Aviat Networks (AVNW) AI Stock Analysis

• Market Cap: $335.46M
• Dividend Yield: N/A
• Average Volume (3M): 128.66K
• Price to Earnings (P/E): 23.0
• Beta (1Y): 0.75
• Revenue Growth: 10.89%
• EPS Growth: N/A
• Country: US
• Employees: 909
• Sector: Technology
• Sector Strength: 88
• Industry: Communication Equipment
• EPS (TTM): 0.54
• Shares Outstanding: 12,902,310
• 10 Day Avg. Volume: 107,766
• 30 Day Avg. Volume: 128,665
• PEG Ratio: -2.59
• Price to Book (P/B): 1.15
• Price to Sales (P/S): 0.70
• P/FCF Ratio: -41.88
• Enterprise Value/Market Cap: 1.06
• Enterprise Value/Revenue: 0.80
• Enterprise Value/Gross Profit: 2.37
• Enterprise Value/Ebitda: 10.25
• 1Y Price Target: $34.00
• Price Target Upside: 35.78% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 3
• EPS Forecast (FY): 2.39
• Revenue Forecast (FY): $449.03M

• Rating: 63 Neutral
• Price Target: $27.00 ▲(7.83% Upside)
• Action: Reiterated Date: 02/05/26
• Date: Action: Reiterated 02/05/26

The score is driven primarily by moderate financial performance (improving cash profile but inconsistent profitability and recent TTM revenue softness) and a constructive earnings update (strong bookings, better EBITDA/cash flow, guidance maintained). Technicals are supportive but look overextended, while valuation appears only average given earnings variability and no dividend support.

Positive Factors

Strong bookings and backlog momentum

Sustained bookings above shipments (book-to-bill >1 and the highest Q2 bookings in a decade) indicate durable demand and a growing backlog that should feed revenue over coming quarters. This pipeline strength improves revenue visibility and supports medium-term operational planning and capacity allocation.

Improving cash generation and healthier net debt

Material improvement in operating cash flow and a markedly lower net debt position enhance financial flexibility. Stronger cash generation supports working capital, targeted R&D and integration of acquisitions, and reduces refinancing risk, enabling the company to execute strategic initiatives over the next several quarters.

Modular product platform and acquisition-driven expansion

A modular radio platform combined with software/services and targeted acquisitions broadens addressable markets and increases recurring revenue potential. This structural competitive advantage lowers customer switching costs, supports cross-sell, and strengthens market position in mission-critical and rural broadband segments over the medium term.

Negative Factors

Recent revenue softness and lumpy growth

A YoY quarterly revenue decline and recent TTM softness underscore lumpy equipment/project demand. This variability reduces predictability of top-line conversion and complicates capacity and resource planning, making steady revenue growth and operating leverage harder to achieve over the next several quarters.

Margin compression and inconsistent operating profitability

Recent gross margin compression and historically volatile operating results mean earnings are sensitive to mix and regional trends. Thin net margins and sporadic operating losses limit reinvestment capacity and the firm's ability to consistently absorb cost shocks, posing a structural risk to margin sustainability.

Timing uncertainty for BEAD and limited near-term product contribution

Key growth catalysts (BEAD program and new product wins) are constrained by timing and currently excluded from guidance, while initial product orders are small. This uncertainty delays structural revenue upside and weakens near-term visibility for sustained growth and cash-flow improvement.

Aviat Networks Business Overview & Revenue Model

Company Description

Aviat Networks, Inc. provides wireless transport solutions worldwide. It offers a comprehensive suite of products and localized professional and support services enabling customers to simplify their networks and lives. The company's products and solutions include wireless transmission systems for microwave and millimeter wave networking applications. It serves communications service providers and private network operators, including state/local government, utility, federal government, and defense organizations. The company markets its products through a direct sales, service, and support organization; indirect sales channels comprising dealers, resellers, and sales representatives; and through online. Aviat Networks, Inc. was incorporated in 2006 and is headquartered in Austin, Texas.

How the Company Makes Money

Aviat Networks generates revenue through multiple streams, primarily from the sale of its hardware products, including microwave and millimeter-wave radios, as well as software solutions that facilitate network management and optimization. The company also earns income from professional services, which include installation, maintenance, and support services for its products. Additionally, Aviat Networks benefits from recurring revenue through software licenses and maintenance contracts. Key partnerships with telecommunications operators and technology providers enhance its market reach and contribute significantly to its earnings, enabling the company to leverage joint marketing opportunities and expand its service offerings.

Aviat Networks Financial Statement Overview

Summary

Moderate fundamentals: multi-year revenue growth and improving recent cash generation, but latest TTM revenue softness and historically volatile operating profitability keep overall quality mixed. Balance sheet is generally stable with manageable leverage, though returns remain modest.

Income Statement

Revenue has grown meaningfully over the last several years (2023 and 2024 showed strong growth), but the latest TTM (Trailing-Twelve-Months) shows a modest revenue decline. Profitability is mixed: gross margin is fairly steady in the low-to-mid 30% range, but operating profitability has been volatile (several annual periods show operating losses), and net margin remains thin in the most recent periods (TTM net margin ~3.3%; FY2025 near breakeven). Overall, the company shows demand resilience but inconsistent operating leverage and earnings quality.

Balance Sheet

Leverage is moderate with debt below equity (TTM debt-to-equity ~0.40; FY2025 ~0.35), which is generally manageable for the industry, but it is notably higher than earlier years when leverage was very low. Equity has increased versus earlier periods, supporting the asset base, yet returns on equity are modest (TTM ~5.2%) and were very low in FY2025, reflecting limited profitability. The balance sheet looks stable, but the upward leverage trend and only average returns temper the picture.

Cash Flow

Cash generation improved materially in TTM (Trailing-Twelve-Months), with positive operating cash flow and free cash flow and strong free cash flow growth versus the prior year period. However, cash flow has been choppy: FY2025 posted negative free cash flow, and FY2023 showed negative operating and free cash flow. Free cash flow is currently below net income in TTM (about two-thirds), suggesting earnings are not fully converting to free cash, even though the latest trend is improving.

Breakdown	TTM	Jun 2025	Sep 2024	Jun 2023	Jun 2022	Jun 2021
Income Statement
Total Revenue	446.77M	434.61M	408.08M	344.43M	302.96M	302.96M
Gross Profit	150.53M	139.44M	144.73M	122.38M	109.23M	109.23M
EBITDA	34.84M	17.68M	24.24M	28.02M	33.45M	33.45M
Net Income	14.61M	1.34M	10.76M	10.17M	21.16M	21.16M
Balance Sheet
Total Assets	659.36M	633.30M	535.22M	363.14M	323.90M	323.90M
Cash, Cash Equivalents and Short-Term Investments	86.47M	59.69M	64.62M	22.24M	47.77M	47.77M
Total Debt	108.36M	90.92M	52.18M	2.75M	2.92M	2.92M
Total Liabilities	387.74M	370.11M	279.34M	144.40M	122.15M	122.15M
Stockholders Equity	271.61M	263.18M	255.88M	218.74M	201.75M	201.75M
Cash Flow
Free Cash Flow	16.08M	-7.25M	27.86M	-6.98M	997.00K	14.45M
Operating Cash Flow	24.31M	5.72M	30.54M	-1.64M	2.79M	17.30M
Investing Cash Flow	-8.23M	-28.53M	-35.22M	-11.95M	-7.79M	-2.85M
Financing Cash Flow	17.17M	18.68M	48.70M	-681.00K	-4.87M	-8.05M

Aviat Networks Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 25.04
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AVNW, the sentiment is Positive. The current price of 25.04 is above the 20-day moving average (MA) of 24.73, above the 50-day MA of 22.79, and above the 200-day MA of 22.65, indicating a bullish trend. The MACD of 0.58 indicates Positive momentum. The RSI at 60.15 is Neutral, neither overbought nor oversold. The STOCH value of 53.04 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for AVNW.

Aviat Networks Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
BKTI	77 Outperform	$323.29M	26.20	38.74%	―	10.12%	153.04%
FEIM	67 Neutral	$532.49M	24.85	44.70%	―	16.06%	166.69%
AVNW	63 Neutral	$335.46M	22.99	5.60%	―	10.89%	―
CRNT	62 Neutral	$206.75M	-92.37	-1.23%	―	-3.78%	-92.62%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
AUDC	55 Neutral	$202.39M	23.11	7.67%	4.28%	0.15%	17.21%
INSG	55 Neutral	$201.11M	-67.69	―	―	-17.45%	76.52%

Aviat Networks Corporate Events

Aviat Networks Updates Investor Presentation, Highlights Stronger Balance Sheet

On January 13, 2026, Aviat Networks posted an updated investor relations presentation to its website and began using it in meetings with current and potential investors, coinciding with its appearance at the 28th Annual Needham Growth Conference on January 14, 2026. The materials highlight that Aviat has strengthened its balance sheet in the second quarter of fiscal 2026 versus the first quarter, including higher cash and cash equivalents, lower net debt, and reductions in unbilled receivables and inventories, supporting positive cash generation. The presentation also underscores the company’s long acquisition-driven expansion into access and industrial solutions—through deals for Redline Communications, NEC’s Pasolink microwave business, and 4RF—and positions Aviat as a disciplined operator in an $11 billion addressable market, emphasizing its competitive edge over both microwave specialists and broader wireless equipment vendors through a modular product platform, integrated software and services, and a supply chain model designed to deliver faster and at lower total cost of ownership.

The most recent analyst rating on (AVNW) stock is a Buy with a $34.00 price target. To see the full list of analyst forecasts on Aviat Networks stock, see the AVNW Stock Forecast page.

Aviat Networks Appoints New CFO Andrew C. Schmidt

On December 3, 2025, Aviat Networks appointed Andrew C. Schmidt as Senior Vice President and Chief Financial Officer, succeeding Andrew Fredrickson, who served as interim CFO. Schmidt brings over 25 years of financial leadership experience, aligning with Aviat’s strategic goals to drive growth in public safety and software sales. His appointment is expected to strengthen Aviat’s global strategy and drive value for stakeholders as the company scales for growth.

The most recent analyst rating on (AVNW) stock is a Hold with a $22.00 price target. To see the full list of analyst forecasts on Aviat Networks stock, see the AVNW Stock Forecast page.

Aviat Networks Updates Investor Relations Presentation

On November 18, 2025, Aviat Networks updated its investor relations presentation on its website, which will be used for discussions with current and potential investors. The presentation outlines Aviat’s strategic focus on mission-critical, 5G, and rural broadband networks, highlighting its consistent revenue growth and strong financial performance. The company emphasizes its competitive advantages, such as a modular radio platform, innovative software solutions, and a robust supply chain, which position it favorably against competitors in the microwave transmission industry.

The most recent analyst rating on (AVNW) stock is a Buy with a $27.00 price target. To see the full list of analyst forecasts on Aviat Networks stock, see the AVNW Stock Forecast page.

Aviat Networks Holds Annual Stockholders Meeting 2025

Aviat Networks held its Fiscal Year 2025 Annual Meeting of Stockholders, where approximately 81.6% of the company’s shares were represented. During the meeting, stockholders elected directors for the upcoming year, ratified the appointment of Grant Thornton LLP as the independent registered public accounting firm for fiscal year 2026, approved the named executive officer compensation, and endorsed the Third Amended and Restated 2018 Incentive Plan.

The most recent analyst rating on (AVNW) stock is a Buy with a $27.00 price target. To see the full list of analyst forecasts on Aviat Networks stock, see the AVNW Stock Forecast page.