10 Best NASDAQ Growth Stocks to Buy for the Next 10 Years

4. AeroVironment, Inc. (NASDAQ:AVAV)

Potential Upside: 44.82%

Number of Hedge Fund Holders: 37

On January 28, KeyBanc analyst Michael Leshock raised the firm’s price target on AeroVironment, Inc. (NASDAQ:AVAV) from $285 to $330 while maintaining a Buy rating. The firm’s upwardly adjusted price target indicates a further 12.5% upside from current levels.

The firm said that it is updating its outlook on the industry following a series of recent developments and headlines that have directly influenced the space and defense technology sectors. KeyBanc expects an attractive macroeconomic environment to persist through 2026. The firm anticipates this environment to support meaningful growth opportunities and potentially lead to valuation re-ratings across space and defense technology stocks.

Moreover, the United States Air Force awarded a $75M task order to UES, a division of the advanced research and development leader AeroVironment, Inc. (NASDAQ:AVAV), to support the modernization of the defense system. The contract is focused on the development of next-generation biotechnology materials science capabilities under the Functional Responsive Experimentation for Systems and Humans program.

AeroVironment, Inc. (NASDAQ:AVAV) produces, supports, develops, designs, and delivers a portfolio of robotic systems and related services for businesses and government agencies across the United States and the world. The company operates through the Space, Cyber, Directed Energy, and Autonomous Systems segments.