RBC Capital Sees Sharp Upside In This Direct Beneficiary Of Russia's Invasion Of Ukraine

  • AeroVironment, Inc. AVAV has been upgraded to Outperform from Sector Perform, and the price target was raised to $100 (an upside of 17%) from $95 by RBC Capital analyst Ken Herbert.
  • The stock is up 44 % since the commencement of the Ukrainian war (compared to the small-cap defence sector's average growth of 15.3%); the analyst believes the acceleration in demand for AeroVironment's Switchblade signals a positive inflection point that should be sustained.
  • Herbert believes that the announced shipments to Ukraine will generate $50 million in revenue. Still, with the rapid opening of other foreign markets (20 countries have been approved as of today), a further upside is possible.
  • Although execution and timing remain challenges, Outperform rating and $100 price target are justified by the improved fundamental outlook, the analyst added.
  • Price Action: AVAV shares are trading higher by 4.15% at $85.27 on the last check Wednesday.
Market News and Data brought to you by Benzinga APIs
Comments
Loading...
date
ticker
name
Price Target
Upside/Downside
Recommendation
Firm
Posted In: Analyst ColorNewsUpgradesPrice TargetAnalyst RatingsMoversTrading IdeasBriefs
Benzinga simplifies the market for smarter investing

Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.

Join Now: Free!