Sifting through countless of stocks in the Aerospace & Defense industry can be tedious, and sometimes two stocks are just too similar to judge which is the better investment. If you’re on the fence about investing in AeroVironment, Inc., Kratos Defense & Security Solutions or Inc. because you’re not sure how they measure up, it’s important to compare them on a few factors before making your decision.

Read on to learn how AeroVironment, Inc., Kratos Defense & Security Solutions and Inc. compare based on key financial metrics to determine which better meets your investment needs.

About AeroVironment, Inc., Kratos Defense & Security Solutions and Inc.

AeroVironment, Inc. designs, develops, produces, delivers, and supports a portfolio of robotic systems and related services for government agencies and businesses in the United States and internationally. It operates in two segments, Autonomous Systems; and Space, Cyber and Directed Energy. The company provides uncrewed aircraft systems (UAS), which include small and medium UAS, and kinesis command and control software; and counter-UAS and precision strike, a loitering munitions solution that deliver actionable intelligence and precision firepower modern warfighters, including precision strike, radio frequency and kinetic C-UAS, and electronic warfare systems. It also offers autonomy, AI, and platform technologies; unmanned maritime; uncrewed ground systems; and high-altitude pseudo-satellites. The company provides digital beamforming technology, a multi-band/beam software defined antenna tile that allows simultaneous communication with multiple satellites; laser communications, a data transmission systems for space operations; space-qualified hardware for line of sight stabilization and control electronics in low, medium, and geostationary earth orbit, as well as cislunar orbits; phased array antenna technology to supports hypersonic telemetry and tracking, and other missile testing; and directed energy solution. It also offers cyber solution for national security and defense operations; and HaloCortex OSINT, an AI-powered OSINT analysis platform to provide insights and solve department of defense and commercial challenges. AeroVironment, Inc. was incorporated in 1971 and is headquartered in Arlington, Virginia.

Kratos Defense & Security Solutions, Inc., a technology company, provides technology, hardware, products, system, and software for the defense, national security, and commercial markets in the United States, other North America, the Asia Pacific, the Middle East, Europe, and Internationally. The company operates through Kratos Government Solutions and Unmanned Systems segments. It offers virtualized ground systems for satellites and space vehicles, including software for command and control, telemetry, and tracking and control; jet powered unmanned aerial drone systems and hypersonic vehicles and rocket systems; propulsion systems for drones, missiles, loitering munitions, supersonic systems, spacecraft and launch systems, command, control, communication, computing, combat, and intelligence surveillance and reconnaissance; and microwave electronic products for missile, radar, missile defense, space, and satellite; and counter unmanned aircraft systems, directed energy, communication and other systems, and virtual and augmented reality training systems for the warfighter. The company primarily serves national security-related agencies, the U.S. Department of Defense, intelligence and classified agencies, international government agencies, and domestic and international commercial customers. Kratos Defense & Security Solutions, Inc. was formerly known as Wireless Facilities, Inc. and changed its name to Kratos Defense & Security Solutions, Inc. in August 1999. Kratos Defense & Security Solutions, Inc. was incorporated in 1994 and is headquartered in San Diego, California.

Latest Aerospace & Defense and AeroVironment, Inc., Kratos Defense & Security Solutions, Inc. Stock News

As of May 1, 2026, AeroVironment, Inc. had a $9.3 billion market capitalization, compared to the Aerospace & Defense median of $4.3 million. AeroVironment, Inc.’s stock is down 23.5% in 2026, down 5.8% in the previous five trading days and up 22.08% in the past year.

Currently, AeroVironment, Inc. does not have a price-earnings ratio. AeroVironment, Inc.’s trailing 12-month revenue is $1.6 billion with a -13.9% net profit margin. Year-over-year quarterly sales growth most recently was 143.4%. Analysts expect adjusted earnings to reach $2.881 per share for the current fiscal year. AeroVironment, Inc. does not currently pay a dividend.

As of May 1, 2026, Kratos Defense & Security Solutions, Inc. had a $11.6 billion market cap, putting it in the 80th percentile of all stocks. Kratos Defense & Security Solutions, Inc.’s stock is down 18.2% in 2026, up 1.4% in the previous five trading days and up 83.66% in the past year.

Currently, Kratos Defense & Security Solutions, Inc.’s price-earnings ratio is 477.3. Kratos Defense & Security Solutions, Inc.’s trailing 12-month revenue is $1.3 billion with a 1.6% net profit margin. Year-over-year quarterly sales growth most recently was 21.9%. Analysts expect adjusted earnings to reach $0.778 per share for the current fiscal year. Kratos Defense & Security Solutions, Inc. does not currently pay a dividend.

How We Compare AeroVironment, Inc., Kratos Defense & Security Solutions and Inc. Stock Grades

Stock evaluation requires access to huge amounts of data and the knowledge and time to sift through it all, make sense of financial ratios, read income statements and analyze recent stock movements. AAII created A+ Investor, a robust data suite that condenses data research in an actionable and customizable way suitable for investors of all knowledge levels, to help investors streamline and work through such data.

AAII’s proprietary stock grades come with A+ Investor. These offer intuitive A‐F grades for each of five key investing factors: value, growth, momentum, earnings estimate revisions and quality. Here, we’ll take a closer look at AeroVironment, Inc., Kratos Defense & Security Solutions and Inc.’s stock grades to see how they measure up against one another.

Learn more about A+ Investor here!

Sign Up to Receive a Free Special Report Showing How A+ Grades Can Help You Make Smarter Investment Decisions

AeroVironment, Inc., Kratos Defense & Security Solutions and Inc. Stock Value Grades

Company	Ticker	Value
AeroVironment, Inc.	AVAV	F
Kratos Defense & Security Solutions, Inc.	KTOS	F

Successful stock investing involves buying low and selling high, so stock valuation is an important consideration for stock selection.

Buying stocks that are going to go up typically means buying stocks that are undervalued in the first place, although momentum investors may argue that point.

AAII’s A+ Investor Value Grade derives from a stock’s value score. The Value Score is the percentile rank of the average of the percentile ranks of the price-to-sales ratio, price-earnings ratio, enterprise-value-to-EBITDA (EV/EBITDA) ratio, shareholder yield, price-to-book-value ratio and price-to-free-cash-flow ratio. The score is variable, meaning it can consider all six ratios or, should any of the six ratios not be valid, the remaining ratios that are valid. To be assigned a Value Score, stocks must have a valid (non-null) ratio and corresponding ranking for at least two of the six valuation ratios.

Stocks with a Value Score from 81 to 100 are considered deep value, those with a score between 61 and 80 are a good value and so on.

AeroVironment, Inc. has a Value Score of 9, which is Ultra Expensive. Kratos Defense & Security Solutions, Inc. has a Value Score of 3, which is Ultra Expensive.

The Value Stock Winner: No Clear Winner

Neither AeroVironment, Inc., Kratos Defense & Security Solutions or Inc. has a high enough value grade to be considered a “winner.” Investors who are considering these companies should do additional due diligence and research to see if either could be a good addition to their portfolio. It’s important to look at a wide range of financial metrics in order to determine if AeroVironment, Inc., Kratos Defense & Security Solutions or Inc. is the better investment when it comes to value.

AeroVironment, Inc., Kratos Defense & Security Solutions and Inc. Growth Grades

Company	Ticker	Growth
AeroVironment, Inc.	AVAV	C
Kratos Defense & Security Solutions, Inc.	KTOS	C

The foundation of growth investing is seeking out stocks of companies exhibiting strong, consistent and prolonged growth that is expected to continue into the future.

In order to compute the growth score and assign it a letter grade, the percentile ranks for each of three components‐consistency of annual sales growth, five-year sales growth rankings adjusted for extreme levels, and consistency of positive annual cash from operations‐must be determined. These three rank figures are added together, and the sum is ranked against the entire stock universe to arrive at a company’s Growth Score to create an equal distribution of grades.

The companies in the bottom 20% of the stock universe receive Growth Grades of F, considered to be very weak, while those in the top 20% receive A grades, which are considered very strong.

AeroVironment, Inc. has a Growth Score of 57, which is Average. Kratos Defense & Security Solutions, Inc. has a Growth Score of 57, which is Average.

The Growth Stock Winner: No Clear Winner

Neither AeroVironment, Inc., Kratos Defense & Security Solutions or Inc. has a high enough Growth Grade to be considered a “winner.” Investors who are considering these companies should do additional due diligence and research to see if either could be a good addition to their portfolios. It’s important to look at a wide range of financial metrics in order to determine if AeroVironment, Inc., Kratos Defense & Security Solutions or Inc. is the better investment when it comes to sustainable growth.

AeroVironment, Inc., Kratos Defense & Security Solutions and Inc.’s Momentum Grades

Company	Ticker	Momentum
AeroVironment, Inc.	AVAV	C
Kratos Defense & Security Solutions, Inc.	KTOS	B

Momentum grades help to uncover stocks experiencing anomalously high rates of return; research finds that stocks with high relative levels of momentum tend to outperform, whereas those with low levels of momentum tend to continue underperforming. Momentum is based on the price change of a stock over a specified period relative to all other stocks.

Typically, AAII looks at the weighted relative strength over the trailing four quarters. The weighted four-quarter relative strength rank is the relative price change for each of the past four quarters. The most recent quarterly price change is given a weight of 40% and each of the three previous quarters are given a weighting of 20%.

AeroVironment, Inc. has a Momentum Score of 44, which is Average. Kratos Defense & Security Solutions, Inc. has a Momentum Score of 68, which is Strong.

The Momentum Grade Winner: Kratos Defense & Security Solutions, Inc.

As you can clearly see from the Momentum Grade breakdown above, Kratos Defense & Security Solutions, Inc. is considered to have stronger momentum compared to AeroVironment, Inc.. For those specifically looking for companies that have stronger momentum compared to other companies in the same industry, Kratos Defense & Security Solutions, Inc. could be a good stock to invest in. However, it’s important for investors to analyze multiple factors based on a wide range of metrics before deciding whether to buy.

Other AeroVironment, Inc., Kratos Defense & Security Solutions and Inc. Grades

In addition to Momentum, Value and Growth, A+ Investor also provides grades for Estimate Revisions and Quality.

Earnings estimate revisions scores take into account the magnitude of a company’s earnings surprise in its last two reported fiscal quarters. Often, surprises beget further surprises‐or at least continued sales growth (the exact opposite is generally true, too).

AAII’s A+ Investor Quality Grade comes from the ranking of key metrics. Specifically, the quality grade is the percentile rank of the composite of return on assets (ROA), return on invested capital (ROIC), gross profit relative to assets, buyback yield, change in total liabilities to assets, accruals, Z double prime bankruptcy risk (Z) score and F-Score.

These 2 key factors, when combined with the above, provide a holistic view into a particular stock. Further, by joining A+ Investor you can see whether AeroVironment, Inc., Kratos Defense & Security Solutions and Inc. pass any of our 60+ stock screens that have outperformed the market since their creation.

So, Which Is the Better Investment, AeroVironment, Inc., Kratos Defense & Security Solutions or Inc. Stock?

Overall, AeroVironment, Inc. stock has a Value Score of 9, Growth Score of 57 and Momentum Score of 44.

Kratos Defense & Security Solutions, Inc. stock has a Value Score of 3, Growth Score of 57 and Momentum Score of 68.

Comparing AeroVironment, Inc., Kratos Defense & Security Solutions and Inc.’s grades, scores and metrics can act as a solid basis to determine whether they may be a good investment or not. You’ll also want to look at your portfolio’s asset allocation as well as your risk tolerance and financial goals to see if either of these stocks would make a good fit for you. AAII can help you figure out which investments align with your individual needs and preferences.

Investors are encouraged to do their own due diligence and research. In this way, individuals can effectively become managers of their own assets‐without having to rely on others for financial independence. You can count on AAII for timeless articles on financial planning and stock-picking, unbiased research and actionable analysis.

A+ Investor adds to our qualitative teaching with a powerful data suite to help you whittle down investment choices to find stocks, exchange-traded funds (ETFs) or mutual funds that meet your needs.

AAII Disclaimer

We make no representations or warranties that any investor will, or is likely to, achieve profits similar to those shown, because past, hypothetical or simulated performance is not necessarily indicative of future results. Before making an investment decision, you should consider your circumstances and whether the information on our content is applicable to your situation. This information was prepared in good faith, and we accept no liability for any errors or omissions. The full disclaimer can be read here.