5 Best Mid Cap Defense Stocks to Invest In

2. AeroVironment, Inc. (NASDAQ:AVAV)

Number of Hedge Fund Holders: 40

AeroVironment, Inc. (NASDAQ:AVAV) is among the 7 Best Mid-Cap Defense Stocks to Invest In. On April 7, the company announced that its UES division had received a three-year, $25 million contract from the U.S. Air Force to mature human health and performance technologies from research to operational use.

Under the agreement, the defense technology firm will transition technologies that have remained mainly in mid-stage development to field deployment with the aim of strengthening the capabilities of warfighters.

According to the press release, the program will focus on four main areas of sensor systems, diagnostic tools, AI or machine learning-enabled databases, and emerging biotechnology platforms.

In other news, AeroVironment, Inc. (NASDAQ:AVAV) continues to remain on analysts’ radar and currently sports a Strong Buy rating. As of the close on April 10, it has an average share price upside potential of 69%.

Recent updates include one from Raymond James, which on March 23 upgraded the stock to Market Perform from Underperform. The firm’s analyst, Brian Gesuale, noted the steep pullback in the share price last month and said that the underperformance and multiple contraction had resulted in a balanced risk-reward dynamic.

AeroVironment, Inc. (NASDAQ:AVAV) designs and manufactures unmanned aerial vehicles, ground robot systems, and loitering munition systems. The stock is down 26% year-to-date.