Our Stock of the Week is Ondas Holdings, Inc. (ONDS). Ondas through its subsidiaries, American Robotics and Airobotics designs, develops, and markets commercial drone solutions, including the Optimus System, Scout System, and Iron Drone Raider. These are AI-powered, highly automated “drone-in-a-box” systems for remote operation, used for data collection, surveillance, and counter-drone security in industries like defense, homeland security, public safety, rail, energy, mining, and agriculture. They offer services under a Robot-as-a-Service (RAAS) model and have achieved regulatory milestones, such as FAA approval for beyond-visual-line-of-sight (BVLOS) operations without on-site human operators.
On Monday, August 4, ONDS announced the successful completion of pilot programs with governmental homeland security agencies in Europe and Asia. These programs involved extensive testing of the Iron Drone Raider system in a range of operational scenarios, including GPS-denied environments, interception of various maneuvering aerial targets, and the use of net-and-parachute capture technology to minimize collateral damage. One of the programs also included integration with third-party command-and-control and drone detection systems. Both pilot programs concluded with the Iron Drone Raider receiving excellent performance evaluations, validating its capabilities in real-world operations and setting the stage for scaled, long-term deployments.
Ondas has had a number of important technical developments in recent months and is in a position to start announcing substantial contracts. The Pentagon has recently announced that it plans to help increase low-cost drone production in the US.
Technically, the stock hit a high of $2.70 on July 21 after announcing it was retiring its outstanding convertible notes. The stock pulled back to the 50-day and is now bouncing on the positive news flow. I am looking for a retest of the $2.50 areas. Keep an eye on volume.
Ondas is a low-priced name, but it’s in a ‘hot’ sector and is seeing increased attention.
This post is for educational purposes only! This is not advice or a recommendation. We do not give investment advice. Do not act on this post. Do not buy, sell, or trade the stocks mentioned herein. We WILL actively trade this stock differently than discussed herein. We will sell into strength and buy or sell anytime for any reason. We will actively trade into any unusual activity. At the time of this post, principals, employees, and affiliates of Shark Investing, Inc. and/or principals, clients, employees, and affiliates of Hammerhead Financial Strategies, LLC, directly or indirectly, controlled investment and/or trading accounts containing positions in ONDS. To accommodate the objectives of these investing and/or trading accounts, the trading in these shares will be contrary to and/or inconsistent with the information contained in this posting.
