AeroVironment (AVAV) has been riding on the narrative that it’s likely to be the next Palantir (PLTR). And a strong rally of 60% for the year is backed by positive fundamental developments.
Year-to-date (YTD) returns would have been healthier considering the fact that AVAV stock touched highs of $417 in October 2025. There has, however, been a sharp correction of 40% from the highs. Stretched valuation coupled with an earnings miss for Q2 2026 has triggered the correction.
