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One NASDAQ-Listed Communications Equipment Company at Resistance Level: ONDS

Dec 10, 2025 | Team Kalkine
One NASDAQ-Listed Communications Equipment Company at Resistance Level: ONDS
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  • ONDS:NASDAQ
  • Investment Type
    Mid - Cap
  • Risk Level
  • Action
  • Rec. Price (US$)

Ondas Holdings Inc.

Ondas Holdings Inc. (NASDAQ: ONDS) provides private wireless communications, drone technology, and automated data solutions through its subsidiaries, including Ondas Networks Inc., Ondas Autonomous Systems Inc., Airobotics Ltd., and American Robotics Inc. The business is structured around two main operating units: the Ondas Networks division and the OAS division.

As per US Dailies Report published on ‘ONDS’ on Dec 03, 2025, Kalkine provided a ‘Speculative Buystance on the stock at USD 7.51 based on fundamental as well as technical analysis and the stock price has now moved up by 22.90%.

Noted below are the details of technical summary provided in our previous report:

ONDS’s Daily Chart

Ondas’ rapid expansion still comes with notable financial pressure. Despite record revenue, the company remains loss-making, with operating loss widening to USD 15.5 million in Q3FY25 due to a sharp rise in operating expenses, including significant non-cash stock-based compensation and higher payroll tied to acquisitions and scaling. Adjusted EBITDA loss also increased, indicating limited operating leverage so far. Cash burn in operations continues, and profitability remains dependent on future revenue growth materializing as planned. In addition, reliance on acquisitions and integration of multiple newly purchased businesses introduces execution and integration risks, while Ondas Networks’ growth remains modest amid delayed rail deployment timelines, creating uncertainty around near-term returns from that segment.

Ondas’ recent share price appreciation has been largely driven by a steady stream of positive announcements; including new European orders, large counter-UAS deployments, strategic acquisitions (Sentrycs, Roboteam), and multi-million-dollar investments in defense robotics and Ukrainian drone technologies. These updates have created strong market excitement around future growth and positioned the company as an emerging defense technology consolidator, which has understandably fueled a short-term rally. However, the stock now appears to be reflecting much of this optimism upfront, while the financial benefits from these deals remain long-dated, execution-heavy and capital-intensive. Moreover, many recent wins are tied to long-cycle government programs, where contract visibility and revenue conversion depend on phased approvals and geopolitical factors, adding uncertainty. In summary, despite strong narrative momentum, the company’s heavy acquisition spending, ongoing operating losses, dependence on equity capital, and long-dated monetization profile create a risk-reward skew that could justify exiting the stock at current levels.

Given the company’s continued losses, heavy reliance on equity capital, and integration risks across multiple newly acquired businesses, the recent price spike could represent an opportunity to take profits before earnings catch up to expectations. Accordingly, a ‘Sell’ rating is assigned to the ’ONDS’ at the closing market price of USD 9.23 as of Dec 09,2025.  

Note: This report may be updated with details around fundamental and technical analysis, price chart in due course, as appropriate.

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 Dec 09, 2025. 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.


Disclaimer-

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Past performance is not a reliable indicator of future performance.