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Human action recognition is an important topic in artificial intelligence with a wide range of applications including surveillance systems, search-and-rescue operations, human-computer interaction, etc. However, most of the current action recognition systems utilize videos captured by stationary cameras. Another emerging technology is the use of unmanned ground and aerial vehicles (UAV/UGV) for different tasks such as transportation, traffic control, border patrolling, wild-life monitoring, etc. This technology has become more popular in recent years due to its affordability, high maneuverability, and limited human interventions. However, there does not exist an efficient action recognition algorithm for UAV-based monitoring platforms. This paper considers UAV-based video action recognition by addressing the key issues of aerial imaging systems such as camera motion and vibration, low resolution, and tiny human size. In particular, we propose an automated deep learning-based action recognition system which includes the three stages of video stabilization using the SURF feature selection and Lucas-Kanade method, human action area detection using faster region-based convolutional neural networks (R-CNN), and action recognition. We propose a novel structure that extends and modifies the InceptionResNet-v2 architecture by combining a 3D CNN architecture and a residual network for action recognition. We achieve an average accuracy of 85.83% for the entire-video-level recognition when applying our algorithm to the popular UCF-ARG aerial imaging dataset. This accuracy significantly improves upon the state-of-the-art accuracy by a margin of 17%.