Aviat Networks (AVNW) AI Stock Analysis

• Market Cap: $279.99M
• Dividend Yield: N/A
• Average Volume (3M): 81.30K
• Price to Earnings (P/E): 20.9
• Beta (1Y): 0.76
• Revenue Growth: 10.89%
• EPS Growth: N/A
• Country: US
• Employees: 909
• Sector: Technology
• Sector Strength: 88
• Industry: Communication Equipment
• EPS (TTM): 0.43
• Shares Outstanding: 12,837,468
• 10 Day Avg. Volume: 86,001
• 30 Day Avg. Volume: 81,301
• 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: 1.16
• Enterprise Value/Revenue: 0.72
• Enterprise Value/Gross Profit: 2.08
• Enterprise Value/Ebitda: 10.04
• 1Y Price Target: $35.00
• Price Target Upside: 60.48% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 4
• EPS Forecast (FY): 2.47
• Revenue Forecast (FY): $450.51M

• Rating: 66 Neutral
• Price Target: $24.00 ▲(10.04% Upside)

The score is primarily supported by strong recent execution and guidance reaffirmation from the earnings call, but is held back by mid-tier underlying financial quality (thin profitability and cash flow pressure) and only mixed technical trend signals. Valuation is also a modest headwind given a 21.25 P/E without a dividend yield.

Positive Factors

Revenue and Margin Improvement

Sustained double-digit revenue growth with a materially higher non-GAAP gross margin reflects stronger product demand and improved pricing/portfolio mix. That durable top-line expansion and margin rescue cash generation potential and supports reinvestment in product, services, and distribution over multiple quarters.

New Product Addressing Growing Market

Introducing the Aprisa LTE 5G router targets an expanding, mission-critical market (cellular routers/gateways). Product diversification into high-growth, public-safety and utility segments supports recurring software and service revenue and strengthens long-term competitive positioning beyond legacy radio sales.

Acquisition-Driven Scale and Modular Platform

Strategic acquisitions and a modular radio/software platform broaden product scope and industrial end-market exposure. This creates cross-sell opportunities, supply-chain efficiencies, and higher barriers to entry, supporting more stable revenue streams and margin sustainability over the medium term.

Negative Factors

Thin Profitability

Low net margins and negligible ROE limit internal funding for R&D, M&A, and shareholder returns. Persistently thin profitability increases reliance on operational improvements or higher-margin product mix to deliver durable shareholder value and makes results more sensitive to cost or pricing pressure.

Negative Free Cash Flow Growth

Negative FCF growth and weak cash conversion constrain the company’s ability to self-fund expansion, pay down debt, or return capital. Over several quarters this can force external financing, limit strategic optionality, and increase vulnerability to supply-chain or demand shocks.

Government Contract Timing Risk

Concentration in government-related work creates timing and award-risk; procurement delays can defer revenue recognition and cash flow across quarters. Even a modest share of revenue exposed to government cycles can materially disrupt planning and working capital in the medium term.

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

Revenue growth and stable gross margin support the business (Income Statement score 72), and leverage is moderate (D/E 0.41; Balance Sheet score 68). Offsetting this, profitability is thin (net margin 2.95%, ROE 0.53%) and cash generation is a key weakness (Cash Flow score 60 with negative free cash flow growth), keeping the overall financial score mid-range.

Income Statement

Aviat Networks shows a consistent revenue growth trend with a TTM revenue growth rate of 4.35%. The gross profit margin is stable at 34.25%, indicating effective cost management. However, the net profit margin is relatively low at 2.95%, suggesting room for improvement in profitability. The EBIT and EBITDA margins are moderate, reflecting operational efficiency but also highlighting potential for better cost control.

Balance Sheet

The company's debt-to-equity ratio is 0.41, indicating a moderate level of leverage. The return on equity is low at 0.53%, suggesting limited returns for shareholders. The equity ratio stands at a healthy level, showing a strong equity base relative to total assets. Overall, the balance sheet reflects stability but with potential risks due to increasing debt levels.

Cash Flow

The free cash flow growth rate is negative, indicating challenges in generating cash from operations. The operating cash flow to net income ratio is low, suggesting inefficiencies in converting income into cash. However, the free cash flow to net income ratio is relatively healthy at 56.13%, indicating some ability to generate cash relative to net income.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	450.80M	434.61M	408.08M	344.43M	302.96M	302.96M
Gross Profit	155.73M	139.44M	144.73M	122.38M	109.23M	109.23M
EBITDA	32.31M	17.68M	24.24M	28.02M	33.45M	33.45M
Net Income	11.71M	1.34M	10.76M	10.17M	21.16M	21.16M
Balance Sheet
Total Assets	643.32M	633.30M	633.30M	535.22M	363.14M	323.90M
Cash, Cash Equivalents and Short-Term Investments	64.83M	59.69M	59.69M	64.62M	22.24M	47.77M
Total Debt	109.41M	90.92M	90.92M	52.18M	2.75M	2.92M
Total Liabilities	379.68M	370.11M	370.11M	279.34M	144.40M	122.15M
Stockholders Equity	263.64M	263.18M	263.18M	255.88M	218.74M	201.75M
Cash Flow
Free Cash Flow	24.17M	-7.25M	27.86M	-6.98M	997.00K	14.45M
Operating Cash Flow	34.51M	5.72M	30.54M	-1.64M	2.79M	17.30M
Investing Cash Flow	-10.15M	-28.53M	-35.22M	-11.95M	-7.79M	-2.85M
Financing Cash Flow	-16.64M	18.68M	48.70M	-681.00K	-4.87M	-8.05M

Aviat Networks Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 21.81
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• 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 21.81 is above the 20-day moving average (MA) of 21.69, above the 50-day MA of 21.43, and below the 200-day MA of 22.04, indicating a neutral trend. The MACD of 0.01 indicates Negative momentum. The RSI at 52.38 is Neutral, neither overbought nor oversold. The STOCH value of 48.44 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	$284.70M	23.07	38.74%	―	10.12%	153.04%
FEIM	67 Neutral	$514.11M	23.99	44.70%	―	16.06%	166.69%
AVNW	66 Neutral	$279.99M	20.91	5.24%	―	10.89%	―
AUDC	65 Neutral	$229.41M	18.02	7.67%	4.28%	0.15%	17.21%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
CRNT	49 Neutral	$204.33M	151.32	0.84%	―	-3.78%	-92.62%
INSG	47 Neutral	$166.92M	-42.92	―	―	-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.