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Ondas secures initial order for counter-drone system

EditorNatashya Angelica
Published 06/05/2024, 20:26
ONDS
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MARLBOROUGH, MA - Ondas Holdings Inc. (NASDAQ:ONDS), a provider of private wireless networks and commercial drone solutions, announced an initial purchase order for its Iron-Drone Raider System from an Israeli defense company. The system, designed to neutralize hostile drones, is expected to garner further orders following its integration.

The Iron-Drone Raider System, enhanced to meet military requirements, uses on-board AI to identify and intercept threats autonomously. It is part of the company's Autonomous Systems business unit's offerings, which also include the Optimus System™, the first FAA-certified small UAS for security and data capture.

Eric Brock, Ondas' CEO, stated that this order signifies a major step in commercializing their counter-unmanned aircraft system (C-UAS) platform. He emphasized the system's capabilities in protecting borders and infrastructure without collateral damage and its potential global impact.

The system's development was supported by a grant from the Israel Innovation Authority in August 2023, following the acquisition of Iron Drone Ltd's assets by Ondas' Airobotics in early 2023.

Ondas anticipates the growing threat from small autonomous drones will increase demand for the Raider platform, which can be integrated with various drone detection systems. The system is designed to be swift and reusable, with a highly automated docking station capable of handling multiple targets simultaneously.

Ondas Holdings operates through its subsidiaries, including Ondas Networks, American Robotics, and Airobotics, to provide data solutions for critical applications in industries such as oil & gas, rail, mining, and public safety.

This announcement is based on a press release statement and does not constitute an endorsement of Ondas Holdings Inc. or its products. The company's future performance and actual results could differ materially from those discussed in forward-looking statements due to various risks and uncertainties.

InvestingPro Insights

Ondas Holdings Inc. (NASDAQ:ONDS) has recently made headlines with its initial purchase order for the Iron-Drone Raider System, highlighting the company's innovative approach to counter-unmanned aircraft systems. As investors evaluate Ondas' market position and future prospects, several key metrics and InvestingPro Tips provide a deeper understanding of the company's financial health and stock performance.

The company's market capitalization stands at a modest $52.63 million, reflecting its status as a smaller player in the defense and communications sector. Despite this, Ondas has experienced a staggering revenue growth of 638.14% over the last twelve months as of Q1 2023, indicating a significant increase in its business activities and potential for further expansion. This growth is further underscored by a quarterly revenue increase of 935.95% in Q1 2023, showcasing the company's rapid development in a short period.

Still, it is important to note that Ondas is currently not profitable, with a negative P/E ratio of -0.90. This suggests that investors are anticipating future earnings to justify the current stock price. The InvestingPro Tips highlight that analysts do not expect the company to be profitable this year and raise concerns about its cash burn rate. Moreover, the stock has experienced considerable volatility and a significant price decline over the last three months, with a 34.74% drop in its total return.

For those considering an investment in Ondas Holdings, it is crucial to weigh the potential for sales growth against the current lack of profitability and cash flow concerns. There are 11 additional InvestingPro Tips available for ONDS at InvestingPro, which could provide further insights into the company's financial outlook and stock performance. Interested investors can also take advantage of a special offer using the coupon code PRONEWS24 to receive an additional 10% off a yearly or biyearly Pro and Pro+ subscription.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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