New York, March 2, 2026, 05:16 ET — Premarket
- AeroVironment (AVAV) bounced nearly 12% higher ahead of the bell, shaking off a choppy stretch last week.
- Defense shares rose, bucking a drop in wider U.S. equity futures after the Middle East escalation.
- AVAV’s next key moment: earnings set for March 10. That’s where investors are focusing for a fresh catalyst.
AeroVironment, Inc jumped 12.47% to $283.71 ahead of the open, with Friday’s session closing at $252.25, Investing.com data show. Investing.com
U.S. stock index futures slid over 1% as investors shifted quickly into defense stocks after the weekend’s coordinated strikes by the U.S. and Israel on Iran. Shares of Lockheed Martin and RTX jumped roughly 6% in premarket action, with Kratos up 9%. The sector rally ran counter to the risk-off mood elsewhere. Reuters
Oil’s jump and worries over inflation are pushing markets lower. “This is a relatively moderate reaction considering that the Strait of Hormuz is effectively closed,” said Commerzbank’s Joerg Kraemer. Jefferies economist Mohit Kumar added, “We see further (market) downside in the coming days.” Reuters
This weekend’s strikes highlighted the growing role of drones on the battlefield — and not just by adversaries. The U.S. has deployed inexpensive, one-way attack drones inspired by Iranian models, Reuters said. Pentagon officials call the strategy “affordable mass,” a nod to prioritizing a steady supply of cheaper munitions along with pricier, high-tech systems. Reuters
AeroVironment hasn’t shied away from the trend. On Feb. 26, the company reported a $186 million delivery order from the U.S. Army, set for the upgraded Switchblade 600 Block 2 and Switchblade 300 Block 20 systems. “This delivery order reflects the Army’s confidence in the next evolution of the Switchblade family,” said Brian Young, who oversees loitering munitions at AV. Avinc
Loitering munitions are small drones capable of circling overhead before hitting a target, which allows troops extra time for confirmation. The Army’s purchase falls under an IDIQ contract, a framework that enables the government to issue several delivery orders as needed.
Still, it’s as much about headlines as about contracts in premarket action. Any tilt toward de-escalation threatens to pull defense stocks back fast, with these names prone to shedding gains if orders slow or schedules shift.
AVAV has its next big event lined up for March 10, when the company’s fiscal third-quarter numbers drop after the bell. The conference call starts at 4:30 p.m. ET, with CEO Wahid Nawabi and CFO Kevin P. McDonnell taking the lead, joined by investor relations chief Denise Pacioni. Avinc
