AeroVironment, Inc. (NASDAQ:AVAV) shares are climbing sharply on Thursday morning after the defense technology leader secured a multi-million dollar military contract.

According to the company, the 39-month, $20 million contract focuses on advancing next-generation ceramic and ceramic matrix composite materials (CMCs). These materials will support future U.S. Air Force and Space Force missions in extreme aerospace and defense applications.

AV materials experts will partner with AFRL scientists and engineers at Wright-Patterson Air Force Base in Dayton, Ohio. The team will utilize 3D printing, advanced additive manufacturing, and sensor integration to build lightweight, thermally resilient structures. These include high-speed aerodynamic vehicles, rocket propulsion systems, and transparent armor.

“Through the CAMP program, we’re not just developing better ceramics—we’re creating the materials foundation for the future of flight and space operations,” John Hogan, Vice President of Defense and Interagency Service at AV, said.

AeroVironment Technical Analysis

From a trend perspective, AeroVironment is now trading 25.5% above its 20-day SMA ($171.37) and 15.7% above its 50-day SMA ($185.79), signaling strong near-term upside pressure after a prior downswing.

The bigger-picture trend is still mixed, though, with the stock trading 7.2% below its 100-day SMA ($231.70) and 18.2% below its 200-day SMA ($262.74).

Momentum is best read through RSI, which sits at 53.07—neutral.

  • Key Resistance: $222.50
  • Key Support: $175

Price Action

AeroVironment shares were up 18.04% at $213.99 at the time of publication on Thursday, according to Benzinga Pro data.

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