Stifel Maintains Buy Rating on AeroVironment (AVAV) Following Strong Q1 Sales Growth

AeroVironment, Inc. (NASDAQ:AVAV) ranks among the best fast growth stocks to buy now. Following the company’s first-quarter results, which revealed better-than-expected sales growth, Stifel maintained its Buy rating and $295 price target on AeroVironment, Inc. (NASDAQ:AVAV) on September 10.

The drone manufacturer reiterated its fiscal year projection for both sales and EBITDA and recorded a 16% organic sales growth in the quarter, exceeding the expectations of the market. Moreover, Stifel does not consider AeroVironment’s continued delay in turning its $3.1 billion unpaid backlog into funded contracts to be a serious concern.

Considering that AeroVironment, Inc. (NASDAQ:AVAV) is now pursuing more than 20 separate programs with potential worth surpassing $20 billion over the next five years, Stifel expects funding will eventually follow government priorities and the spike in backlog.

AeroVironment, Inc. (NASDAQ:AVAV) is a company that designs, develops, manufactures, delivers, and supports a range of robotic systems and associated services for businesses and government organizations both domestically and abroad.

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Disclosure: None. This article is originally published at Insider Monkey.