Ondas (NASDAQ:ONDS) Stock Jumps 2.5% – Time to Buy?

Ondas Holdings Inc. (NASDAQ:ONDS)’s stock price was up 2.5% on Monday. The company traded as high as $7.69 and last traded at $7.42. 35,623,200 shares changed hands during trading, a decline of 56% from the average daily volume of 81,159,523 shares. The stock had previously closed at $7.24.

Ondas News Summary

Here are the key news stories impacting Ondas this week:

• Positive Sentiment: Ondas announced a $56 million order for Electronic Safe & Arm Devices (ESADs) supporting a European loitering-munition program. The order expands the company’s participation in the growing precision-weapons market and is its first ESAD order since acquiring GATE Technologies and Bron Technologies. Production will be supported by Ondas’ operations in Poland. Ondas Receives $56 Million Order in Precision Strike Business
• Positive Sentiment: Citizens JMP initiated coverage of ONDS with a “Market Outperform” rating and a $14 price target, implying substantial upside from the referenced $7.42 share price. The bullish view identifies Ondas as a dynamic participant in drones, autonomous systems and defense technology. Citizens Initiates Coverage of Ondas at Market Outperform
• Positive Sentiment: Market coverage highlighted the combination of the defense contract and Citizens’ bullish note as the main catalysts behind the stock’s rise, with some reports describing nearly two times potential upside to the analyst target. Ondas Stock Buzzing After New Contract, Bull Note
• Neutral Sentiment: Ondas has attracted attention as a potential short-squeeze candidate because of heavy short interest, but that setup can produce sharp gains or losses and does not change the company’s underlying fundamentals. Short-Squeeze Candidates Article
• Negative Sentiment: Investors should note that Ondas remains unprofitable, recently reported a quarterly EPS miss, and is expected to post a loss for the full year. Its high beta and substantial short interest also indicate elevated risk despite the new contract and analyst support.

Analyst Ratings Changes

ONDS has been the topic of several research reports. Weiss Ratings cut Ondas from a “hold (c-)” rating to a “sell (d+)” rating in a report on Tuesday, August 4th. Needham & Company LLC reissued a “buy” rating and set a $19.00 price objective on shares of Ondas in a research note on Monday, September 14th. Citizens Jmp assumed coverage on Ondas in a report on Monday. They issued a “market outperform” rating and a $14.00 target price on the stock. Citigroup assumed coverage on Ondas in a research report on Monday. They set a “market outperform” rating on the stock. Finally, LADENBURG THALM/SH SH upped their target price on Ondas from $21.50 to $22.75 and gave the company a “buy” rating in a report on Monday, August 17th. Ten investment analysts have rated the stock with a Buy rating, one has assigned a Hold rating and one has given a Sell rating to the company’s stock. Based on data from MarketBeat, the company presently has a consensus rating of “Moderate Buy” and an average target price of $16.89.

Ondas Stock Up 2.5%

The firm’s 50-day moving average price is $7.99 and its two-hundred day moving average price is $8.89. The firm has a market capitalization of $4.32 billion, a PE ratio of -106.00 and a beta of 2.92.

Ondas (NASDAQ:ONDS) last issued its quarterly earnings results on Thursday, August 13th. The company reported ($0.19) EPS for the quarter, missing the consensus estimate of ($0.09) by ($0.10). Ondas had a net margin of 93.55% and a negative return on equity of 14.20%. The firm had revenue of $83.77 million during the quarter, compared to analysts’ expectations of $67.97 million. Equities research analysts forecast that Ondas Holdings Inc. will post -0.47 EPS for the current year.

Insider Buying and Selling at Ondas

In other Ondas news, Director Richard Cohen sold 7,500 shares of the business’s stock in a transaction on Tuesday, August 18th. The shares were sold at an average price of $8.96, for a total transaction of $67,200.00. Following the sale, the director directly owned 261,836 shares of the company’s stock, valued at $2,346,050.56. The trade was a 2.78% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO Neil Laird sold 4,952 shares of the stock in a transaction on Thursday, September 24th. The shares were sold at an average price of $7.74, for a total value of $38,328.48. Following the completion of the sale, the chief financial officer owned 42,246 shares of the company’s stock, valued at $326,984.04. The trade was a 10.49% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. 1.67% of the stock is owned by insiders.

Institutional Investors Weigh In On Ondas

Institutional investors have recently bought and sold shares of the business. Caitong International Asset Management Co. Ltd boosted its position in Ondas by 9,274.9% during the 4th quarter. Caitong International Asset Management Co. Ltd now owns 3,466,373 shares of the company’s stock worth $33,832,000 after acquiring an additional 3,429,398 shares during the period. RFG Advisory LLC increased its holdings in shares of Ondas by 57.0% in the 2nd quarter. RFG Advisory LLC now owns 2,787,202 shares of the company’s stock valued at $22,967,000 after purchasing an additional 1,012,353 shares during the period. Bank of New York Mellon Corp purchased a new stake in shares of Ondas in the second quarter worth approximately $13,158,000. Bank of America Corp DE lifted its position in shares of Ondas by 1,443.9% in the first quarter. Bank of America Corp DE now owns 1,404,812 shares of the company’s stock worth $12,700,000 after purchasing an additional 1,313,823 shares in the last quarter. Finally, Kranot Hishtalmut Le Morim Tichoniim Havera Menahelet LTD boosted its holdings in shares of Ondas by 63.0% during the second quarter. Kranot Hishtalmut Le Morim Tichoniim Havera Menahelet LTD now owns 1,016,941 shares of the company’s stock worth $8,380,000 after purchasing an additional 393,133 shares during the period. 37.73% of the stock is currently owned by institutional investors and hedge funds.

About Ondas

Ondas Holdings Inc (NASDAQ: ONDS) develops autonomous drone systems and private wireless networking solutions for industrial, government and critical-infrastructure applications. Its technologies are designed to support remote monitoring, inspection, security, public safety and other operations that require persistent data collection and reliable communications.

Through its subsidiaries, including American Robotics and Ondas Networks, the company offers autonomous drone platforms, command-and-control software, aerial intelligence solutions and industrial-grade wireless networks.