Ondas Holdings (ONDS) AI Stock Analysis

• Market Cap: $134.60M
• Dividend Yield: N/A
• Average Volume (3M): 6.34M
• Price to Earnings (P/E): ―
• Beta (1Y): 1.79
• Revenue Growth: -21.17%
• EPS Growth: 23.22%
• Country: US
• Employees: 113
• Sector: Technology
• Sector Strength: 77
• Industry: Communication Equipment
• EPS (TTM): -0.15
• Shares Outstanding: 137,426,540
• 10 Day Avg. Volume: 6,090,510
• 30 Day Avg. Volume: 6,336,224
• PEG Ratio: -1.37
• Price to Book (P/B): 3.74
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -3.94
• Enterprise Value/Market Cap: 1.05
• Enterprise Value/Revenue: 4.00
• Enterprise Value/Gross Profit: 63.32
• Enterprise Value/Ebitda: -1.17
• 1Y Price Target: $2.67
• Price Target Upside: 172.45% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 3

Ondas Holdings presents a mixed outlook. While there are promising growth opportunities highlighted by significant revenue growth and strategic partnerships, financial struggles and a potential Nasdaq delisting weigh heavily on the stock. Persistent operating losses, cash flow challenges, and valuation issues further complicate the picture, leading to a moderate overall score.

Positive Factors

Geopolitical Impact

Increasing NATO member military spending amid geopolitical conflicts is a positive for ONDS's proven Iron Drone.

Revenue Growth

Management reiterated a 2025 revenue target of at least $25M, up 248%, driven almost entirely by Ondas Autonomous Systems – the drone business.

Strategic Partnerships

ONDS announced a partnership with Palantir that aims to use its AI software for operations optimization and eventual expansion of platform capabilities.

Negative Factors

Debt and Equity

Weakness in shares from year-to-date created greater dilution from debt conversions than previously modeled.

Revenue Expectations

Management introduced a 2025 revenue target of $25M, below consensus of $33.4M.

Ondas Holdings Business Overview & Revenue Model

Company Description

Ondas Holdings Inc. is a leading provider in the development and commercialization of private wireless data communication systems. The company operates primarily in the technology and communications sectors, focusing on the development of its FullMAX platform, which is designed to enable mission-critical, industrial-grade wireless connectivity. Ondas serves various industries, including transportation, energy, and public safety, offering solutions that enhance communication reliability and efficiency.

How the Company Makes Money

Ondas Holdings makes money by providing its FullMAX wireless communication platform to industrial and government clients. The company's revenue is generated through the sale of network equipment, software licenses, and associated maintenance and support services. Ondas also engages in strategic partnerships and collaborations with key industry players to expand its market reach and enhance its product offerings. Additionally, the company may derive income from custom development projects and consulting services tailored to specific client needs.

Ondas Holdings Financial Statement Overview

Summary

Ondas Holdings is navigating a challenging financial landscape with persistent losses and cash flow constraints. While there are signs of revenue growth, significant profitability and leverage issues remain. The company's ability to secure financing offers some stability, but long-term sustainability will depend on improving operational efficiency and generating positive cash flows.

Income Statement

Ondas Holdings shows a modest revenue growth in the TTM period compared to the previous year, indicating some positive trajectory. However, the company struggles with negative profit margins, highlighted by a negative gross profit margin and significant net losses. The EBIT and EBITDA margins are also negative, underscoring operational inefficiencies and profitability challenges.

Balance Sheet

The company maintains a reasonable equity ratio, reflecting a balance between assets and equity. However, the debt-to-equity ratio is concerning due to the high level of debt relative to equity, which could pose risks if revenue growth does not materialize. Return on Equity (ROE) is negative, further indicating profitability issues.

Cash Flow

Ondas Holdings experiences negative free cash flow, although there is a slight improvement in free cash flow growth in the TTM period. The operating cash flow to net income ratio remains negative, reflecting cash flow challenges. However, the company demonstrates an ability to secure financing, which provides some liquidity cushion.

Breakdown
TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
10.82M	7.19M	15.69M	2.13M	2.91M	2.16M
	Gross Profit
2.23M	345.18K	6.38M	1.11M	1.10M	927.67K
	EBIT
-31.60M	-34.61M	-39.73M	-50.01M	-17.97M	-11.52M
	EBITDA
-28.59M	-28.72M	-34.64M	-64.63M	-15.55M	-11.14M
	Net Income Common Stockholders
-43.48M	-38.01M	-44.84M	-92.66M	-15.02M	-15.43M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
25.36M	29.96M	14.98M	29.78M	40.82M	26.06M
	Total Assets
104.60M	109.62M	92.16M	97.95M	117.44M	28.51M
	Total Debt
42.35M	60.31M	35.29M	33.39M	1.09M	8.03M
	Net Debt
16.98M	30.35M	20.31M	3.61M	-39.72M	-18.03M
	Total Liabilities
7.53M	71.51M	47.11M	39.72M	5.21M	13.43M
	Stockholders Equity
26.08M	16.58M	33.14M	58.22M	112.23M	15.08M
Cash Flow		Free Cash Flow
-31.53M	-35.20M	-34.30M	-40.89M	-17.92M	-7.57M
	Operating Cash Flow
-32.67M	-33.47M	-34.02M	-37.96M	-16.90M	-7.53M
	Investing Cash Flow
-714.28K	-1.73M	536.27K	-6.93M	-10.21M	-16.14K
	Financing Cash Flow
44.21M	50.18M	18.73M	33.86M	41.86M	31.46M

Ondas Holdings Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.98
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ONDS, the sentiment is Positive. The current price of 0.98 is above the 20-day moving average (MA) of 0.82, above the 50-day MA of 0.84, and below the 200-day MA of 1.09, indicating a neutral trend. The MACD of 0.02 indicates Negative momentum. The RSI at 57.34 is Neutral, neither overbought nor oversold. The STOCH value of 84.43 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for ONDS.

Ondas Holdings Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	60 Neutral	$11.58B	10.33	-7.23%	2.94%	7.47%	-10.84%
LTRX	56 Neutral	$89.84M	―	-10.88%	―	-2.06%	-22.58%
ONDS	54 Neutral	$134.60M	―	-157.00%	―	-21.17%	23.22%
KVHI	54 Neutral	$101.72M	―	-6.78%	―	-14.38%	49.11%
AIRG	51 Neutral	$48.59M	―	-25.57%	―	8.46%	39.81%
INSG	47 Neutral	$134.92M	26.61	111.75%	―	1.60%	―

Ondas Holdings Corporate Events

Ondas Holdings Faces Nasdaq Delisting Notice

Ondas Holdings Inc. has received a notification from Nasdaq due to its common stock price falling below the $1.00 per share minimum requirement for 30 consecutive business days. The company has until November 12, 2025, to regain compliance, with options such as a reverse stock split being considered to resolve the deficiency. Failure to comply may result in delisting, though an additional compliance period may be available.

The most recent analyst rating on (ONDS) stock is a Buy with a $1.50 price target. To see the full list of analyst forecasts on Ondas Holdings stock, see the ONDS Stock Forecast page.

Spark’s Take on ONDS Stock

According to Spark, TipRanks’ AI Analyst, ONDS is a Neutral.

Ondas Holdings’ stock score is primarily impacted by its financial struggles, including declining revenues and high leverage, which contribute to a low financial performance score. However, the earnings call provides a positive outlook with strong revenue growth and strategic initiatives, offering some optimism. Technical indicators are mixed, with short-term support but a longer-term bearish trend. Overall, while there are promising growth opportunities, significant financial and operational challenges remain.

To see Spark’s full report on ONDS stock, click here.

Ondas Holdings Approves Stock Incentive Plan Amendment

At the 2025 Annual Meeting of Stockholders held on May 12, 2025, Ondas Holdings Inc. announced the approval of an amendment to its 2021 Stock Incentive Plan, increasing the number of authorized shares from 11 million to 26 million. The Board of Directors had adopted this amendment on April 10, 2025, pending stockholder approval. Additionally, the meeting included the election of six directors, ratification of the company’s independent accountants, advisory approval of executive compensation, and an amendment to increase the authorized shares of common stock from 300 million to 400 million.

The most recent analyst rating on (ONDS) stock is a Buy with a $1.50 price target. To see the full list of analyst forecasts on Ondas Holdings stock, see the ONDS Stock Forecast page.

Spark’s Take on ONDS Stock

According to Spark, TipRanks’ AI Analyst, ONDS is a Neutral.

Ondas Holdings faces considerable financial difficulties with declining revenues and high leverage, reflected in a low financial performance score. Technical indicators show a bearish trend, and the company’s valuation is impacted by a lack of profitability. However, the optimistic guidance for 2025, strategic partnerships, and military contracts provide some positive outlook, slightly lifting the overall score.

To see Spark’s full report on ONDS stock, click here.