AeroVironment upgraded to Strong Buy from Outperform at Raymond James

Raymond James analyst Brian Gesuale upgraded AeroVironment to Strong Buy from Outperform with a price target of $130, up from $105. The firm’s analysis suggests that consensus models have miscalculated across 3-vectors creating a significant delta between reality and forecasts including underappreciating recent order momentum, underestimating the pace that orders will convert to revenue, and overestimating the negative impacts of supply chain constraints in delivering products, the analyst tells investors in a research note. The firm also raised its Street-high FY24 estimate to $705M in sales, or 21% above the Street, and thinks that could prove conservative.