AeroVironment price target raised to $115 from $106 at Canaccord

Canaccord analyst Austin Moeller raised the firm’s price target on AeroVironment to $115 from $106 and keeps a Buy rating on the shares. The analyst said the massive rate of munitions expenditure in Ukraine will force the DoD and its allies to stockpile far more drones than it has in the past, especially to be prepared against a major adversary like China. As a result we are raising our 2024 revenue and adjusted EBITDA estimates to $600M and $124M, respectively, reflecting 12.5% top-line growth and an increase in our price target.