Ondas has announced a strategic partnership with Palantir to integrate its Foundry product into Ondas’ autonomous drone platforms / Photo: LinkedIn / Ondas
Shares of Ondas Holdings Inc., a mid-cap developer of autonomous drones and a partner of software maker Palantir Technologies, gained more than 5% in premarket trading on Wednesday. The move comes after investment bank Needham raised its target price for the stock by roughly a third. Less than a year ago, Ondas shares were trading below $1 and faced potential delisting; since then, the stock has surged following a shift in the company’s strategy. Over the last 12 months, Ondas shares have jumped 1,215%. The stock has attracted investor attention amid the conflict in the Middle East, Barron’s writes.
Details
Ondas shares rose more than 5% in early trading on Wednesday to $11.23 per share before paring gains. The stock advanced after Needham raised its target price by 35% to $23 per share. The new target implies 115% upside.
Context
Needham raised its target a day after Ondas reported record financial results for 2025 and provided guidance for 2026. The company’s revenue grew 605% to $50.7 million in 2025, it said on Monday. The growth was driven by its autonomous systems segment and acquisitions, Ondas said.
In July 2025, the company announced a new strategy, with a key focus on M&A. Since then and through the end of 2025, the drone developer has acquired at least 10 companies and invested in the equity of eight others, according to its earnings release.
“2025 was a defining year for Ondas as we transitioned from a portfolio of advanced technologies into a scaled operating platform that has delivered substantial shareholder value over the last year and is positioned to continue to do so,” the company quoted CEO Eric Brock as saying.
Through M&A deals, the company has become a differentiated player offering customers autonomous drones, counter-UAS solutions, as well as AI-enabled command and control systems, he said.
The expansion of Ondas’ portfolio has led to an increase in orders, providing visibility into further revenue growth, Brock continued. This year, the company has already raised its 2026 revenue outlook twice: in January, by 25% to $170-180 million, and in March – by more than double to at least $375 million. This implies nearly sevenfold growth versus 2025, the company noted.
Brock also sees opportunities for the company in the gro wing markets of defense, homeland security, public safety, and critical infrastructure. The company’s partnership with Palantir, signed last year, is expected to support its prospects in these markets. Its goal is the “integration of layered ISR and strike capabilities, enabling unified, AI-driven operational environments for both commercial and military customers,” Ondas said.
Stock performance
Over the last 12 months, Ondas shares have surged 1,215%. Most of the gains came in the last six months after the company announced its new strategy – as recently as May 2025, the stock was trading below $1 and faced potential delisting.
Wall Street is upbeat on the drone developer’s outlook: the stock has nine “buy” ratings from analysts and just one “hold.”
Barron’s describes Ondas shares as popular among retail traders: they have entered the top 20 most tracked stocks by the r/WallStreetBets investor group on Reddit. Investor interest in the company has risen amid the conflict in the Middle East, the publication says.
In early March, analysts at Oppenheimer named Ondas as one of three companies whose technologies could help the U.S. and its allies defend against drone attacks in the Middle East. The company is one of the few pure-play providers of infrastructure for autonomous drones, and its Iron Drone interceptor can disable several categories of small unmanned aircraft, they said.
The average target price among Wall Street analysts stands at $18.90 per share, implying 77% upside.
