Ondas (NASDAQ:ONDS) Announces Earnings Results

Ondas (NASDAQ:ONDS) issued its quarterly earnings data on Thursday. The company reported ($0.10) earnings per share for the quarter, beating analysts’ consensus estimates of ($0.13) by $0.03, FiscalAI reports. Ondas had a negative return on equity of 14.20% and a net margin of 93.55%. The firm had revenue of $167.49 million during the quarter, compared to analyst estimates of $148.04 million.

Here are the key takeaways from Ondas’ conference call:

• Ondas reported record Q3 revenue of $167.5 million, up more than 16 times year over year, with pro forma organic growth of 64% and backlog of about $835 million. Management targets at least $550 million in 2026 revenue and at least $1.1 billion in 2027, while expecting Q4 revenue above $250 million.
• Management highlighted ULTRA and IonStrike as potential major growth drivers, citing demand signals for ULTRA and a response to a $45 million sole-source RFP for IonStrike. These opportunities remain dependent on customer awards, deployment, and production scaling; the company’s longer-term revenue estimates are management’s projections.
• Profitability remains a near-term challenge: Q3 adjusted EBITDA loss widened to $59.7 million, and adjusted gross margin was 34.8%, pressured by lower-margin program mix and production ramp inefficiencies. Management expects mid-30% gross margins in Q4, though it anticipates improvement in 2027 and now targets company-wide adjusted EBITDA break-even in Q3 2027.
• The company ended the quarter with about $820 million in cash, cash equivalents, restricted cash, and short-term investments after deploying roughly $431 million for acquisitions. It plans further investment in inventory and production capacity, expects growth spending to moderate, and said future acquisitions will be approached more deliberately; Regna AI’s financial outlook is not included in guidance and outside funding discussions remain ongoing.

Ondas Trading Down 7.2%

Ondas stock traded down $0.41 during midday trading on Thursday, hitting $5.32. The stock had a trading volume of 73,323,911 shares, compared to its average volume of 77,084,961. The stock has a market cap of $3.10 billion, a P/E ratio of -76.00 and a beta of 3.10. Ondas has a 12 month low of $4.38 and a 12 month high of $15.28. The business has a fifty day moving average price of $6.77 and a 200 day moving average price of $8.78.

Insider Activity at Ondas

In other Ondas news, CFO Neil Laird sold 4,952 shares of the stock in a transaction that occurred on Thursday, September 24th. The stock was sold at an average price of $7.74, for a total transaction of $38,328.48. Following the transaction, the chief financial officer owned 42,246 shares of the company’s stock, valued at $326,984.04. This trade represents a 10.49% decrease in their position. The transaction was disclosed in a filing with the SEC, which is available at the SEC website. Also, Director Richard Cohen sold 7,500 shares of Ondas stock in a transaction that occurred on Tuesday, August 18th. The stock was sold at an average price of $8.96, for a total value of $67,200.00. Following the completion of the transaction, the director owned 261,836 shares of the company’s stock, valued at approximately $2,346,050.56. The trade was a 2.78% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Corporate insiders own 1.67% of the company’s stock.

Key Stories Impacting Ondas

Investors following ONDS have been watching these stories:

• Positive Sentiment: Q3 revenue reached a record $167.5 million, up about 1,559% year over year and ahead of analyst estimates cited by MarketBeat and Zacks. Ondas Q3 2026: Revenue Surges 1,559% With $835M Backlog
• Positive Sentiment: The company raised its 2026 revenue guidance to $550 million, above the cited consensus of $536.5 million. It also indicated it expects to reach break-even sooner than previously forecast. Drone Maker Ondas Updates Its Profitability Forecast as Revenue Surges
• Negative Sentiment: The quarterly loss widened year over year, and reports highlighted shrinking margins. EPS estimates differed by source: MarketBeat said the loss beat its estimate, while Zacks reported a loss of $0.11 per share versus its $0.09 expected loss. Those profitability concerns may be weighing against the revenue and guidance gains. Ondas shares fall as loss deepens, margins shrink

Analysts Set New Price Targets

A number of equities analysts have issued reports on the company. Roth Capital reaffirmed a “buy” rating on shares of Ondas in a research report on Tuesday, August 18th. Citigroup reissued a “market outperform” rating on shares of Ondas in a research report on Monday, October 19th. Weiss Ratings restated a “sell (d+)” rating on shares of Ondas in a research note on Monday, November 2nd. Ladenburg Thalmann & Co. Inc. lifted their price target on shares of Ondas from $21.50 to $22.75 and gave the stock a “buy” rating in a research note on Monday, August 17th. Finally, The Goldman Sachs Group raised shares of Ondas to a “buy” rating in a report on Monday, November 2nd. Eleven research analysts have rated the stock with a Buy rating, one has assigned a Hold rating and one has assigned a Sell rating to the company. According to data from MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and a consensus price target of $16.89.

About Ondas

Ondas Holdings is a technology company that develops private wireless networks and autonomous systems for industrial, government and security applications. Its businesses include Ondas Networks and Ondas Autonomous Systems. Ondas Networks provides private broadband wireless solutions for mission-critical communications. Its FullMAX platform is designed to support applications such as rail communications and industrial data networks. Ondas Autonomous Systems develops autonomous drone and counter-drone technologies, including systems for infrastructure inspection, security and public safety.