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AeroVironment, Inc. Class Action Lawsuit Announcement

Robbins Geller Rudman & Dowd LLP has formally announced an opportunity for investors of AeroVironment, Inc. (NASDAQ: AVAV) who have incurred substantial losses to lead a class action lawsuit. This legal action pertains to transactions conducted between June 25, 2025, and March 10, 2026. Investors who meet the specified criteria are encouraged to step forward as the deadline for nominations approaches on July 27, 2026.

The class action, titled Norrell v. AeroVironment, Inc., demands accountability for alleged violations of the Securities Exchange Act. It points to significant misrepresentations by AeroVironment's management regarding the company’s business prospects and the potential impacts of competition, particularly concerning contracts related to the U.S. Space Force's Satellite Communication Augmentation Resource (SCAR) program.

Background on AeroVironment's Current Situation

AeroVironment is known for its innovative approaches in designing and delivering cutting-edge robotic systems primarily for government entities and commercial enterprises. However, troubling developments have surfaced that have caused significant concern amongst stakeholders.

On May 1, 2025, the firm announced its acquisition of BlueHalo, a company already engaged in supporting the SCAR program. This acquisition was heralded as a significant achievement, as it aligned with the U.S. Space Force's modernization efforts for its Satellite Control Network. Notably, this network is crucial for satellite navigation and data communication.

Misleading Statements and Stock Decline

During the class period, AeroVironment’s leadership is accused of making misleading statements regarding the company’s competitive landscape. They allegedly downplayed the imminent threat posed by competitors in the SCAR program, leading investors to overestimate the firm’s business health.

The situation escalated dramatically when, on January 20, 2026, the U.S. government issued a stop work order on agreements to deliver BADGER systems under the SCAR contract. This information, followed by the revelation that negotiations for an amended agreement were necessary, caused AeroVironment’s stock to nosedive by almost 16%.

Subsequent reports indicated that the U.S. Space Force was reevaluating the SCAR program, prompting another drop of more than 17% in stock prices. The culmination of these events led to a disastrous third-quarter financial report on March 10, 2026, revealing an operating loss dramatically higher than the prior year. A substantial goodwill impairment within AeroVironment's space division further fueled investor discontent and the stock's decline, falling another 6% post-announcement.

The Importance of Participating in the Class Action

For affected investors, participating as a lead plaintiff can be critical. The Private Securities Litigation Reform Act of 1995 allows investors who have suffered economic losses during the set period to apply for this position. The primary role of a lead plaintiff is to act on behalf of all class members and steer the direction of the lawsuit.

Choosing to participate not only aids in the legal process but also signals a unified front in pursuit of justice against perceived corporate misconduct. Investors are reminded that their recovery from the lawsuit is not contingent upon serving as lead plaintiff. They have the option to select a legal expert from Robbins Geller as their representation, ensuring their interests are effectively prioritized in the case.

About Robbins Geller

Robbins Geller Rudman & Dowd LLP is a renowned law firm that specializes in securities fraud litigation, known for successfully recovering billions for investors. With a proven track record, the firm has established itself as a leader in achieving substantial settlements for its clients, underscoring the importance of investor rights in today's business landscape.

In this challenging time, affected AeroVironment investors are urged to consider their options and take necessary actions to address their losses through participation in the class action lawsuit.