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FPF Defense, led by former Acting Secretary of Defense Christopher C. Miller, is developing AI-enabled kinetic interceptors engineered to close the cost-asymmetry gap against mass-produced one-way attack drones

WEST PALM BEACH, FL / ACCESS Newswire / July 24, 2026 / RSE Ventures and Ondas Inc. (NASDAQ:ONDS) today announced a co-led strategic investment into FPF Defense, a defense technology company developing SmartFlak: an integrated counter-UAS system anchored by the Hammerhead low-cost, autonomous interceptor, purpose-built to destroy Shahed-class one-way attack drones at scale.

Recent conflicts in Ukraine and the Middle East have left our military faced with new battlefield realities. A Shahed or Geran-class attack drone costs an adversary roughly $50,000 to build while the legacy missile interceptors fired to stop it can cost millions of dollars apiece. That asymmetry is the central problem of modern air defense: an enemy who can mass-produce cheap drones drains a defender's stockpiles and budget faster than any Western industrial base can refill them.

Legacy air defenses were designed for exquisite threats and left a vulnerable gap in the medium-range where cheap, mass-launched drones are having an outsized impact on the battlefield. FPF's SmartFlak system is purpose-built to close it: autonomous launch, sophisticated onboard autonomy, and a kinetic interceptor engineered for U.S. mass production, with a cost per shot in the low tens of thousands of dollars. FPF Defense was built by operators who have lived this problem firsthand.

FPF Defense is led by The Honorable Christopher C. Miller, who spent 27 years as a U.S. Army Green Beret - helping lead the first Special Forces teams into Afghanistan after 9/11 and later commanding a battalion from 5th Special Forces Group in Iraq - before serving as Director of the National Counterterrorism Center and Acting Secretary of Defense.

"The cheapest weapons on the battlefield are getting past the most sophisticated defenses we field. I spent 27 years in uniform and served as Acting Secretary of Defense with one job above all others: protect this country and the people who defend it. FPF is how I keep doing that job - making sure no American is ever lost to a threat we had the power to stop," said Christopher C. Miller, CEO of FPF Defense and former Acting Secretary of Defense.

Miller's command-and-policy pedigree is matched by a deep technical and operational bench. Dr. Jeff Maas, a former DARPA program manager, serves as Chief Technology Officer, while Grant Fox, who brings experience from the U.S. Navy and the Defense Innovation Unit (DIU), serves as Chief Operating Officer. Lieutenant Colonel (Ret.) Christian Sessoms, the fourth founder of FPF Defense, is the Chief Revenue Officer. Sessoms was a career Army Special Forces officer, with extensive post-Army business development success in the defense and technology sectors. The company is advised by General (Ret.) Austin Scott Miller, former Commander of Joint Special Operations Command and the final Commander of U.S. Forces in Afghanistan, as well as Lieutenant General (Ret.) Robert "Whaler" Walsh, a career Marine aviator who helped lead the Marine Corps' force-transformation efforts as Commanding General of Marine Corps Combat Development Command, Commander of U.S. Marine Corps Forces Strategic Command, and Deputy Commandant for Combat Development and Integration. Across the organization, the broader team draws on experience from DARPA, DIU, the U.S. military, and the special operations community.

"Ondas is focused on solving the most critical challenges in autonomous and counter-drone warfare, and we uphold the highest standards for the teams we partner with," said Eric Brock, CEO of Ondas. "FPF cleared that bar immediately with a proven team, a disruptive cost advantage, and a mission-critical capability that the nation requires at scale."

As part of the investment, FPF is relocating its headquarters to West Palm Beach, joining Ondas, which has already established its headquarters there as the first of several defense-technology companies expected to anchor the growing ecosystem in South Florida.

FPF Defense becomes another investment in RSE's defense and industrialization portfolio alongside Performance Drone Works (PDW), the veteran-led combat robotics manufacturer co-founded by Matt Higgins, specializing in Group 1-3 unmanned aerial systems (UAS). Higgins has been deeply involved in national defense since serving as Chief Operating Officer of Lower Manhattan Development Corporation, the organization tasked with rebuilding the World Trade Center site.

"I was on the ground on 9/11, so I've experienced firsthand what it means for our nation to be caught off guard. Once again, we find our skies vulnerable to attack, only now the threat is cheap weaponized drones. We cannot defend our homeland from our back foot, nor can we win if defending against a threat costs ten times more than launching it," said Matt Higgins, CEO & Co-founder, RSE Ventures. "FPF solves this cost asymmetry head-on. Their SmartFlak system and Hammerhead interceptor deliver the scalable, high-volume shield needed to dominate the critical 9-to-20 kilometer gap. We are proud to back FPF as they build that multi-layered defense-right here in West Palm."

The deal was led by Nick Perkins, Senior Vice President of Defense & Industrialization at RSE Ventures.

FPF Defense will deploy the investment to:

Accelerate development and production of the Hammerhead interceptor and SmartFlak integrated launch system

Establish U.S.-based manufacturing with an NDAA-compliant domestic supply chain

Expand engineering headcount across autonomy, systems integration, and propulsion

Build out West Palm Beach headquarters and operational infrastructure

About FPF Defense

FPF Defense develops low-cost, high-volume counter-drone interceptors for U.S. and allied defense. Its flagship SmartFlak system - anchored by the Hammerhead kinetic interceptor - is designed to address the cost asymmetry problem in CUAS defense, targeting the 9-to-20-kilometer engagement gap. Headquartered in West Palm Beach, FL.

About RSE Ventures

Headquartered in West Palm Beach, FL, RSE Ventures is a private investment and innovation firm founded by Stephen Ross and Matt Higgins. RSE builds and invests in category-defining companies across industrialization and defense, sports, media, and consumer. www.rseventures.com

About Ondas Inc.

Ondas Inc. (NASDAQ:ONDS) is a leading global provider of autonomous aerial and ground defense and security and intelligence platforms serving defense, homeland security, public safety and critical infrastructure markets. Headquartered in West Palm Beach, FL. www.ondas.com

Contacts

IR Contact for Ondas Inc.
888-657-2377
[email protected]

Media Contact for Ondas Inc.
Escalate PR
[email protected]

Preston Grimes
Marketing Manager, Ondas Inc.
[email protected]

SOURCE: Ondas Inc.

Ondas (ONDS +10.71%) stock, a small defense contractor specializing in the manufacture of military air and ground drones, and also counter-drone (counter-UAS or CUAS) technology, soared 10.4% through 11:55 a.m. ET Wednesday.

The reason: new weapons sales.

Image source: Getty Images.

Ondas inks some contracts Citing accelerating demand "across its autonomous defense and security platform," Ondas boasted today that it has secured $70 million worth of new orders over the past four weeks, for "unmanned ground systems, border security and protection technologies, counter-unmanned aircraft systems ("C-UAS"), intelligence, surveillance and reconnaissance ("ISR") systems, and autonomous precision-strike capabilities."

Translated from Pentagon-ese, that means Ondas is selling ground robots, attack drones, surveillance equipment, and drone defense systems primarily.

Not all the orders are new. Ondas noted that it rolled a recently announced $6.9 million order for Ondas' C-UAS systems to Australia into the $70 million total. Still, it sounds like Ondas is having a pretty successful month of July.

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What it means for Ondas stock To put these $70 million in context, in all of Q2 2025 last year, Ondas booked a total of $6.3 million in sales. The orders just announced amount to 10x the volume of sales from a year ago -- with orders booked in just one-third of one quarter's time.

That's fast growth -- but do beware that growth at Ondas could be lumpy.

According to analysts who follow the stock, 2026 will probably be the first year Ondas books a GAAP profit, after a decade of losing money. That said, forecasts for next year see Ondas back in the red -- and losing money again in 2028.

Free cash flow at Ondas remains negative and is forecast to remain so in 2027 as well. It probably won't be till 2029 that Ondas is both profitable and generating consistent cash. Caveat investor.

Rich Smith has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Ondas. The Motley Fool has a disclosure policy.

Key Takeaways ONDS won a $6.9M Australian defense order for DTIM Single Operator Counter-sUAS Kits.Ondas' AI-powered DTIM Kits let one operator detect, track, identify and mitigate hostile drones.ONDS added defense wins across the Asia-Pacific and Europe as global counter-UAS demand grows. Ondas Inc. (ONDS - Free Report) recently bolstered its growing defense portfolio with a $6.9 million order from Australia’s Department of Defense for its DTIM (Detect, Track, Identify and Mitigate) Single Operator Counter-sUAS Kits. The order, awarded through Australian defense distributor HIFraser, validates Ondas' expanding defense strategy following its acquisition of DZYNE Technologies and strengthens its foothold among allied defense customers. DZYNE's counter-drone business now operates under Ondas Sentinel, the company's dedicated U.S. defense division.

Ondas' portable DTIM Kits enable a single operator to detect, track, identify and neutralize hostile drones using AI-powered detection, long-range surveillance (more than 25 km), Remote ID/AeroScope tracking, the integrated Dronebuster (DB4) mitigation system, optional PNT attack capability and TAK integration. The compact all-in-one solution is well suited for military patrols, border security, special operations and other rapidly deployable defense missions. More than 3,000 Dronebuster units have already been fielded globally, providing Ondas with an important credibility advantage.

Countries across Europe, the Asia-Pacific and the Middle East are all investing heavily in counter-UAS technologies. In 2026, Ondas has secured several international defense deals that indicate increasing global demand for its autonomous systems. In February, ONDS’ subsidiary Airobotics secured a multi-phase defense contract with a government customer in the Asia-Pacific region, with initial deliveries starting in 2026 and follow-up orders expected as deployments expand. ONDS has also secured multi-million-dollar orders in Europe for its Iron Drone Raider counter-UAS system, which protects major airport infrastructure in a NATO country, as well as a $20 million autonomous border protection order involving AI-driven drone deployment and command-and-control systems.

Nonetheless, competition remains intense from larger defense contractors with established global customer relationships and broader product portfolios such as Draganfly (DPRO - Free Report) and RTX Corporation (RTX - Free Report) .

ONDS vs. the Defense Tech CompetitionIn May, DPRO and F4 Defense International secured an initial DEVCOM Army Research Laboratory contract to develop a modular, rapidly deployable counter-drone system that integrates tethered aerial platforms with drone detection, tracking, targeting and defeat capabilities for enhanced situational awareness and defense in contested environments. First-quarter revenue rose 49.4%, driven by a 44.8% increase in product sales. Quarterly sales were aided by strong demand from military customers, including an FPV drone order from the U.S. Army, reflecting its growing relationship with an existing defense customer. DPRO expanded its defense portfolio through the acquisition of Skip Dynamix's drone technology assets.

RTX is supported by a steady recovery in commercial aerospace, strong defense orders and a robust backlog. Heightened geopolitical tensions are leading to steadily increasing defense spending. RTX is strongly positioned in the missile and air-defense segment, which offers both short-term benefits and long-term gains. The ongoing tensions between Russia and Ukraine (and related rearmament efforts of NATO countries), between China and Taiwan (and related alliances in the South China Sea), and the war in the Middle East are leading to increased defense spending, creating significant opportunities. It won several notable defense contracts during the first quarter, which resulted in solid bookings of $14 billion and a record backlog of $271 billion. 

ONDS’ Price Performance, Valuation and EstimatesIn response to the announcement, ONDS’s stock went up 5.3% in trading yesterday. Shares of ONDS have declined 22.7% in the past month against the Zacks Wireless-National industry’s jump of 99.6%.

Image Source: Zacks Investment Research

In terms of the forward 12-month Price/Sales ratio, ONDS is trading at 4.53, lower than the industry’s multiple of 7.72.

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For ONDS, earnings estimates for the current year have been revised significantly downwards in the past 60 days.

Image Source: Zacks Investment Research

ONDS currently has a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Order includes DTIM Kits that deliver integrated Detect, Track, Identify and Mitigate capability through Ondas' counter-UAS portfolio

Award reflects continued momentum for Ondas as global defense customers expand investment in counter-UAS capabilities

WEST PALM BEACH, FL / ACCESS Newswire / July 20, 2026 / Ondas Inc. (NASDAQ:ONDS) ("Ondas" or the "Company"), a leading provider of advanced autonomous systems and next-generation defense and security technologies and services, today announced a $6.9 million order from the Australian Department of Defence for its DTIM Single Operator Counter-sUAS Kits, secured in partnership with in country distributor HIFraser.

Figure 1 DTIM Kit by Ondas SentinelThe order was formally awarded to DZYNE Technologies ("DZYNE"), now part of Ondas. Following the acquisition of DZYNE, the counter-UAS technologies and teams are now operating within Ondas Sentinel, the Company's dedicated U.S. defense division.

Ondas DTIM Kits deliver Detect, Track, Identify and Mitigate (DTIM) capability in a compact, single-operator package, combining the proven DTI detection platform with the globally fielded Dronebuster® (DB4) handheld effector. More than 3,000 Dronebuster® units have been deployed worldwide.

Each DTIM Kit delivers:

Long range omnidirectional drone detection up to 25+ km

Remote ID and AeroScope tracking with real time threat alerts

AI and ML powered drone identification with an updated threat library

Integrated Dronebuster® (DB4) mitigation with optional PNT Attack capability

Seamless TAK display support for complete situational awareness

"Australia's investment in Ondas' DTIM Kits underscores the increasing global priority around counter-UAS readiness and the need for trusted, scalable technologies," said Eric Brock, Chairman and CEO of Ondas Inc. "This award is an important validation of our strategy to build a leading autonomous defense technology platform, combining advanced systems, operational expertise and strong international partnerships to support mission-critical security needs worldwide."

The award further supports Ondas' strategy to scale integrated defense technologies through Ondas Sentinel while expanding partnerships with allied customers worldwide.

"This order reflects the growing demand we are seeing from allied defense customers for practical, field-ready counter-UAS capabilities that can be deployed quickly and operated with confidence," said Ryan Hartman, President and CEO of Ondas Sentinel. "By bringing DZYNE's proven counter-UAS technologies into Ondas, we are strengthening our ability to deliver integrated solutions that help operators detect, track, identify and mitigate threats in increasingly complex environments."

HIFraser emphasized the importance of the capability for Australia's rapidly evolving threat environment.

"We are proud to partner with Ondas Sentinel to bring cutting-edge single-operator counter-UAS capability to Australian forces," said Debora Fortkamp, Chief Strategy Officer at HIFraser. "The DTIM Kits align directly with the needs of Australian operators in today's complex operational environment."

With production capacity already scaled, Ondas Sentinel will begin delivery of DTI systems under the contract and remains prepared to support future expansion as Australia strengthens its counter-UAS posture.

For more information on Ondas' counter-UAS portfolio, please contact [email protected].

About Ondas Inc.
Ondas Inc. (NASDAQ:ONDS) is a leading provider of autonomous systems, robotics, and mission-critical technologies for defense, homeland security, public safety, critical infrastructure, and industrial markets. The Company develops and deploys integrated unmanned and autonomous platforms across air, ground, and stratospheric environments, designed to support intelligence, surveillance, reconnaissance, security, and operational missions in complex environments. Ondas' solutions are deployed globally by government, defense, and commercial customers to protect infrastructure, borders, transportation networks, personnel, and strategic assets.

For additional information on Ondas Inc., visit www.ondas.com.

Forward-Looking Statements
Statements made in this release that are not statements of historical or current facts are "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. We caution readers that forward-looking statements are predictions based on our current expectations about future events. These forward-looking statements are not guarantees of future performance and are subject to risks, uncertainties and assumptions that are difficult to predict. Our actual results, performance, or achievements could differ materially from those expressed or implied by the forward-looking statements as a result of a number of factors, including the risks discussed under the heading "Risk Factors" discussed under the caption "Item 1A. Risk Factors" in Part I of our most recent Annual Report on Form 10-K or any updates discussed under the caption "Item 1A. Risk Factors" in Part II of our Quarterly Reports on Form 10-Q and in our other filings with the SEC. We undertake no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise that occur after that date, except as required by law.

Contacts

IR Contact for Ondas Inc.
888-657-2377
[email protected]

Media Contact for Ondas Inc.
Escalate PR
[email protected]

Preston Grimes
Marketing Manager, Ondas Inc
[email protected]

Jill Vacek
Director of Communications, Ondas Sentinel
[email protected]

SOURCE: Ondas Inc.

Key Takeaways Ondas expanded AI defense with IRON-WAVE, integrating autonomous systems for military missions.ONDS raised 2026 revenue guidance to at least $525M after acquiring DZYNE Technologies.Ondas and Palantir's SkyWeaver aim to unify ISR data and support mission autonomy across platforms. Ondas Inc. (ONDS - Free Report) is strengthening its position in autonomous defense systems by expanding its AI-powered technologies, strategic partnerships and integrated defense platform. The company continues to execute its Core + Strategic Growth strategy, building a global operating platform for unmanned and autonomous systems serving defense, security, industrial and critical infrastructure markets. Through internal innovation, disciplined execution and acquisitions, Ondas has expanded its technology portfolio, customer relationships and global reach while increasing its backlog and pursuing larger defense opportunities. The company is also advancing multi-domain intelligence, surveillance and reconnaissance (ISR) capabilities through its partnership with Palantir, which provides access to AI software and operational tools designed to enhance mission autonomy and integrated defense solutions.

A key part of this strategy is the development of AI-enabled Systems of Systems platforms that combine aerial and ground technologies with integrated sensors and command-and-control capabilities. The newly introduced IRON-WAVE platform is designed as a multilayered robotic solution that integrates multiple autonomous systems to support military operations. Powered by an AI-assisted mobile command-and-control center, the platform enables coordinated multi-domain missions, combines counter-drone detection with offensive capabilities and has already been deployed with military units in active combat environments. Ondas noted that the system has received positive feedback for improving mission effectiveness, force protection and frontline operations.

The company is also expanding its ISR capabilities through the acquisition of World View and its partnership with Palantir. SkyWeaver, Palantir's AI platform deployed across the Ondas portfolio, is designed to connect data from stratospheric platforms, unmanned aerial systems and ground-based systems into a unified intelligence network. The platform continuously processes information, reasons across multiple domains, plans missions, coordinates autonomous actions and adapts to changing operational conditions. By automating intelligence collection, processing and dissemination, SkyWeaver is intended to deliver integrated, decision-ready intelligence while supporting mission autonomy across multiple defense platforms.

Ondas believes these AI-enabled capabilities strengthen its broader defense portfolio and support future growth opportunities. The company expects SkyWeaver to expand software content across its platforms while creating additional software licensing opportunities. Also, Ondas continues to invest in integrated command-and-control systems and AI-driven software as part of its Systems of Systems strategy. Management expects these technologies, together with expanding defense programs, acquisitions and a growing global pipeline, to support the continued scaling of its autonomous defense platform.

Recently, Ondas announced the acquisition of DZYNE Technologies, expanding its autonomous defense capabilities with long-endurance ISR, Counter-UAS, autonomous strike and logistics platforms while forming the new OndasSentinel division to strengthen integrated AI-driven defense solutions. The buyout also prompted management to raise its 2026 revenue guidance to at least $525 million from $390 million, supported by contributions from DZYNE, Omnisys and a stronger backlog and contract pipeline.

Taking a Look at ONDS Competitors’Red Cat Holdings, Inc. (RCAT - Free Report) is strengthening its position in the defense market by expanding its portfolio of unmanned aerial and surface systems while targeting growing military demand. The company is advancing its FANG, Black Widow, FlightWave and Blue Ops platforms to support defense missions across multiple domains. Black Widow has been deployed in multiple operational theaters and is being integrated with targeting, GPS-denied navigation and military command systems, while the company continues to pursue opportunities with the U.S. Army, Marines, Air Force, Ukraine and allied nations. Red Cat is also increasing manufacturing capacity, strengthening its supply chain and expanding production to support anticipated defense contracts and military requirements.

Draganfly (DPRO - Free Report) is strengthening its position in the defense market by expanding its military-focused operations, strategic partnerships and drone platform capabilities. During the first quarter of 2026, the company secured military orders from the U.S. Army, international customers and special operations units, while also supporting Air Force swarming technology initiatives and border security applications. It further enhanced its defense business by adding experienced military leadership, pursuing opportunities tied to growing defense spending and establishing partnerships with Global Ordnance and Babcock. Draganfly continues to focus on delivering interoperable drone platforms that support a wide range of defense missions and evolving operational requirements.

ONDS’ Price Performance, Valuation and EstimatesShares of ONDS have gained a whopping 214.3% in the past year compared with the Zacks Wireless-National industry’s growth of 102.6%.

Image Source: Zacks Investment Research

ONDS seems overvalued, as suggested by the Value Score of F. In terms of the forward 12-month Price/Sales ratio, ONDS is trading at 4.86, considerably lower than the industry’s multiple of 8.87.

Image Source: Zacks Investment Research

For ONDS, earnings estimates for the current year have been revised downward in the past 60 days.

Image Source: Zacks Investment Research

ONDS currently has a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

ONDS lifted its 2026 revenue outlook after Q1 sales jumped tenfold, but rising expenses and earnings volatility could test its growth story.

Key Takeaways Ondas acquired DZYNE for $875.8M to expand its integrated AI-driven autonomous defense platform.ONDS raised 2026 revenue guidance to at least $525M as DZYNE and other acquisitions add growth.DZYNE brings a $1.5B contract pipeline, $111M backlog and expects positive EBITDA starting in 2026. Shares of Ondas Inc. (ONDS - Free Report) jumped 5.5% yesterday after the company announced the acquisition of DZYNE Technologies, a deal valued at $875.8 million, consisting of $200 million in cash and roughly $675 million in Ondas stock, with more than half of the equity consideration subject to a six-month lock-up period. The transaction positions ONDS as a comprehensive autonomous defense platform capable of serving governments, military organizations, homeland security agencies and critical infrastructure operators with integrated, AI-driven solutions.

Before the acquisition, Ondas had already developed capabilities in autonomous drone operations, persistent sensing and communications through its partnerships with World View and Optimus. DZYNE adds long-endurance ISR, Counter-UAS and autonomous strike and logistics platforms, creating an integrated system-of-systems rather than a portfolio of standalone products. To support its expanded vision, Ondas has launched OndasSentinel, combining World View and DZYNE into a dedicated division to streamline R&D, manufacturing, software development and customer engagement while pursuing larger defense contracts.

Investors cheered the acquisition and the dramatic improvement in Ondas' financial outlook. Following the transaction, management raised its 2026 revenue guidance to at least $525 million from the previous forecast of $390 million. The increase reflects contributions from recently acquired businesses, including DZYNE and Omnisys, while DZYNE alone is expected to generate approximately $191 million in revenue during 2026 and more than $300 million in 2027. DZYNE reportedly brings a $1.5 billion contract pipeline, approximately $111 million in backlog and expectations for positive EBITDA beginning in 2026.

Another attractive aspect of the deal is how well DZYNE fits into Ondas' broader acquisition strategy. Earlier this year, Ondas completed acquisitions, including Cyberhawk and Omnisys, strengthening its exposure to military programs and AI-powered battlefield software. The upgraded revenue outlook, sizable contract pipeline and stronger competitive positioning are likely to drive future stock performance.

Are Ondas’ Peers Also Betting on Acquisitions?Draganfly (DPRO - Free Report) completed the acquisition of Skip Dynamix last month, strengthening its defense drone portfolio and expanding its presence in the low-cost autonomous aerial systems market. The deal adds fixed-wing drone technology and enhances Draganfly’s AI, autonomy and military systems capabilities, while improving its positioning in U.S., NATO and Indo-Pacific defense programs. The acquisition adds the Orca fixed-wing drone to Draganfly’s portfolio, expanding its capabilities in long-range autonomous systems. It also broadens the company’s reach across defense and government markets, creates revenue growth opportunities and retains key fixed-wing drone expertise through the continued involvement of Skip Dynamix’s founders.

Last month, Unusual Machines (UMAC - Free Report) agreed to acquire Upgrade Energy for approximately $52 million, adding battery and power system expertise to its drone components business. The deal expands the company’s product portfolio, strengthens domestic manufacturing capabilities and supports future production growth through additional U.S. facilities. In 2025, UMAC bought Rotor Lab, adding high-performance drone motor and propulsion technologies to its portfolio. The deal strengthens its commercial and defense offerings, supports U.S. manufacturing expansion and enhances motor design and engineering capabilities. It also agreed to acquire Aloft Technologies for $14.5 million, adding leading drone fleet and airspace management capabilities to its portfolio.

ONDS’ Price Performance, Valuation and EstimatesShares of ONDS have declined 24.1% in the past month against the Zacks Wireless-National industry’s jump of 144.7%

Image Source: Zacks Investment Research

In terms of the forward 12-month Price/Sales ratio, ONDS is trading at 7.29, lower than the industry’s multiple of 9.77.

Image Source: Zacks Investment Research

For ONDS, earnings estimates for the current year have remained unchanged in the past 30 days.

Image Source: Zacks Investment Research

ONDS currently has a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Combination expands Ondas' portfolio across multi-domain ISR, counter-UAS, precision strike, mission intelligence and autonomous systems for U.S. and allied defense customers

Together with World View, DZYNE will operate within Ondas Sentinel, a newly created business division that will strengthen Ondas' U.S. defense portfolio

Transaction significantly strengthens Ondas' financial profile, adding substantial revenue, positive EBITDA and expanded operating leverage

WEST PALM BEACH, FL / ACCESS Newswire / July 6, 2026 / Ondas Inc. (NASDAQ:ONDS) ("Ondas" or the "Company"), a leading provider of advanced autonomous systems and next-generation defense and security technologies and services, announced today it has acquired DZYNE Technologies, LLC ("DZYNE"). This acquisition establishes Ondas as a vanguard autonomous defense platform, uniting complementary capabilities across multi-domain ISR, counter-UAS, autonomous effects, aerial security, precision strike, autonomous logistics, and AI-enabled mission orchestration to rapidly meet the complex, evolving requirements of modern warfare. The acquisition is valued at $875.8 million and was financed through a cash and stock structure intended to align the incentives of DZYNE management and investors with Ondas' stockholders. Greater than 50% of the stock consideration is subject to a six-month lock-up.

"The character of warfare is changing rapidly, and military advantage increasingly belongs to organizations capable of deploying autonomous systems at scale," said Eric Brock, Chairman and Chief Executive Officer of Ondas. "DZYNE brings exceptional technology, world-class engineering talent and mission-ready systems across long-endurance ISR, counter-UAS and autonomous effects. The combination with DZYNE accelerates Ondas' build-out of the next-generation autonomous defense platform-not through a single breakthrough product, but by integrating complementary, mission-proven technologies into a scaled operating platform. Importantly, DZYNE significantly strengthens Ondas' financial profile, adding substantial scale and revenue growth. DZYNE is EBITDA positive with a strong and growing margin profile, accelerating Ondas' path towards profitable, long-term growth."

DZYNE, a U.S.-based defense technology company recognized for its leadership in long-endurance autonomous aircraft, counter-drone systems and autonomous effects, brings Ondas an operationally mature business with established relationships across the U.S. defense community and allied customers, along with a reputation for moving quickly from prototyping into fielded systems. Ondas believes this combination of technical depth, mission experience, customer trust and operational execution makes DZYNE a uniquely valuable strategic asset as defense organizations accelerate investment in autonomous systems.

"We structured this transaction to take the majority of our consideration in Ondas equity because we believe in the long-term value of the combined platform," said Jeff Hull, President and Chief Executive Officer of Highlander Partners, the majority owner of DZYNE. "As a firm that invests our own proprietary capital with a patient, long-term horizon, our equity position reflects genuine conviction - not just in DZYNE's capabilities, but in Ondas' vision to build a scaled global operating platform for unmanned and autonomous systems serving the defense, security, and critical infrastructure markets. DZYNE's ISR, counter-UAS, and expendable systems are a natural extension of that architecture, and we believe DZYNE's technology and team will thrive inside Ondas as part of its broader system-of-systems strategy - together positioned to be a leader in autonomous defense."

"This acquisition exemplifies our Strategic Growth Program by adding an operationally mature defense technology company with market-leading products, deep customer relationships and immediate financial scale," said Mark Green, Head of Global Corporate Development & M&A at Ondas. " Integrating DZYNE into our systems-of-systems architecture expands our technology leadership while strengthening our operating platform and financial profile."

Ondas Sentinel: A New Operating Division for U.S. Scale

Ondas has formed Ondas Sentinel, a dedicated operating division unifying its growing U.S. portfolio of autonomous defense technologies. Initially intended to integrate World View and DZYNE, it combines persistent ISR, counter-UAS, autonomous effects and mission intelligence into a scalable organization built to support larger, more integrated defense programs while leveraging common technology roadmaps, manufacturing, sustainment and AI-enabled mission software.

Ryan Hartman, Chief Executive Officer of World View, will serve as Chief Executive Officer of Ondas Sentinel, while Matt McCue, co-founder and Chief Executive Officer of DZYNE, will become Chief Technology Officer of Ondas Sentinel. Together, they will lead the integration of the businesses and accelerate Ondas' strategy to deliver integrated autonomous defense solutions at scale.

"Ondas Sentinel creates far more than an organizational structure-it's a scalable U.S. defense platform," said Ryan Hartman, Chief Executive Officer of Ondas Sentinel. "By combining World View's persistent sensing with DZYNE's mission-proven autonomous systems, effectors, and counter-UAS capabilities, we can engage customers across more mission areas, pursue larger programs and help operators see more, decide faster and act with confidence."

Compelling Strategic Fit Accelerates Combined Growth Path

DZYNE adds three strategic franchises to the Ondas platform: long-endurance ISR, counter-UAS and autonomous effects. These capabilities have been supported by over $500 million of cumulative R&D and product development investment and directly address several of the fastest-growing priorities in defense modernization, including persistent intelligence, aerial security, affordable mass and distributed operations.

1) Building a Multi-Domain ISR Architecture from the Stratosphere to the Tactical Edge

The acquisition of DZYNE significantly advances Ondas' multi-domain ISR roadmap, reflecting the Company's belief that the future of ISR lies in integrated architectures, not isolated aircraft or sensors.

DZYNE's ULTRA is a long-endurance autonomous aircraft delivering multi-day ISR across large operational areas at significantly lower operating cost and logistical burden than traditional ISR aircraft. With tens of thousands of operational flight hours, ULTRA brings proven persistence to distributed operations, border security, maritime awareness and communications relay-strengthening Ondas' position in persistent intelligence and bridging World View's stratospheric sensing with Optimus' tactical-edge autonomous operations.

The combined Ondas ISR portfolio is expected to span:

Stratospheric ISR: World View's Stratollites provide persistent sensing, communications relay and strategic intelligence capabilities from the stratosphere, supporting wide-area surveillance, maritime awareness, border security and resilient communications.

Long-Endurance Theater ISR: DZYNE's ULTRA and LEAP platforms provide long-endurance intelligence collection, reconnaissance and communications relay capabilities for operational theater missions requiring persistence over extended periods.

Tactical ISR: Ondas' Optimus autonomous drone platform and InsightSense ground sensor technologies provide persistent intelligence and situational awareness at the tactical edge, combining autonomous aerial reconnaissance, distributed ground sensing, force protection and infrastructure monitoring into a unified tactical intelligence layer.

Ondas is also advancing SkyWeaver, an AI-enabled mission operating system being developed in partnership with Palantir Technologies to connect sensors, autonomous platforms, operators and decision-makers across a single operational environment. Built on Palantir Foundry and AIP, SkyWeaver transforms data across the Ondas and DZYNE portfolios into actionable intelligence for sensor fusion, decision support, mission planning and autonomous tasking.

2) IonStrike Completes Ondas' Counter-UAS and Aerial Security Portfolio

DZYNE's IonStrike significantly expands Ondas' counter-UAS portfolio with a fully kinetic, autonomous interceptor designed to detect, track and physically defeat hostile drones in flight. Purpose-built to counter the Shahed-136 class of one-way attack drones and other emerging aerial threats, IonStrike delivers scalable, low-cost interception at the point of engagement, providing an affordable alternative to traditional air defense systems.

IonStrike extends Ondas' aerial security platform beyond detection and mitigation to complete the kinetic defeat layer of an integrated counter-UAS architecture, enabling Ondas to own the full mission chain-from detection and identification to mitigation, interception and defeat-across military, homeland security and civil markets. Together with DZYNE's Dronebuster, which we believe to be one of the most widely fielded handheld counter-UAS systems in the world, Sentrycs' cyber-based detection and mitigation, and Iron Drone's autonomous interception, IonStrike forms a layered aerial security architecture against evolving unmanned threats:

Detect: Sentrycs, Dronebuster and integrated airspace awareness technologies

Identify: Sentrycs protocol analytics, sensor fusion and AI-enabled classification

Mitigate: Sentrycs cyber takeover capabilities and Dronebuster electronic defeat capabilities

Defeat: Iron Drone autonomous net interception and IonStrike autonomous strike

3) Expanding Capabilities in Precision Strike and Autonomous Effects

DZYNE's family of unique, low-cost, attritable autonomous systems enables Ondas to support a broader spectrum of missions spanning intelligence, force protection, logistics, and precision effects. As militaries shift toward "affordable mass," launched effects have been one of the fastest-growing segments of global defense spending, giving commanders scalable, expendable systems at a fraction of the cost of traditional platforms.

DZYNE's portfolio includes the Blitz autonomous Group 1 UAS and Grasshopper autonomous cargo glider. Blitz pairs long-range autonomy, (150 km range), expendable economics, swarm capabilities and an open, modular architecture into a highly scalable platform aligned with the U.S. Department of War's (DOW) focus on affordable mass and autonomous effects. Grasshopper delivers up to 500 pounds of critical supplies with precision into contested or denied environments, at a fraction of the cost of traditional logistics platforms.

Financial Profile and Updated Outlook

DZYNE is expected to generate $191 million in revenue for the full year 2026, and more than $300 million in 2027. The Company expects a revenue growth CAGR of greater than 80% from 2025-2028 driven by strong adoption of both the ULTRA platform for long-endurance ISR applications and the kinetic interceptor solution, IonStrike, along with a strong contribution from the counter-drone portfolio, including Dronebuster. DZYNE is expected to be EBITDA positive in 2026 and beyond. EBITDA margins are targeted in the mid-teens in 2027, rising to the mid-20% range by 2028.

For 2026 Ondas is now targeting at least $525 million in revenue, significantly ahead of the Company's previous target of at least $390 million. The new outlook includes the addition of both DZYNE and the Company's Omnisys acquisition, which closed on May 21, 2026, and was not contemplated in the prior outlook. Ondas' new outlook does not include contributions from Cyberhawk, Ondas' recently announced acquisition that is expected to close during the third quarter of 2026.

Transaction Summary

Under the terms of the transaction, DZYNE shareholders received $200 million in cash and approximately 85 million Ondas shares valued at approximately $675 million. The DZYNE shareholders, led by Highlander, will own approximately 13.8% of Ondas' outstanding shares. Of the 85 million shares, 45 million-more than half the equity consideration-are subject to a six-month lock-up. Ondas believes this structure balances liquidity needs for DZYNE shareholders and long-term alignment with Ondas' stockholders.

For additional information regarding the acquisition, please see the Current Report on Form 8-K to be filed with the Securities and Exchange Commission later today. In connection with the acquisition, the Company approved inducement grants of restricted stock units (RSUs) representing 500,000 shares of the Company's common stock and stock options exercisable for 1,500,000 shares of the Company's common stock with an exercise price of $7.92 per share to a total of 255 newly-hired employees in connection with the acquisition. The equity awards were granted pursuant to the Nasdaq Rule 5635(c)(4) inducement grant exception as a component of each individual's employment compensation and were granted as an inducement material to his or her acceptance of employment with the Company. The RSUs and the stock options vest over 3 years, subject to the applicable employee's continued employment with the Company.

Advisors

Citizens Capital Markets & Advisory served as exclusive financial advisor to Ondas and Baird served as exclusive financial advisor to DZYNE Technologies. Akerman LLP served as legal counsel to Ondas and Baker McKenzie served as legal counsel to Highlander Partners and DZYNE Technologies.

Investor Conference Call & Audio Webcast Details

Ondas will host an investor conference call and audio webcast to discuss the acquisition, the formation of Ondas Sentinel, and the strategic importance of the transaction to the Company's long-term autonomous defense strategy.

Date: Monday, July 6, 2026
Time: 8:30 a.m. Eastern Time
Toll-free dial-in number: 844-883-3907
International dial-in number: 412-317-5798
Call participant pre-registration link: here

The Company encourages listeners to pre-register, which allows callers to gain immediate access and bypass the live operator. Please note that you can register at any time during the call. For those who choose not to pre-register, please call the conference telephone number 10-15 minutes prior to the start time, at which time an operator will register your name and organization.

The conference call will also be broadcast live and available for replay here and via the investor relations section of the Company's website at ir.ondas.com. A replay will be accessible from the investor relations website after completion of the event.

About Ondas Inc.

Ondas Inc. (NASDAQ:ONDS) is a leading provider of autonomous systems, robotics, and mission-critical technologies for defense, homeland security, public safety, critical infrastructure, and industrial markets. The Company develops and deploys integrated unmanned and autonomous platforms across air, ground, and stratospheric environments, designed to support intelligence, surveillance, reconnaissance, security, and operational missions in complex environments. Ondas' solutions are deployed globally by government, defense, and commercial customers to protect infrastructure, borders, transportation networks, personnel, and strategic assets.

For additional information on Ondas Inc., visit www.ondas.com.

About DZYNE Technologies, LLC

DZYNE Technologies is a leading developer of autonomous aerial systems and advanced defense technologies, delivering innovative solutions across intelligence, surveillance, reconnaissance, and counter‑UAS missions. The company designs and manufactures a full ecosystem of unmanned platforms and payloads-including long‑endurance Group 2/3 aircraft, rapid‑deployment Group 1 systems, and field‑proven counter‑drone tools-built to operate in contested and denied environments. With deep expertise in AI‑enabled autonomy, modular airframe design, and rapid prototyping, DZYNE supports U.S. and allied defense customers with scalable, mission‑ready capabilities that accelerate decision advantage at the tactical edge.

Forward-Looking Statements

Statements made in this release that are not statements of historical or current facts are "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. We caution readers that forward-looking statements are predictions based on our current expectations about future events. These forward-looking statements are not guarantees of future performance and are subject to risks, uncertainties and assumptions that are difficult to predict. Our actual results, performance, or achievements could differ materially from those expressed or implied by the forward-looking statements as a result of a number of factors, including the risks discussed under the heading "Risk Factors" discussed under the caption "Item 1A. Risk Factors" in Part I of our most recent Annual Report on Form 10-K or any updates discussed under the caption "Item 1A. Risk Factors" in Part II of our Quarterly Reports on Form 10-Q and in our other filings with the SEC. We undertake no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise that occur after that date, except as required by law.

Contacts
IR Contact for Ondas Inc.
888-657-2377
[email protected]

Media Contact for Ondas Inc.
Escalate PR
[email protected]

Preston Grimes
Marketing Manager, Ondas Inc
[email protected]

Jill Vacek
Director of Communications, Ondas Sentinel
[email protected]

SOURCE: Ondas Inc.

Key Takeaways Ondas secured $40M in June orders, bringing Q2 orders and awards to more than $150M.Rotron's SkyLance completed UK MOD Project Brakestop tests, validating strike capabilities.Ondas is expanding beyond defense into precision-strike systems, widening its market reach. As governments race to modernize their military capabilities, companies capable of delivering integrated autonomous defense platforms are becoming beneficiaries. Among these emerging players, Ondas Inc. (ONDS - Free Report) recently announced more than $40 million in new orders in June. The deal highlights accelerating demand for the company's Counter-UAS, Loitering Munition Systems (LMS), robotic platforms and AI-enabled defense technologies. These awards follow more than $30 million of orders secured in May, resulting in over $150 million in second-quarter orders and awards.

A key part of Ondas' LMS strategy is Rotron Aerospace, its wholly owned U.K. subsidiary. Rotron recently completed successful flight tests of its SkyLance system under the UK Ministry of Defence's Project Brakestop, confirming the platform's long-range precision strike capabilities. Rotron's U.K. manufacturing facility positions Ondas well for future European procurement opportunities. Rather than relying only on defensive products, Ondas is expanding into offensive autonomous capabilities, offering customers both defensive and precision-strike options. This dual-market approach significantly broadens the company's total addressable market.

Ondas is also benefiting from broader structural trends in global defense markets. Governments across Europe, North America and allied nations continue increasing military budgets in response to shifting geopolitical risks. Although order announcements do not immediately generate revenue, they serve as key indicators of future business performance. A growing backlog improves revenue visibility, manufacturing efficiency, customer confidence, operating leverage and eligibility for larger defense contracts. If Ondas continues converting its pipeline into repeat orders while maintaining operational discipline, growing LMS demand could drive its next phase of revenue growth.

ONDS Navigating a Crowded Defense MarketDraganfly (DPRO - Free Report) and F4 Defense International secured an initial DEVCOM Army Research Laboratory contract to develop a modular, rapidly deployable counter-drone system that integrates tethered aerial platforms with drone detection, tracking, targeting and defeat capabilities for enhanced situational awareness and defense in contested environments. First-quarter revenue rose 49.4% to $2.3 million, driven by a 44.8% increase in product sales to $2.2 million. Quarterly sales were aided by strong demand from military customers, including an FPV drone order from the U.S. Army, reflecting its growing relationship with an existing defense customer. DPRO expanded its defense portfolio through the acquisition of Skip Dynamix's drone technology assets.

Unusual Machines (UMAC - Free Report) reported healthy first-quarter growth, with strong enterprise demand driving revenue gains, a 32.8% gross margin, expanded production capacity and a strengthened balance sheet following a $150 million equity raise. UMAC also advanced its integrated powertrain strategy through the $52 million Upgrade Energy deal and sees potential drone-delivery expansion by 2027. Per management, demand continues to exceed supply and is expected to remain strong through 2027, driven by rising defense drone procurement and emerging counter-drone programs. It is expanding production and securing raw materials to capitalize on growing demand, supported by increasing U.S. defense spending and a preference for domestic supply chains.

ONDS’ Price Performance, Valuation and EstimatesShares of ONDS have gained a whopping 433.1% in the past year against the Zacks Wireless-National industry’s decline of 14.2%

Image Source: Zacks Investment Research

ONDS seems overvalued, as suggested by the Value Score of F. In terms of the forward 12-month Price/Sales ratio, ONDS is trading at 8.03, considerably higher than the industry’s multiple of 1.65.

Image Source: Zacks Investment Research

For ONDS, earnings estimates for the current year have remained unchanged in the past 30 days.

Image Source: Zacks Investment Research

ONDS currently has a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Key Takeaways Ondas plans a $125M Cyberhawk acquisition, expected to close in Q3 2026 pending approvals.Cyberhawk adds drone inspections, digital twins, cloud software and AI asset analytics capabilities.ONDS gains a business with 95% recurring revenue and a $95M backlog supporting future growth. The convergence of AI, autonomous drones, cloud software and critical infrastructure management is reshaping industries worldwide. In a strategic move, Ondas Inc. (ONDS - Free Report) recently announced its planned $125 million acquisition of Cyberhawk, a top provider of drone-based infrastructure inspection and AI-powered asset intelligence. Management indicated that approximately 95% of the consideration will be in stock, reducing immediate cash needs while aligning Cyberhawk shareholders with Ondas' long-term performance. The acquisition also requires regulatory approvals before the expected closing in the third quarter of 2026.

The strategic value of the Cyberhawk acquisition lies in its complementary capabilities. Cyberhawk brings drone inspections, digital twins, cloud-based infrastructure management and AI analytics, while Ondas contributes autonomous aerial systems, mission automation and advanced sensing technologies. Together, they create an end-to-end infrastructure intelligence platform spanning data collection, cloud visualization, AI-driven analysis and predictive maintenance. This integrated ecosystem enhances customer value and opens multiple recurring revenue opportunities.

Cyberhawk enhances Ondas both financially and strategically. The company is projected to generate more than $45 million in revenue for the fiscal year ending March 2027, starting with high-single-digit EBITDA margins and aiming for EBITDA margins exceeding 25% by 2030. About 95% of Cyberhawk's revenue comes from recurring sources, including multi-year contracts, software subscriptions and long-term infrastructure inspection agreements. Recurring revenue improves predictability, reduces earnings volatility and often attracts higher valuation multiples than project-based businesses. Cyberhawk also has a $95 million backlog, offering visibility into future growth.

ONDS is on an acquisition spree. Last month, it agreed to acquire Omnisys, adding AI-powered battlefield orchestration software to its defense portfolio. This is followed by prior buyouts of Rotron Aerospace, Mistral Inc., Bird Aero, Indo-Earth and World View, strengthening its capabilities across loitering munitions, counter-missile defense systems, military engineering equipment and stratospheric surveillance solutions.

Are ONDS’ Rivals Also Betting on Acquisitions?Draganfly (DPRO - Free Report) recently completed the acquisition of Skip Dynamix, strengthening its defense drone portfolio and expanding its presence in the low-cost autonomous aerial systems market. The deal adds fixed-wing drone technology and enhances Draganfly’s AI, autonomy and military systems capabilities, while improving its positioning in U.S., NATO and Indo-Pacific defense programs. The acquisition adds the Orca fixed-wing drone to Draganfly’s portfolio, expanding its capabilities in long-range autonomous systems. It also broadens the company’s reach across defense and government markets, creates revenue growth opportunities and retains key fixed-wing drone expertise through the continued involvement of Skip Dynamix’s founders.

Last month, Unusual Machines (UMAC - Free Report) agreed to acquire Upgrade Energy for approximately $52 million, adding battery and power system expertise to its drone components business. The deal expands the company’s product portfolio, strengthens domestic manufacturing capabilities, and supports future production growth through additional U.S. facilities. In 2025, UMAC completed the acquisition of Rotor Lab, adding high-performance drone motor and propulsion technologies to its portfolio. The deal strengthens its commercial and defense offerings, supports U.S. manufacturing expansion and enhances motor design and engineering capabilities. It also agreed to acquire Aloft Technologies for $14.5 million, adding leading drone fleet and airspace management capabilities to its portfolio.

ONDS’ Price Performance, Valuation and EstimatesShares of ONDS have gained a whopping 486.7% in the past year against the Zacks Wireless-National industry’s decline of 14.5%

Image Source: Zacks Investment Research

ONDS seems overvalued, as suggested by the Value Score of F. In terms of the forward 12-month Price/Sales ratio, ONDS is trading at 8.63, considerably higher than the industry’s multiple of 1.6.

Image Source: Zacks Investment Research

For ONDS, earnings estimates for the current year have remained unchanged in the past 30 days.

Image Source: Zacks Investment Research

ONDS currently has a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Ondas stock is moving in positive territory. Why is ONDS stock advancing? The OrdersThe June awards include Counter-UAS solutions, Loitering Munition Systems, ground systems, and related defense services from governmental and defense customers across multiple international markets. The new orders build on more than $30 million secured during May, reflecting accelerating demand for Ondas’ integrated autonomous defense platform across Europe and the United States.

“June new orders demonstrate the increasing demand for autonomous defense technologies capable of addressing the realities of modern warfare,” said Eric Brock, Chairman and CEO. “Counter-UAS has become an urgent priority for governments around the world as drone threats continue to accelerate, and we are now seeing the next major wave of demand forming around Loitering Munition Systems and affordable long-range precision engagement.”

The SkyLance TrialA key development within the quarter was Rotron Aerospace, Ondas’ wholly owned UK-based subsidiary, completing a successful flight trial of its SkyLance system under the UK Ministry of Defence’s Project Brakestop, a Taskforce Kindred-funded program focused on advancing next-generation long-range strike capability.

SkyLance is a one-way-effect system designed to combine substantial operational range with precision engagement capability. The successful trial validated core technologies supporting the platform and demonstrated Rotron’s ability to rapidly deliver advanced capability in support of sovereign UK defense priorities. The system is designed, developed and manufactured entirely in the United Kingdom.

Ondas Shares Edge HigherONDS Price Action: At the time of publication, Ondas shares are trading 2.48% lower at $9.03, according to data from Benzinga Pro.

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Key Takeaways Ukraine launched more than 200 drones into Russia, disrupting Moscow airports and a major oil refinery.Redwire is the top holding in Defiance Drone and Modern Warfare ETF; Ondas and Red Cat rank high. Ondas and AeroVironment are the top two holdings in the REX Drone ETF. The long-running war between Russia and Ukraine escalated fiercely last week when Ukraine launched its largest-ever drone assault against Russia, directly targeting the capital city of Moscow and its critical infrastructure. Over 200 Ukrainian drones penetrated deep into Russian territory, disabling a major oil refinery and forcing Moscow airports to suspend operations. 

This unprecedented wave of aerial warfare, once again reflecting a fundamental shift in modern military strategy, has placed a sharp global spotlight on drone manufacturers, particularly those directly involved in these active hostilities, and the exchange-traded funds (ETFs) that hold them.

To understand how this strategy of using powerful, lethal drones these days is impacting the financial markets, investors must look closely at the specific companies enabling these drone deployments and analyze the overall outlook for the uncrewed systems industry.

Companies Arming the Unmanned FrontlinesSeveral key publicly traded companies are already experiencing surging demand and appear well positioned for sustained growth, thanks to their direct involvement or close technological partnerships with Ukraine. These stocks are:

Red Cat Holdings (RCAT - Free Report) : This Puerto Rican drone manufacturer is a strategic partner of Spetstechnoexport (STE), a state-owned enterprise under Ukraine’s Ministry of Defense that serves as a key integrator of Ukraine’s defense technology ecosystem. It is actively co-developing small First-Person View (FPV) strike drones and autonomous swarming software built directly from real-time combat telemetry.

Redwire Corporation (RDW - Free Report) : Its Penguin family of UAS has been specifically designated for Ukraine, used as a major component of Ukraine’s defense against Russia since 2022. As of June 2026, Redwire delivered more than 200 combat-proven Penguin UAS to the Ukraine Armed Forces. 

AeroVironment (AVAV - Free Report) : This company is a key supplier of unmanned aerial systems (UASs) and loitering munitions to Ukraine. AVAV’s Switchblade and Puma drone systems have been widely utilized by Ukrainian forces for tactical reconnaissance and precision strikes. During the third quarter of fiscal 2026, AVAV won a contract worth $874 million from the US Army for its UAS and counter-UAS product lines to support foreign military sales demand. Ukraine, still being a U.S. ally, should benefit from this contract in terms of procuring these UAS and counter-UAS from AVAV. 

Ondas Holdings (ONDS - Free Report) : This autonomous systems provider announced in December 2025 its intent to invest up to $11 million in Drone Fight Group, a Ukrainian developer of advanced unmanned aerial systems, to support battle-tested Ukrainian defense technologies. To expand its production capacity globally, particularly in Europe, ONDS has formed a joint venture with an initial focus on Germany and Ukraine that combines Ondas Autonomous Systems’ counter-UAS and ISR technologies with Heidelberg’s industrial scale and European production footprint.

Outlook for the Drone IndustryThe explosive events in Moscow reflect only a part of a broader shift in global military strategy. As next-generation drones eliminate the risk of friendly casualties while inflicting devastating damage on the enemy, widespread geopolitical instability is driving massive global demand. 

Even companies not directly active in Eastern Europe are seeing historic tailwinds due to rising friction in the Indo-Pacific and the Middle East. For example, DroneShield Limited, an Australian defense technology company specializing in counter-drone systems, is seeing solid demand lately for its counter-drone, radio-frequency jamming guns as militaries worldwide scramble to protect their airspace from cheap, weaponized consumer drones.

With countries racing to build massive, autonomous uncrewed fleets, the economics of warfare have permanently tilted toward high-impact drone swarms. Consequently, the growth prospects of the drone industry are immensely bright for the next few years. Valued at $47.4 billion, by the end of 2025, the global military drone market is projected to grow to $98.2 billion by 2033 at an 8.9% CAGR, as per GrandView Research.

Drone ETFs in SpotlightConsidering the growth prospects offered by the global military drone market, the spotlight is on the following drone ETFs:

Defiance Drone and Modern Warfare ETF (JEDI - Free Report)

This fund, with net assets worth $163.2 million, offers exposure to 45 publicly traded companies from developed markets that generate significant revenue from the drone and modern warfare industry. RDW holds the first position in this fund, with 12.26% weightage, while ONDS holds the third position, with 7.14% weightage. RCAT holds the seventh spot in this fund, with 4.83% weightage. 

The fund charges 69 basis points (bps) as fees. JEDI traded at a volume of 0.28 million shares in the last trading session.

REX Drone ETF (DRNZ - Free Report)  

This fund, with net assets worth $107.8 million, offers exposure to 51 companies that derive at least 50% of their revenues from drones and UAV or enabling technologies. ONDS holds the first position in this fund, with 13.35% weightage, while AVAV holds the second position, with 12.69% weightage. DroneShield holds the fifth position in this fund, with 5.60% weightage, while RCAT holds the seventh position, with 5.05% weightage

The fund charges 65 bps as fees. DRNZ traded at a volume of 0.17 million shares in the last trading session.

Defiance 2X Daily Long Pure Drone and Aerial Automation ETF (DRNL - Free Report)  

This fund, with net assets worth $0.67 million, offers exposure to 14 companies directly involved in drone manufacturing, drone software and avionics, aerial automation, autonomous flight systems, and electric vertical take-off and landing (eVTOL) technologies. Joby Aviation holds the first position in this fund, with 20.71% weightage. ONDS holds the eighth position in this fund, with 17.10% weightage, while RCAT holds the 10th position, with 16.82% weightage. 

The fund charges 131 bps as fees. DRNL traded at a volume of 0.03 million shares in the last trading session.

Ondas Holdings remains a risk-aware Buy as revenue targets and backlog have surged, while valuation multiples have compressed significantly since February. ONDS's 2026 revenue target has jumped to ~$390m, backlog is ~$457m, and gross margins are holding near 50% despite rapid scaling and integration. Share dilution concerns are mitigated by revenue growth outpacing issuance; consensus revenue estimates for 2027 and 2028 are increasingly credible.

Key Takeaways ONDS will add Omnisys' AI-powered BRO software to expand autonomous defense capabilities.Ondas said BRO enables real-time mission planning and battlefield resource optimization.ONDS backlog rose to $457M as acquisitions expanded ISR and autonomous defense offerings. Ondas Inc. (ONDS - Free Report) has announced an agreement to acquire 100% of Omnisys Ltd., adding AI-powered battlefield orchestration software to its autonomous defense systems portfolio. The acquisition marks a major step in Ondas’ strategy to expand as a software-defined defense technology company. Omnisys develops Battle Resource Optimization BRO software designed for multi-domain defense planning and real-time operational decision making. Ondas expects the BRO platform to become a core orchestration layer across its autonomous systems portfolio, supporting mission planning, operational coordination and battlefield resource optimization across sensors, autonomous systems and defense assets operating in complex environments.

Management stated that the BRO platform is a modular vendor-agnostic AI software suite that integrates data from sensors, command and control systems, autonomous platforms and operational assets into a unified operational picture. Using AI algorithms and operations research methodologies, the platform generates optimized courses of action across the mission lifecycle, including pre-mission planning, mission adaptation and post-mission analysis.

The acquisition is expected to strengthen Ondas’ financial profile by adding a high-margin, software-driven business with a long operational history and profitability. Ondas also stated that integrating BRO with its SkyWeaver AI and mission autonomy platform will create a unified “sense-decide-orchestrate-act” framework across ISR strike, electronic warfare, counter-UAS, and air defense missions while supporting expansion into additional U.S. and allied defense markets.

Ondas is expanding its autonomous defense and ISR platform through a series of strategic acquisitions, including Rotron Aerospace, Mistral Inc., Bird Aero, Indo-Earth and World View, strengthening its capabilities across loitering munitions, counter-missile defense systems, military engineering equipment and stratospheric surveillance solutions. The acquisitions are enhancing Ondas’ position as an integrated autonomous defense solutions provider, with Mistral adding access to a $982 million U.S. Army IDIQ program and World View accelerating the company’s multi-domain ISR roadmap. These deals also contributed to a sharp increase in pro forma backlog to $457 million, supporting Ondas’ long-term growth and global expansion strategy.

Taking a Look at ONDS Competitors’ Acquisition StrategiesDraganfly (DPRO - Free Report) is expanding its defense technology portfolio through the acquisition of substantially all assets of Skip Dynamix’s drone technology business. The deal adds ultra-low-cost, mass-producible fixed-wing unmanned aerial systems designed for long-range ISR, electronic warfare support, logistics and one-way missions. By combining Draganfly’s AI, autonomy, manufacturing and military systems integration expertise with Skip Dynamix’s scalable Orca platform, the company aims to strengthen its position in the rapidly growing autonomous defense market. The acquisition is also expected to expand Draganfly’s opportunities across NATO-aligned modernization initiatives, Indo-Pacific security programs and Department of War autonomous systems projects.

Unusual Machines (UMAC - Free Report) is also expanding its domestic drone manufacturing capabilities through the acquisition of Upgrade Energy, which is expected to significantly accelerate its battery production plans and strengthen its position in the rapidly growing U.S. drone ecosystem. The company plans to integrate battery pack manufacturing operations in Orlando and California following the deal’s completion as part of its broader strategy to scale NDAA-compliant drone component production. Management believes the acquisition will support rising demand from Department of War programs, counter-drone applications and the expanding domestic drone market while complementing ongoing investments in motors, cameras and FPV headset manufacturing.

ONDS’ Price Performance, Valuation and EstimatesShares of ONDS are down 13.4% in the past month compared with the Wireless-National industry’s decline of 3.5%.

Image Source: Zacks Investment Research

In terms of the forward 12-month price/sales ratio, ONDS is trading at 9.47, considerably higher than the industry’s multiple of 1.71.

Image Source: Zacks Investment Research

The Zacks Consensus Estimate for ONDS’ earnings for the current year has been revised upward over the past 60 days.

Image Source: Zacks Investment Research

ONDS currently has a Zacks Rank #4 (Sell).

You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here..

Key Takeaways Ondas pivots to autonomous defense systems, adding five acquisitions in Q1 and a sixth deal last week.Ondas guides 2026 revenues at least $390M and cites $457M backlog, but operating loss widened in Q1.Draganfly Q1 revenues up 49.4% on higher military orders; C-UAS demand and new partnerships bode well. The global drone industry is rapidly evolving into one of the most strategically important sectors in defense, surveillance, logistics and autonomous warfare.

According to a report from Mordor Intelligence, the global drone tech market is expected to witness a CAGR of 9.34% from 2026 to 2031. The convergence of drones with artificial intelligence, cloud computing and edge processing is further driving adoption across verticals.

Ondas Inc. (ONDS - Free Report) and Draganfly (DPRO - Free Report) both operate in the defense and unmanned systems domain and are positioning themselves as strategic partners to military and government agencies. However, despite operating in the same space, these companies have very different positions in terms of scale and maturity.

For investors seeking exposure to this theme, the key question remains: which stock offers the better opportunity right now?

Let us do a deep dive into the companies’ competitive dynamics to understand which is better positioned in the industry.

ONDS: Building a “Systems of Systems” PlatformOndas entered 2026 following a transformational year marked by a pivot to autonomous systems, aggressive portfolio expansion and platform scaling.  At the core of this transformation is Ondas Autonomous Systems (“OAS”), which has quickly become a multi-domain autonomy platform spanning Intelligence, Surveillance, Reconnaissance or ISR, Counter-UAS, loitering munitions/strike systems, unmanned ground vehicles and stratospheric sensing via World View acquisition.

The company has accomplished this broad portfolio through focused M&A activity. In the first quarter alone, the company completed five acquisitions (World View, INDO Earth, Rotron Aerospace, Bird Aero and Mistral Inc). Last week, ONDS announced an agreement to acquire Omnisys Ltd., adding AI-powered battlefield orchestration software to its autonomous defense systems portfolio. In the past year, it has acquired Sentrycs, Apeiro Motion and Zickel, among others. Ondas now operates in more than 45 countries with over 1,000 employees globally.

The company has also accumulated a backlog exceeding $450 million following the acquisitions of World View and Mistral. Management increased 2026 revenue guidance to at least $390 million. 

Despite the impressive growth story, Ondas carries substantial risks. Extensive M&A amplifies risks, as so many acquisitions in such a short period can create integration overload and execution risks, as achieving targets depends on timely integration and conversion of backlog into revenues.

Profitability remains concerning. Ondas faces rising operating costs as it invests in personnel and infrastructure capabilities to capture additional market opportunities. First-quarter operating expenses rose substantially to $67 million from $11.8 million reported in the prior-year quarter. This led to an operating loss of $42.7 million, which widened from $10.3 million year over year. Consolidated adjusted EBITDA loss was $10.9 million, up from a loss of $7.5 million in the first quarter of 2025.

Amid rising costs, management expects adjusted EBITDA losses to stay elevated in the second quarter of 2026, likely marking the peak loss period. Beyond that, ONDS expects improvement throughout the year, driven by higher revenues, gross profit and operational scale.

Notably, management pulled forward the OAS EBITDA profitability target to the first quarter of 2027 — roughly six months ahead of the earlier target. Expectations for company-wide adjusted EBITDA profitability were unchanged, with the target being the first quarter of 2028. The key factor driving this is the company’s progress at the product level.

Nonetheless, the path to profitability remains heavily dependent on flawless execution. Any delays in integration and order conversion could push the profitability timeline further out. Increasing competition in the already crowded drone space is another headwind.  

DPRO: Rising Product SalesDraganfly is a Canada-based drone solutions and systems developer. The company’s drones include the Commander 3XL, Heavy Lift Drone, Commander 2 and Draganfly Medical Response Drone and the Apex drone aimed at ISR, marketed for the military and public safety.

DPRO has 5-plus drone systems that are all NDAA-compliant. As the United States and NATO aggressively eliminate non-compliant Chinese systems from critical infrastructure, this compliance advantage becomes a moat. DPRO recently introduced the Draganfly Blitz platform to capture demand for NDAA-compliant integrated gimbal systems. Draganfly Blitz payload platform comprises stabilized gimbal systems and electro-optical and infrared payloads.

First-quarter 2026 revenues came in at $2.3 million, up 49.4% year over year, driven by momentum in product sales.

Increasing presence in the military vertical is a major tailwind. At the beginning of the first quarter, DPRO secured orders for FPV drones from the U.S. Army and for Commander 3 XLs from international military customers. It was recently selected by the Department of War, along with F4 Defense International, to develop a multi-layered, modular and rapidly deployable counter-UAS (C-UAS) system.

Draganfly is also building strong strategic partnerships. The alliance with Prime Global Ordnance positions the company as a supplier in the growing military drone and munition ecosystem supporting Ukraine. Meanwhile, the partnership with Babcock strengthens access to Indo-Pacific defense markets.

On the acquisition front, DPRO signed an agreement to purchase all assets of Skip Dynamix’s drone technology business. This acquisition is a strategic fit amid increasing investments in low-cost autonomous aerial systems designed for electronic warfare resilience, ISR, swarm deployment and one-way operations.  

However, unlike Ondas, Draganfly is pursuing a more measured and focused strategy. Management is of the idea that future military operations will require fleets of interoperable drones rather than isolated single-use platforms. Draganfly cites that its core advantage lies in its interoperability and modularity.

Another key strength is balance-sheet flexibility. A company with just more than $2 million in quarterly revenues, C$147 million in cash balance and minimal debt on the balance sheet at the end of the first quarter, provides ample flexibility.

Nonetheless, DPRO is not without risks. At just C$2.3 million in quarterly revenues, it remains tiny relative to larger defense drone competitors. Profitability also remains a challenge. Gross margin shrank to 15% from 20% reported in the prior-year quarter, owing to an unfavorable sales mix and a one-time, non-cash write-down of inventory. Intense competition from both established defense contractors and emerging drone startups is a concern, given its small scale.

Price Performance & Valuation for ONDS & DPROYear to date, both ONDS and DPRO have registered losses of 7.1%.

Image Source: Zacks Investment Research

In terms of the forward 12-month price-to-sales ratio, ONDS trades at 8.7X, higher than DPRO’s 1.21X.

Image Source: Zacks Investment Research

How Do Estimates Compare for ONDS & DPRO?For ONDS, earnings estimates for the current year have unchanged in the past 60 days.

Image Source: Zacks Investment Research

For DPRO, earnings estimates have been unchanged over the same time frame.

Image Source: Zacks Investment Research

ONDS or DPRO: Which Is a Better Pick?Both stocks carry a Zacks Rank #3 (Hold) at present.

While Ondas offers ambitious scale and backlog potential, Draganfly’s focused execution, lower valuation and expanding defense partnerships make it the relatively more attractive risk-reward opportunity in the drone space today.

You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Now drones are next.

ONDS stock is soaring. See the chart and price action here.  A Wall Street Journal report published Wednesday revealed the administration is in active talks to extend that same playbook to domestic drone manufacturers, with the Pentagon’s Office of Strategic Capital leading discussions on a mix of debt and equity financing for select U.S. drone firms. 

The goal is straightforward: accelerate domestic production, cut costs, and reduce dependence on Chinese-made drone components and supply chains before a potential flashpoint forces the issue.

The policy foundation is already in place. 

Trump signed the “Drone Dominance” executive order in June 2025, making mass autonomous drone deployment a presidential priority. 

The FY2027 defense budget backs it with tens of billions in drone and autonomy funding, targeting 300,000 low-cost attack drones deployed by 2027. 

The $1 billion Drone Dominance Program is actively running — 49 companies were invited Wednesday to compete in the Phase II qualifying event in June. The top performers advance to a production and delivery contract stage.

How To Trade It Markets moved fast on the WSJ report. Here’s where the key names stand:

Ondas Holdings Inc. (NASDAQ:ONDS): 

The broadest platform play in the group.  Record Q1 revenue of $50.1 million, a $457 million backlog, and 2026 guidance of +$390 million.  The $196.6 million Omnisys acquisition added AI battlefield software on top of its drone hardware stack — making it a more complete platform than pure-play hardware names. Unusual Machines Inc. (AMEX:UMAC): 

Red Cat Holdings Inc. (NASDAQ:RCAT): 

The recon drone pure-play.  Q1 revenue surged 869% year-over-year to $15.5 million.  Its Teal Drones subsidiary is already in the Drone Dominance Program, and it recently locked in a  173-system order from Japan’s Ministry of Defense Kratos Defense & Security Solutions Inc. (NASDAQ:KTOS): 

The most institutionally credible name on the list.  Up 70% over the past year, per Benzinga Pro data, focused on jet-powered unmanned platforms and target drone systems already embedded in Pentagon programs. AeroVironment Inc. (NASDAQ:AVAV): 

The legacy small-UAS leader with loitering munitions and ISR platforms in active military use worldwide.  Deep existing contract base that makes it a reliable beneficiary of any spending expansion. Draganfly Inc. (NASDAQ:DPRO): 

The most speculative name on the list.  Catches bids on drone-sector headlines, but lacks the revenue scale or confirmed program participation of the others. The WSJ report stopped short of naming confirmed recipients or deal timelines — these are still discussions. 

But given the Trump administration’s track record of following through on strategic equity plays, the drone sector is pricing in the real possibility that government capital is coming.

Photo: Joshua Sukoff / Shutterstock

This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.

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© 2026 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.

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Ondas ONDS is soaring on Thursday morning amidst a sector-wide rally on reports of the Trump administration considering funding domestic drone companies.

According to The Wall Street Journal, the Defense Department is in discussions with several drone firms as Washington pushes to accelerate homegrown drone manufacturing capability.

Despite today’s surge, Ondas stock is down nearly 10% versus its year-to-date high.

Caution is warranted in chasing the momentum in ONDS shares because headline excitement now seems to be running ahead of the reality.

For starters, the Nasdaq-listed firm isn’t mentioned anywhere in the original WSJ report; it named Performance Drone Works, Unusual Machines, and Neros Technologies – but not Ondas Inc.

Ondas is riding the wave purely on sector association – not on any direct evidence it’s in line for a government cheque.

Simply put, the price action resembles a classic case of “guilt-by-adjacency” momentum trading, where a rising tide lifts all boats, albeit temporarily.

Investors loading up on Ondas at current levels are paying a premium for speculation that it could benefit from a program it hasn’t even been linked to.

And in small-cap defense names, that premium tends to evaporate quickly once the initial frenzy subsides.

Strip away the headline and ONDS’ underlying numbers present real challenges that a drone-sector narrative alone can’t paper over.

While an 11x year-on-year increase in Q1 sales to just over $50 million sure was “impressive”, the growth was almost entirely acquisition-driven – Ondas has gobbled up six defense-tech names in 2026 alone.

More tellingly, the Q1 operating loss widened to $42.7 million, and management itself said adjusted EBITDA losses will remain rather elevated in the second quarter.

In fact, company-wide profitability isn’t expected until early 2028.

Additionally, ONDS is seeking shareholder votes at its annual meeting today to raise authorized common shares from 800 million to 1.2 billion – indicating further dilution ahead.

ONDS shares’ technicals aren’t particularly encouraging either.

The relative strength index (RSI) currently sits in the late 60s, indicating the stock is approaching “overbought” conditions – a setup that often triggers a sell-off.

Historically (over the past six years), Ondas has lost over 1% in June, a seasonal pattern that makes it even less attractive to own in the near-term.

Plus, ONDS traded below $1.0 as recently as a year ago – suggesting the easy money has already been made.

It’s now pricing in a great deal of execution on a $390 million full-year revenue target that depends on seamlessly integrating six acquisitions while converting a $457 million pro forma backlog into actual recognized sales.

Defense contractors, even excellent ones, routinely stumble on that kind of integration complexity.

Today's Change

(

-3.52

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Current Price

$

9.31

Ondas (ONDS 3.52%), providing private wireless, drone, and automated data solutions, closed Thursday at $13.25, up 22.69%. The stock jumped after news broke that the Trump administration is exploring potential funding deals with an array of drone companies. The news sent the broader drone niche soaring higher today. Trading volume reached 241.6 million shares, about 216% above its three-month average of 76.4 million shares. Ondas IPO'd in 2020 and has grown 115% since going public.

How the markets moved todayThe S&P 500 added 0.57% to finish Thursday at 7,563, while the Nasdaq Composite gained 0.91% to close at 26,917. Within the drone industry, peers were bullish, as Unusual Machines closed at $29.60 (+57.2%) while AeroVironment finished at $214.39 (+18.3%).

What this means for investorsOndas added to its incredible 11-bagging run over just the last year, rising another 23% today. The next-gen drone and autonomous defense platform spiked on news that the Trump administration was weighing funding deals with key players in the drone space.

Reports explain that the federal government would take equity stakes in the companies, hopefully securing lower costs for domestically produced drones and weapons. A deal like this could be particularly useful for Ondas, as it relies heavily on a highly acquisitive growth strategy that most recently saw the company acquire Omnisys, a developer of battlefield resource-optimization software.

While this excitement is probably warranted, investors should remain somewhat cautious with Ondas despite its potential, as it still trades at 14 times expected 2026 sales.

Josh Kohn-Lindquist has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Ondas and SiTime. The Motley Fool has a disclosure policy.

New Orders Reflect Growing Demand Across Ondas' Unmanned and Autonomous Systems Portfolio and Demonstrate Continued Execution of the Company's Strategic Growth Plan

WEST PALM BEACH, FL / ACCESS Newswire / May 29, 2026 / Ondas Inc. (Nasdaq:ONDS) ("Ondas" or the "Company"), a leading provider of advanced autonomous systems and next-generation defense and security technologies, announced today that it has secured over $30 million in new orders during May across its defense, security and autonomous technology platform.

The May order momentum brings Ondas' Q2-to-date orders to over $110 million, demonstrating continued execution of the Company's strategic growth plan and accelerating customer demand across its core technology segments. These orders help support a growing backlog for Ondas and are being captured across Ondas' system-based defense and security businesses, including Air Defense and C-UAS solutions, loitering munition and one-way attack systems, ISR systems, UGVs, robotic defense systems and mission-critical security technologies. Ondas reported $50.1 million in revenues in the first quarter of 2026 with a proforma backlog of $457 million.

"Securing over $30 million in new orders during May, and over $110 million in orders quarter-to-date, reflects Ondas' continued execution," said Eric Brock, Chairman and CEO of Ondas. "As we scale production, customer deployments and operational capabilities across multiple technology segments, we believe this momentum is strengthening our visibility into future growth opportunities across defense, homeland security and critical infrastructure markets. Our strategy is centered on integrating differentiated technologies into a unified operating platform that can support increasingly complex mission requirements at scale."

Mr. Brock continued, "Governments and critical infrastructure operators are increasingly seeking trusted partners capable of delivering integrated autonomous systems, counter-drone technologies, ISR and robotic mission solutions at scale. We believe Ondas is well positioned to support these evolving requirements through our expanding technology portfolio, operational capabilities and growing global customer relationships."

The recent order momentum demonstrates the impact of Ondas' strategic growth plan as the Company scales multiple technology segments through the integration of engineering resources, operational capabilities, customer access, manufacturing capacity, deployment experience and field support across the Ondas platform. Ondas believes this integrated operating model enables each technology segment to grow faster while supporting larger, more complete mission solutions for defense, homeland security, border security, public safety, critical infrastructure and industrial customers. The Company's approach is to combine specialized technologies into a unified operating platform where each segment benefits from shared engineering, manufacturing, customer access, deployment experience, and operational support.

This structure allows Ondas to support customers with integrated mission solutions rather than standalone products. Air Defense and C-UAS systems can operate alongside ISR assets, while loitering munition, one-way attack, and robotic ground systems support coordinated air and ground operations in complex environments. Together, these capabilities strengthen Ondas' ability to support modern defense, security, border protection, and critical infrastructure missions while reducing risk to personnel and operators.

"Customers are increasingly looking for integrated defense technologies that can operate together across the mission," said Oshri Lugassy, Co-CEO of Ondas Autonomous Systems. "The future is not one drone, one robot or one sensor. It is a connected mission architecture that integrates air defense, counter-UAS, ISR, loitering systems, and autonomous ground operations into a coordinated operational capability. We believe Ondas is increasingly positioned to deliver these multi-domain mission solutions at scale across allied and partner nation defense and security markets."

Ondas expects to continue advancing its strategic growth plan by expanding production capacity, integrating acquired technologies, strengthening customer access, and pursuing larger defense and security programs across the United States, Europe, the Middle East and other allied markets. The Company believes that growing demand for air defense, C-UAS, autonomous ISR, loitering systems, UGVs, robotic defense systems and mission-critical security technologies will continue to support its long-term growth strategy.

About Ondas Inc.

Ondas Inc. (Nasdaq:ONDS) is a leading provider of autonomous systems, robotics, and mission-critical technologies for defense, homeland security, public safety, critical infrastructure, and industrial markets. The Company develops and deploys integrated unmanned and autonomous platforms across air, ground, and stratospheric environments, including autonomous drone systems, counter-UAS technologies, robotic ground systems, advanced unmanned aircraft and propulsion solutions, demining and engineering systems, and integrated sensing and communications technologies designed to support intelligence, surveillance, reconnaissance, security, and operational missions in complex environments. Ondas' solutions are deployed globally by government, defense, and commercial customers to protect infrastructure, borders, transportation networks, personnel, and strategic assets.

Forward-Looking Statements

Statements made in this release that are not statements of historical or current facts are "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. We caution readers that forward-looking statements are predictions based on our current expectations about future events. These forward-looking statements are not guarantees of future performance and are subject to risks, uncertainties and assumptions that are difficult to predict. Our actual results, performance, or achievements could differ materially from those expressed or implied by the forward-looking statements as a result of a number of factors, including the risks discussed under the heading "Risk Factors" discussed under the caption "Item 1A. Risk Factors" in Part I of our most recent Annual Report on Form 10-K or any updates discussed under the caption "Item 1A. Risk Factors" in Part II of our Quarterly Reports on Form 10-Q and in our other filings with the SEC. We undertake no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise that occur after that date, except as required by law.

Contacts

IR Contact for Ondas Inc.
888-657-2377
[email protected]

SOURCE: Ondas Inc.

Key Takeaways ONDS secured more than $30M in new orders in May 2026 and exceeded $110M in quarter-to-date orders.ONDS reported $50.1M in Q1 revenue and a pro forma backlog of $457M, boosting future visibility.ONDS is leveraging shared resources and expanding across global defense and security markets. The defense technology sector is experiencing unprecedented demand as governments worldwide accelerate investments in autonomous systems, counter-drone technologies, intelligence platforms and robotic warfare capabilities. Against this backdrop, Ondas Inc. (ONDS - Free Report) has secured more than $30 million in new orders during May 2026 and has surpassed $110 million in total orders quarter to date. Strong order momentum signals growing market acceptance, and the company's transformation into a diversified defense technology platform is gaining traction.

It generated $50.1 million in revenue and reported a pro forma backlog of $457 million in the first quarter. For investors, these figures are noteworthy because order growth often serves as an indicator of future revenue expansion. A growing backlog provides visibility into future business activity, suggesting that customers are committing to Ondas' solutions well before deployment. The orders span air defense, counter-drone systems, loitering munitions, ISR platforms, UGVs, robotic defense and security technologies, reducing reliance on any single product while expanding exposure to multiple defense spending trends.

A key part of Ondas' growth plan is its integrated operating model. Instead of managing each technology segment separately, ONDS is using shared resources across the organization, including engineering expertise, manufacturing capabilities, customer relationships, deployment experience, operational support infrastructure and field service capabilities. By offering multiple complementary solutions, Ondas can potentially increase its share of customer spending and build long-term relationships.

Ondas also mentioned that it aims to pursue larger defense and security programs across the United States, Europe, the Middle East and allied international markets. Expanding its international presence could provide Ondas with multiple avenues for growth while reducing its reliance on any single government customer. While challenges related to execution, competition and scaling remain, the ongoing momentum suggests that Ondas is positioning itself as a strong participant in the next generation of defense and security technologies.

How ONDS Stack Up in Competitive Defense Tech LandscapeDraganfly (DPRO - Free Report) and F4 Defense International recently secured an initial DEVCOM Army Research Laboratory contract to develop a modular, rapidly deployable counter-drone system that integrates tethered aerial platforms with drone detection, tracking, targeting and defeat capabilities for enhanced situational awareness and defense in contested environments. First-quarter revenue rose 49.4% year over year to $2.3 million, driven by a 44.8% increase in product sales to $2.2 million. Quarterly sales were aided by strong demand from military customers, including an FPV drone order from the U.S. Army, reflecting its growing relationship with an existing defense customer. DPRO expanded its defense portfolio through the acquisition of Skip Dynamix's drone technology assets.

Unusual Machines (UMAC - Free Report) reported healthy first-quarter growth, with strong enterprise demand driving revenue gains, a 32.8% gross margin, expanded production capacity and a strengthened balance sheet following a $150 million equity raise. UMAC also advanced its integrated powertrain strategy through the $52 million Upgrade Energy deal and sees potential drone-delivery expansion by 2027. Per management, demand continues to exceed supply and is expected to remain strong through 2027, driven by rising defense drone procurement and emerging counter-drone programs. It is expanding production and securing raw materials to capitalize on growing demand, supported by increasing U.S. defense spending and a preference for domestic supply chains.

ONDS’ Price Performance, Valuation and EstimatesShares of ONDS have gained a whopping 799.3% in the past year against the Zacks Wireless-National industry’s decline of 13%

Image Source: Zacks Investment Research

Valuation-wise, ONDS seems overvalued, as suggested by the Value Score of F. In terms of the forward 12-month Price/Sales ratio, ONDS is trading at 12.61, considerably higher than the industry’s multiple of 1.72.

Image Source: Zacks Investment Research

For ONDS, earnings estimates for the current year have remained unchanged in the past 60 days.

Image Source: Zacks Investment Research

ONDS currently has a Zacks Rank #3 (Hold).

You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Key Takeaways ONDS won a $4.8M SOUTHCOM and SMX contract for a three-month maritime awareness mission.World View will deploy stratospheric balloon systems for persistent ISR in maritime security operations.Ondas said its ISR platform combines sensing, autonomy, AI data fusion and communications. Ondas Inc. (ONDS - Free Report) recently announced that its wholly owned subsidiary, World View Enterprises, has been selected by the U.S. Naval Forces Southern Command (SOUTHCOM), U.S. 4th Fleet and SMX to provide high-altitude balloon capabilities for an operational Maritime Domain Awareness (MDA) program. The initiative supports counter-narcotics operations and efforts to combat illegal, unreported and unregulated (IUU) fishing across SOUTHCOM’s area of responsibility.

The initial contract is valued at approximately $4.8 million over a three-month mission period, with World View set to begin immediate deployment of its high-altitude balloon systems to deliver persistent intelligence, surveillance and reconnaissance (ISR) capabilities for maritime security missions.
The program aligns with SOUTHCOM’s broader strategy to expand the use of autonomous, semi-autonomous and unmanned technologies throughout the region. By integrating advanced systems across multiple domains, SOUTHCOM aims to strengthen regional security cooperation, enhance operational effectiveness and disrupt illicit maritime activities.

Management highlighted that the selection validates the growing importance of stratospheric ISR solutions in providing persistent, wide-area awareness across complex maritime environments. Also, management stated that combining World View’s high-altitude platforms with Ondas’ autonomous systems portfolio supports the development of a layered, multi-domain intelligence architecture designed to improve decision-making and operational responsiveness.
As part of Ondas Autonomous Systems, World View extends the company’s multi-domain ISR capabilities into the stratosphere. Ondas believes the combination of persistent sensing, autonomous systems, AI-enabled data fusion and mission-critical communications creates a differentiated platform for defense, homeland security, allied government and critical infrastructure customers worldwide.

Ondas is benefiting from strong demand for its ISR and counter-UAS solutions, rising defense spending, growing investor support and expanding market opportunities. The company is seeing increased demand for its proven ISR platforms, while acquisitions such as World View, BIRD Aerosystems and Mistral have strengthened its ISR capabilities, expanded its customer reach and enhanced its multi-domain surveillance and reconnaissance offerings. The partnership with Palantir is also supporting the development of layered ISR and ISR-as-a-service opportunities.

Taking a Look at ONDS Competitors’Draganfly (DPRO - Free Report) is benefiting from growing demand for military drone solutions, defense modernization programs, and expanding opportunities with military and government customers. During the first quarter of 2026, the company secured orders from the U.S. Army, international military customers, and special operations units, while also advancing partnerships with defense organizations such as Global Ordnance and Babcock.

On the last earnings call, the company highlighted increasing demand for interoperable drone platforms capable of supporting multiple missions, including ISR, surveillance, communication and networking, targeting, logistics and autonomous operations. Draganfly also stated that strong engagement with Canadian and U.S. defense initiatives, positioning its ISR and multi-drone platform capabilities to support evolving military requirements and future procurement programs.

Red Cat Holdings, Inc. (RCAT - Free Report) is gaining from rising defense spending, accelerating demand for unmanned systems, expanding military procurement programs and growing adoption of ISR and autonomous drone technologies. On the last earnings call, the company highlighted strong demand for its Black Widow ISR drone, which is deployed in multiple operational theaters and is being evaluated across U.S. military branches, Ukraine, Japan, the Philippines and Taiwan. Red Cat also noted opportunities tied to Drone Dominance initiatives, where ISR drones such as Black Widow are used as sensor platforms to support sensor-shooter operations.

Additional growth drivers include increasing demand for unmanned surface vessels (USVs), international defense contracts, expanding production capacity, integration with platforms such as Anduril’s Lattice and advancements in swarm robotics, autonomous operations and battlefield communications.

ONDS’ Price Performance, Valuation and EstimatesShares of ONDS have surged 676% in the past year against the Zacks Wireless-National industry’s decline of 7.9%.

Image Source: Zacks Investment Research

Valuation-wise, ONDS seems overvalued, as suggested by the Value Score of F. In terms of the forward 12-month Price/Sales ratio, ONDS is trading at 12.91, considerably higher than the industry’s multiple of 1.72.

Image Source: Zacks Investment Research

The Zacks Consensus Estimate for ONDS’ earnings for the current year has been unchanged over the past 60 days.

Image Source: Zacks Investment Research

ONDS currently has a Zacks Rank #3 (Hold).

You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Key Takeaways Ondas reported a $4.3B opportunity pipeline across over 45 programs, spanning ISR, drones, UGVs and security.ONDS sees $500M annual revenue potential; it also has a $450M backlog.ONDS raised 2026 revenue outlook to at least $390M. Ondas Inc (ONDS - Free Report) is witnessing a rapidly expanding opportunity pipeline. On the first-quarter 2026 earnings call, the company disclosed an active pipeline of approximately $4.3 billion in opportunities across more than 45 global program submissions, highlighting strong demand for its autonomous defense, robotic, ISR (intelligence, surveillance, and reconnaissance), and security capabilities.

Regionally, Europe and the United States account for the largest share, with roughly $2 billion and more than $1.8 billion in opportunities, respectively. It is advancing in other markets such as Israel. Management noted that the current pipeline represents more than $500 million in potential annualized revenue opportunity.

The pipeline spans multiple operational domains, including aerial security, ISR, and unmanned ground vehicles (UGVs). The company is also targeting large-scale defense initiatives such as the LASSO program, which alone represents a potential opportunity nearing $1 billion. These efforts position Ondas to compete for complex, multi-domain programs that require integrated technology platforms.

The company has already secured positions in strategic programs with a potential value exceeding $1.6 billion. Ondas has also accumulated a backlog exceeding $450 million following the acquisitions of World View and Mistral. Management increased 2026 revenue guidance to at least $390 million.

While execution remains key, the scale and diversification of Ondas’ $4.3 billion pipeline suggest it may have secured multi-year growth in the fast-growing autonomous defense market. However, the autonomous space is witnessing increasing competition as both established players and new players double down on capturing the market share.  

Mapping the Competitive TerrainDraganfly (DPRO - Free Report) is a Canada-based drone solutions and systems developer. The company does not explicitly mention backlog and pipeline metrics. Increasing presence in the military vertical is a major tailwind. At the beginning of the first quarter, DPRO secured orders for FPV drones from the U.S. Army and for Commander 3 XLs from international military customers. It was recently selected by the Department of War, along with F4 Defense International, to develop a multi-layered, modular and rapidly deployable counter-UAS (C-UAS) system.

Draganfly is also building strong strategic partnerships. The alliance with Prime Global Ordnance positions the company as a supplier in the growing military drone and munition ecosystem supporting Ukraine. Meanwhile, the partnership with Babcock strengthens access to Indo-Pacific defense markets. Management is of the idea that future military operations will require fleets of interoperable drones rather than isolated single-use platforms. Draganfly cites that its core advantage lies in the interoperability and modularity.

Red Cat Holdings (RCAT - Free Report) also does not break out a backlog metric but has emphasized a “large opportunity pipeline for 2026” around its Black Widow platform on the last earnings call. This pipeline spans multiple customers, including the U.S. Army (with a pending LRIP contract), Marines, Air Force, Philippines, Ukraine, Japan and Taiwan. The opportunity pipeline for the Teal Black Widows is nearly $700 million, added Red Cat. The company has the capacity and inventory to support up to $220 million worth of Black Widows, reinforcing readiness to convert pipeline into revenues.

Red Cat delivered $15.5 million in revenues in the first quarter, marking an 849% year-over-year increase. The company expects $150 million to $180 million in annual revenues in the near to medium term. The gross margins expected to approach 30% over time.

ONDS’ Price Performance, Valuation and EstimatesShares of ONDS have gained a whopping 25.5% in the past six months against the Zacks Wireless-National industry’s decline of 1.8%

Image Source: Zacks Investment Research

In terms of the forward 12-month Price/Sales ratio, ONDS is trading at 11.02, considerably higher than the industry’s multiple of 1.66.

Image Source: Zacks Investment Research

For ONDS, earnings estimates for the current year have remained unchanged in the past 60 days.

Image Source: Zacks Investment Research

ONDS currently has a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

BBAI stock is moving. See the chart and price action here. BigBear.Ai is the most established of the group, with a contract backlog that grew 14% quarter-over-quarter to $281.9 million in Q1 2026, including a $53 million classified sole-source military award.

The company reorganized specifically to lean into defense, security, and government — a strategic bet that the Pentagon’s AI modernization budget isn’t slowing down. 

BigBear.Ai hauled in roughly $75 million in new Q1 national security and trade and travel contract wins and is guiding to approximately 17% revenue growth for 2026. 

According to Benzinga Pro, the stock has a market cap of $1.43 billion — fairly modest relative to the backlog.  

Palladyne AI – PDYN Palladyne AI on Monday announced a strategic partnership with Israel Aerospace Industries to manufacture, integrate, and market IAI’s HARPY, HAROP, and Mini HARPY loitering munition systems to the U.S. Department of War. 

PDYN shares are trading at $6.46 with a market cap of $251 million, meaning the market hasn’t fully priced in what could be a transformative contract vehicle. 

Palladyne AI posted 107% year-over-year Q1 revenue growth to $3.5 million and reaffirmed full-year 2026 guidance of $24 million to $27 million. The company appointed two retired generals to its Defense Advisory Board last week and presented at the Jefferies 2026 Defense Tech Summit. 

The autonomous swarming demonstrations via its IntelliSwarm and SwarmOS platforms are exactly the kind of capability the Department of War has been writing large checks for.

Ondas – ONDS Ondas is the growth story of the three, raising its full-year 2026 revenue target to at least $390 million after Q1 revenue surged more than 10-fold year-over-year to $50.1 million. 

The company is building a multi-domain autonomous defense platform — drones, ground robotics, AI-at-the-edge — and secured an $80 million-plus cluster of active demining programs and a $68 million military engineering order in recent months. 

None of these stocks are risk-free bets — each carries execution risk, unprofitable balance sheets and sensitivity to government budget cycles. 

But in a market where every AI narrative runs through the cloud, the defense angle offers something different: signed contracts, growing backlogs and a spending tailwind that transcends the AI hype cycle.

Photo: Shutterstock

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