Jim Cramer on AeroVironment: "A Very Good Company, Very Well-Run"

AeroVironment, Inc. (NASDAQ:AVAV) is one of the stocks Jim Cramer commented on. A caller asked how the radar problem is going to impact the company’s “bottom line, their revenue, and their backlog that they have with the government contracts that they hold.” Cramer replied:

Well, look, it’s a great question. I think that they, look, I think that, in the end, this is a company that’s loved and provides a valuable service, and they’re going to fix it. And you know, I liked this company from when it was literally like a teenager, and then when it was like a hundred, I said buy it. I can’t back away from it because of that problem. I think that this company’s a very good company. Very well-run.

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AeroVironment, Inc. (NASDAQ:AVAV) develops robotic and autonomous systems, including uncrewed aircraft, counter-UAS tools, precision-strike solutions, advanced AI, and autonomy. In addition, the company provides space, cyber, communications, and intelligence systems used in defense and commercial applications. It should be noted that Cramer called it “incredibly expensive” during the January 20 episode, as he said:

Then there are the companies that make drones for the defense department, like Kratos Defense & Security, AVAV… the former AeroVironment, bear with me on this one, smaller player Red Cat, all three up between 37% and 82% for the year. Now, I actually like AVAV… along with Kratos, actually profitable, but they’re both incredibly expensive at these levels. Plus, there hasn’t been any real catalysts for the drone companies aside from the president’s sabre-rattling.

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