** Drone maker Aevex AVEX.N shares rise 1.4% to $24.75 premarket

** J.P. Morgan initiates coverage with "overweight" rating, sets price target at $33, representing a 35% upside to the stock's last close

** Says "Aevex has historically sold most of its drones to Ukraine and how quickly this revenue stream rolls off and is replaced with sales from other countries is likely to be a key debate among investors"

** Solana Beach, California-based AVEX sold 16 million shares to raise $320 million in its U.S. initial public offering last month

** JPM says firm's unmanned surface vessel platforms, Mako and Mako Lite, have potential for strong growth, given increases in the Navy's budget for unmanned capabilities

** Aevex provides airborne intelligence, surveillance and reconnaissance offerings to the U.S. government and allies