Ondas Inc.

Ondas Inc. (NASDAQ: ONDS) previously known as Ondas Holdings Inc., delivers autonomous systems and private wireless solutions through its operating units—Ondas Autonomous Systems (OAS), Ondas Capital, and Ondas Networks. The company’s technologies integrate aerial intelligence with advanced connectivity to improve security, optimize operations, and enable data-driven decision-making across critical industries.

Key Growth Aspects

• Record Revenue Growth and Operating Momentum: Ondas Holdings Inc. delivered a record performance in the third quarter of 2025, reflecting accelerating execution across its core businesses. The Company reported consolidated revenue of USD 10.1 million, representing a year-on-year increase of over 580%, driven primarily by strong demand for autonomous systems within the Ondas Autonomous Systems (OAS) segment. Revenue growth was supported by ongoing deliveries of the Iron Drone Raider and Optimus platforms, as well as contributions from recent acquisitions, underscoring the Company’s ability to convert a growing pipeline into realized sales.
• Expansion of Gross Profit and Margin Profile: The significant increase in revenue translated into a meaningful improvement in gross profitability. Gross profit rose to USD 2.6 million in Q3 2025 compared with a nominal level in the prior-year period, resulting in a gross margin of approximately 26%. This expansion reflected improved absorption of fixed operating costs as volumes scaled, although management noted that margins may fluctuate in the near term depending on product mix and the timing of system deliveries.
• Investment in Operating Scale and Strategic Capabilities: Operating expenses increased during the quarter as the Company continued to invest ahead of anticipated growth. Total operating expenses rose to USD 18.1 million, reflecting higher personnel costs to strengthen leadership and technical teams within OAS, alongside increased legal and professional expenses associated with an active acquisition and strategic investment program. A portion of the increase was attributable to non-cash stock-based compensation, while cash operating expenses were aligned with the Company’s objective of building scalable infrastructure.
• Strengthening of Balance Sheet and Capital Position: Ondas significantly enhanced its financial flexibility during 2025 through multiple equity raises and warrant exercises. As of September 30, 2025, the Company held USD 433.4 million in cash, cash equivalents, and restricted cash, with pro forma liquidity exceeding USD 840 million following an October equity offering. The conversion of holding-company convertible debt into equity materially reduced leverage and increased shareholders’ equity to USD 487.2 million, positioning the Company with one of the strongest balance sheets in its peer group.
• Operational Progress at Ondas Autonomous Systems: Operational execution at OAS remained a key driver of performance. OAS generated approximately USD 10.0 million in quarterly revenue and ended Q3 2025 with a backlog of USD 22.2 million, reflecting sustained global demand for its autonomous aerial and ground platforms. The segment successfully completed multiple government-led counter-UAS pilot programs in Europe and Asia, secured new defense orders, and expanded its multi-domain capabilities through acquisitions including Apeiro Motion, Sentrycs, and 4M Defense, reinforcing its “systems of systems” strategy.
• Advancements within Ondas Networks: Ondas Networks continued to progress its long-term growth initiatives despite a more gradual revenue ramp. During the quarter, the IEEE 802.16t (“dot16”) standard was formally designated by the Association of American Railroads as the upgrade path for legacy 160 MHz networks, complementing prior adoption across other frequency bands. Multiple Class I railroads initiated engagement for proof-of-concept deployments, strengthening the platform’s strategic positioning ahead of broader commercialization cycles expected in subsequent periods.
• Forward Outlook and Strategic Growth Trajectory: Looking ahead, Ondas increased its full-year 2025 revenue outlook to at least USD 36 million and established a preliminary revenue target of at least USD 110 million for 2026. This outlook is supported by a growing consolidated backlog, continued maturation of the OAS pipeline, and the integration of newly acquired businesses. With substantial liquidity, expanding global demand for autonomous defense and security solutions, and a disciplined strategic growth program, the Company is positioning itself for sustained revenue expansion and improving operating leverage over the medium term.

Technical Observation (on the daily chart):

ONDAS Holdings remains in a strong uptrend, trading well above its rising 50-day and 200-day moving averages, which confirms sustained bullish momentum. The stock has recently consolidated after a sharp rally toward the 15.3 level, with near-term support around 13 and stronger support near the 50-day average around 9. Momentum indicators remain constructive, with the RSI near 61, suggesting positive strength without overbought conditions.

Ondas Holdings delivered a strong third-quarter performance, reflecting effective execution across both financial and operational priorities. Record revenue growth, supported by rising demand for autonomous and unmanned systems, was complemented by a meaningful expansion in gross profitability and a rapidly growing backlog. The Company further strengthened its strategic position through targeted acquisitions that broadened its multi-domain capabilities, while maintaining a robust capital base following significant equity raises and debt conversions. Collectively, these factors enhance revenue visibility, support continued operating scale-up, and position Ondas to capitalise on accelerating global demand across defense, security, and critical infrastructure markets.

As per the above-mentioned price action, recent key business and financial updates, momentum in the stock over the last month, and technical indicators analysis, a ‘Buy’ rating has been given to Ondas Inc. (NASDAQ: ONDS) at the closing market price of USD 13.13 as of Jan 20,2026. 

Individuals can evaluate the stock based on the support and resistance levels provided in the report in case of keen interest taking into consideration the risk-reward scenario. 

Markets are trading in a highly volatile zone currently due to certain macro-economic issues and prevailing geopolitical tensions. Therefore, it is prudent to follow a cautious approach while investing.

Related Risk: This report may be looked at from a high-risk perspective and a recommendation is provided for a short duration. This report is solely based on technical parameters, and the fundamental performance of the stocks has not been considered in the decision-making process. Other factors which could impact the stock prices include market risks, regulatory risks, interest rates risks, currency risks, social and political instability risks etc. 

Note 1: Past performance is not a reliable indicator of future performance.

Note 2: The reference date for all price data, currency, technical indicators, support, and resistance level is January 05,2026. The reference data in this report has been partly sourced from REFINITIV.

Note 3: Investment decisions should be made depending on an individual's appetite for upside potential, risks, holding duration, and any previous holdings. An 'Exit' from the stock can be considered if the Target Price mentioned as per the Valuation and or the technical levels provided has been achieved and is subject to the factors discussed above.

Note 4: Target Price refers to a price level that the stock is expected to reach as per the relative valuation method and or technical analysis taking into consideration both short-term and long-term scenarios.

Note 5: ‘Kalkine reports are prepared based on the stock prices captured either from the New York Stock Exchange (NYSE), NASDAQ Capital Markets (NASDAQ), and or REFINITIV. Typically, all sources (NYSE, NASDAQ, or REFINITIV) may reflect stock prices with a delay which could be a lag of 15-20 minutes. There can be no assurance that future results or events will be consistent with the information provided in the report. The information is subject to change without any prior notice.