine, with demand pre-committed via a $764M backlog and a ramp to 1,200/month, while the 2025 BlueHalo acquisition added space, cyber and directed energy and doubled FY2026 revenue guidance to $1.9-2.0B. The 2026 give-back after a +57% surge in 2025 looks like valuation normalization rather than a fundamentals break — the swing factors are backlog-to-revenue conversion and BlueHalo integration synergies. On the cost side it depends on component suppliers like Ambarella (edge AI vision SoCs) and Teledyne (EO/IR sensors), so the ramp ripples to them first. Re-rating triggers are the Switchblade production ramp, BlueHalo's earnings contribution, and the defense-budget cycle.

Analysis generated from returns as of 2026-07-09

Analyst ratings

Consensus: Buy 2 · Hold 1 · Sell 0 · Avg. target $244 · Price $144.58 (07-10) · Upside +69%

BrokerRatingTargetPublished
RBC Capital Markets · Ken HerbertSector Perform$180Jul 9, 2026Report
Goldman Sachs · Noah PoponakBuy$326Jul 9, 2026Report
Needham & Company · Austin BohligBuy$225Jul 9, 2026Report

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