1 Stock I'd Buy Before AeroVironment in 2026

• Most of AeroVironment's 2025 gross maturation came from an acquisition, alternatively than the bequest business.

• Ondas is simply a smaller drone shaper that is increasing astatine a overmuch faster rate.

• As Ondas secures much authorities contracts and boosts its yearly recurring revenue, it should proceed to outperform the S&P 500.

• 10 stocks we similar amended than Ondas ›

AeroVironment (NASDAQ: AVAV) specializes successful drones and has respective authorities contracts, making it a well-known name. While the company's 151% year-over-year gross maturation complaint successful the 2nd 4th of fiscal twelvemonth 2026 (the 3 months ended Nov. 1) sounds attractive, astir of that maturation came from the caller acquisition of BlueHalo.

If you disregard the BlueHalo acquisition, the bequest institution delivered 21% year-over-year gross growth, going from $188.5 cardinal successful Q2 2025 to $227.4 cardinal successful Q2 2026.

This discourse is important, and it explains wherefore Ondas (NASDAQ: ONDS) is the amended drone stock. It has much awesome gross growth, a bullish forecast, and is starting to triumph large contracts. Ondas is simply a smaller institution but looks poised to nutrient compelling semipermanent returns.

Soaring gross is simply a cardinal constituent of maturation stocks, and Ondas lives up to that parameter. The drone institution reported 582% year-over-year gross maturation successful Q3 2025, which besides represents 60% quarter-over-quarter growth.

Ondas is besides utilizing acquisitions to summation marketplace share, but its presumption arsenic a smaller drone maker, positive its 2026 forecast, marque it a much compelling semipermanent pick. While AeroVironment has a $13 cardinal marketplace cap, Ondas lone has a $4 cardinal marketplace cap.

Investors tin spot the existent imaginable of Ondas by speechmaking its 2026 guidance. The institution said it planned to make $36 cardinal successful gross successful 2025, which is simply a large summation from 2024. However, Ondas besides projected astatine slightest $110 cardinal successful 2026. The drone shaper has a past of outperforming, truthful it's wholly imaginable that the institution exceeds its $110 cardinal benchmark. (Ondas has an capitalist time planned for Jan. 16, erstwhile investors volition beryllium capable to get updates.)

That maturation should compound successful 2027 arsenic request for drones grows. AeroVironment is much palmy close now, but Ondas' semipermanent maturation projections marque it much compelling for maturation investors.

Each clip Ondas signs a big, multiyear contract, it gets yearly recurring gross and boosts the request for its services. The institution has precocious made respective deals successful Europe, including an $8.2 cardinal bid for an planetary airport. The bid includes aggregate Iron Drone Raider counter-drone systems.