--- title: "AeroVironment's 'Crushing' Earnings Spark Drone 'Super Cycle' Talk: Stocks And ETFs To Watch" type: "News" locale: "en" url: "https://longbridge.com/en/news/291260164.md" description: "AeroVironment's Q4 earnings beat estimates, sparking talk of a drone 'super cycle' and driving its stock up over 20%. While revenue surged to $641.62 million, FY27 guidance for EPS fell short of expectations, though analysts note the company's history of conservative forecasting. The positive sentiment also lifted shares of peers like Red Cat Holdings and Kratos Defense, alongside drone-focused ETFs." datetime: "2026-06-30T09:23:33.000Z" locales: - [zh-CN](https://longbridge.com/zh-CN/news/291260164.md) - [en](https://longbridge.com/en/news/291260164.md) - [zh-HK](https://longbridge.com/zh-HK/news/291260164.md) --- # AeroVironment's 'Crushing' Earnings Spark Drone 'Super Cycle' Talk: Stocks And ETFs To Watch **AeroVironment Inc.**‘s (NASDAQ:AVAV) quarterly results sparked a wave of bullish commentary Monday, with investors looking beyond the quarter and toward the company’s long-term role in the rapidly evolving defense technology market. ## Investors Focus On The Next Big Story Investor **Shay Boloor** said AeroVironment “absolutely crushed” its earnings and described the company as “one of the clearest plays on modern drone warfare,” citing growing demand for expendable drones and loitering munitions. > $AVAV up over 20% after crushing earnings driven by rising demand for expendable drones & loitering munitions > > Its Switchblade drones are low-cost strike systems built to launch, hit a target and be replaced making AeroVironment one of the clearest plays on modern drone warfare. https://t.co/vv4Ffdt0Dn pic.twitter.com/4kKv1X6KvM > > — Shay Boloor (@StockSavvyShay) June 30, 2026 During Monday’s earnings call, CEO **Wahid Nawabi** said AeroVironment’s counter-UAS, or counter-drone business, remains in the “early stages” of adoption and could become as large as, or even two to three times larger than, its existing franchise over the next three to five years. Market commentator **The Analyst** on X said the earnings signaled that the “drone defense super-cycle has arrived,” with governments increasingly prioritizing autonomous systems, loitering munitions and counter-UAS capabilities in defense spending. > THE DRONE DEFENSE SUPER-CYCLE HAS ARRIVED > > Yesterday’s explosive Q4 2026 earnings from AeroVironment ($AVAV ) didn’t just validate the drone sector—they signaled a massive, structural shift in global warfare. > > But while AVAV is capturing the spotlight, the real alpha lies in the… https://t.co/ksJEB4NtSO pic.twitter.com/P6OSiKxpdP > > — The Analyst (@the\_analyst\_24) June 30, 2026 **Read Also: Uber Ends Waymo Robotaxi Partnership In Phoenix, Plans New AV Tie-Up: Report** ## **Drone Stocks To Watch** The optimism around the drone sector has also put other unmanned aerial systems companies in focus, including **Red Cat Holdings Inc.** (NASDAQ:RCAT), **Ondas Inc.** (NASDAQ:ONDS), **Unusual Machines Inc.** (NYSE:UMAC) and **Kratos Defense & Security Solutions Inc.** (NASDAQ:KTOS), as investors increasingly look for broader exposure to the drone and autonomous systems theme. In extended trading on Monday, Red Cat rose 3% following AeroVironment’s earnings report. Ondas gained 1.75%, while Unusual Machines and Kratos Defense & Security Solutions advanced 2.86% and 3.48%, respectively. ## ETF Exposure The **REX Drone ETF** (NASDAQ:DRNZ) provides exposure to the drone industry, with holdings including AeroVironment, Red Cat Holdings and Kratos Defense & Security Solutions, and it charges an expense ratio of 0.65%. Shares have fallen 8.76% year-to-date and 12.98% over the past year. The **Defiance Drone and Modern Warfare ETF** (NYSE:JEDI) provides exposure to drone and modern warfare companies, charges a 0.69% expense ratio, and has gained 10.87% so far this year and 9.64% over the past year. The **ARK Space & Defense Innovation ETF** (NYSE:ARKX), which holds major aerospace and defense companies including AeroVironment, **Space Exploration Technologies Corp.** (NASDAQ:SPCX) and Kratos, has gained 10.36% year to date and 37.13% over the past 52 weeks. ## **‘A History Of Guiding Conservatively’** AeroVironment reported fourth-quarter revenue of $641.62 million and adjusted EPS of $1.84, topping estimates of $558.81 million and $1.46, respectively, according to Benzinga Pro. The company guided for fiscal 2027 revenue of approximately $2.13 billion to $2.23 billion versus estimates of $2.19 billion, and adjusted EPS of $3.02 to $3.34 versus estimates of $3.98. **Future Fund** Managing Partner **Gary Black** said AeroVironment has “a history of guiding conservatively at the beginning of the fiscal year,” after the company’s fiscal 2027 guidance came in below Wall Street expectations. > $AVAV +15% after hours after beating 4Q ests and guiding to higher than consensus FY’27 revs. FY’27 guidance for Adj EBITDA and Adj EPS were below expectations although the company has a history of guiding conservatively at the beginning of the fiscal year. AVAV had declined… > > — Gary Black (@garyblack00) June 29, 2026 **Price Action:** After closing, AVAV rose 0.76% to $139 on Monday and soared 20.86% in pre-market trading on Tuesday. **Benzinga edge rankings** indicate AVAV has a Momentum score in the 2nd percentile, and a negative price trend across the short, medium and long term. **Read Also: Tom Lee Tells Anthony Scaramucci That Michael Saylor's Bitcoin-Buying Firm Will Stage A 'Big Recovery,' But He Has These Words Of Advice** **_Disclaimer_:** _This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors._ _Photo courtesy: Piotr Swat / Shutterstock_ ### Related Stocks - [RCAT.US](https://longbridge.com/en/quote/RCAT.US.md) - [AVAV.US](https://longbridge.com/en/quote/AVAV.US.md) - [KTOS.US](https://longbridge.com/en/quote/KTOS.US.md) - [RCAX.US](https://longbridge.com/en/quote/RCAX.US.md) - [AVXX.US](https://longbridge.com/en/quote/AVXX.US.md) - [KTUP.US](https://longbridge.com/en/quote/KTUP.US.md) - [UBER.US](https://longbridge.com/en/quote/UBER.US.md) - [ONDS.US](https://longbridge.com/en/quote/ONDS.US.md) - [UMAC.US](https://longbridge.com/en/quote/UMAC.US.md) - [DRNZ.US](https://longbridge.com/en/quote/DRNZ.US.md) - [JEDI.US](https://longbridge.com/en/quote/JEDI.US.md) - [ARKX.US](https://longbridge.com/en/quote/ARKX.US.md) - [SPCX.US](https://longbridge.com/en/quote/SPCX.US.md) ## Related News & Research - [Clear Street Keeps Their Buy Rating on AeroVironment (AVAV)](https://longbridge.com/en/news/294058776.md) - [Kratos Defense & Security Solutions (KTOS) Expected to Release Quarterly Earnings on Tuesday](https://longbridge.com/en/news/294090435.md) - [United States Brent Oil Fund LP ETF announces June NAV of $40.41](https://longbridge.com/en/news/294302677.md) - [AeroVironment says AV_Halo COMMAND open APIs link Switchblade 400 to Army IBCS-M in four days](https://longbridge.com/en/news/293929961.md) - [Red Cat Issues Statement Regarding Steyr Motors AG | RCAT Stock News](https://longbridge.com/en/news/294131676.md)