AeroVironment Shows Lasers To Take Out Iran's Drones. The Stock Is Rising. -- Barrons.com

Dow Jones
Mar 16

Al Root

AeroVironment stock rose early Monday after the company's laser drone-killing technology was featured on 60 Minutes.

Shares of the drone technology maker were up 1.1% at $209.29, while the S&P 500 and Dow Jones Industrial Average were up 0.6% and 0.4%, respectively.

The move came after AeroVironment CEO Wahid Nawabi sat down with CBS's Lesley Stahl to discuss the problem of Iran's Shahed drones, which are sometimes shot down with missiles costing $4 million each despite the drones costing an estimated $20,000 to $40,000 per copy.

That math doesn't really work, which is why the Defense Department is investing in lower-cost solutions, including lasers that can cost just a few dollars to shoot, according to Nawabi.

His company showed off its LOCUST directed energy laser weapon. It looks a little like a large version of the titular robot from the Pixar movie WALL-E, except this robot shoots lasers from its eyes that burn through the hull of small drones in seconds.

(LOCUST stands for Laser Optical, Counter- Unmanned Aerial System for Tactical Use.)

Once LOCUST finds a target, it locks on and tracks the object using AI. AeroVironment has deployed LOCUST systems for the government, including along the U.S. border, where it's being used to shoot down drug cartel drones.

AeroVironment isn't a household name the way Lockheed Martin or Northrop Grumman might be -- both of which, along with other contractors, make laser weapons -- but it's a significant player in drone technology with a market capitalization of $10 billion.

AeroVironment's Switchblade guidable, loitering munitions came to prominence in the continuing war between Russia and Ukraine. Small enough for one person to carry, the drone can stay aloft for almost an hour while an operator searches for the right target to strike.

Coming into Monday trading AeroVironment stock was up 60% over the past 12 months, boosted by higher spending on autonomous battle systems.

Still, shares were down 14% year to date -- falling after it was announced a $1.7 billion contract to supply antennas for a Space Force program that AeroVironment's subsidiary BlueHalo had won would go up for rebidding.

Write to Al Root at allen.root@dowjones.com

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March 16, 2026 07:47 ET (11:47 GMT)

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