Why AeroVironment Stock Popped 10.4% in September
Small drone aircraft-maker AeroVironment (NASDAQ: AVAV) entered into September on a high note -- then promptly fell asleep. Reporting earnings on August 30, 2017, AeroVironment boasted of strong, 21% sales growth. Although the company lost money in the quarter, it lost far less than it had guided investors to expect, sparking an 18% rally in the stock and setting up AeroVironment for a great September to follow.
Instead, AeroVironment basically tread water for the next two weeks before finally showing signs of life again in mid-September. A couple of positive news items later, the stock ended up gaining a respectable 10.4% for the month.
There were two things that brought AeroVironment stock back to life mid-month. First, on September 19, AeroVironment announced that its small "efficient energy systems" division -- which builds electric power-charging equipment for vehicles -- had been chosen to serve "as an official North American provider of BMW and MINI-branded TurboCord accessory EV chargers." With this announcement, AeroVironment says it is now "a preferred integrated North American home charging solution supplier" for nine of the world's biggest automakers.
Source: Fool.com
