Strong Analyst Sentiment on AeroVironment (AVAV) Amid Improving Momentum in Space and Defense Technology

AeroVironment, Inc. (NASDAQ:AVAV) stands out as one of Cathie Wood’s 10 stock picks with huge upside potential.

As of February 2, 2026, nearly all analysts covering AeroVironment, Inc. (NASDAQ:AVAV) remain bullish, with a 46.50% consensus upside potential. Analyst sentiment remains strong amid a series of developments late in January that further draw investor attention to the stock.

On January 28, 2026, KeyBanc turned its attention to AeroVironment, Inc. (NASDAQ:AVAV), raising its price target from $285 to $330, while reiterating an ‘Overweight’ rating. The update came as the firm revised its outlook on space and defense technology stocks following recent events and headlines. KeyBanc expects the attractive macro environment to persist through 2026, supporting growth opportunities and potential re-ratings across the group.

On the same day, AeroVironment, Inc. (NASDAQ:AVAV) announced that its UES division was awarded a $75 million U.S. Air Force task order under the Functional Responsive Experimentation for Systems and Humans (FRESH) program. With the 60-month contract, the company expands its ongoing work with the Air Force Research Laboratory. The company will focus on biotechnology, advanced polymers, responsive materials, and AI-enabled research to modernize air, space, and weapons systems.

AeroVironment, Inc. (NASDAQ:AVAV) focuses on designing and producing multi-domain robotic systems. The company also conducts advanced customer-funded research through its MacCready Works segment for defense and aerospace applications.

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