Why Ondas Stock Popped Today
2026-07-22 16:08
•Rich Smith •The Motley Fool
• • Axe Capital view
Ondas Rally: Growth Is Real, But Profitability Isn’t Here Yet
Ondas stock surged 9.79% on massive new orders, but the company is still far from making sustainable profits.
Ondas Holdings has grabbed attention with a near 10% jump in its share price after announcing $70 million in new unmanned systems orders — a huge step up from its recent sales. It signals strong demand in defence tech, especially for drones and border surveillance. Still, Ondas is burning cash and won’t turn consistent profits until 2029 at the earliest. South African investors should watch this more as a speculative play than a core holding; it doesn’t have a listed local peer, and the rand's movement versus the dollar (USD/ZAR) could impact equipment costs. The share price spike may attract short-term interest, but the long road to profitability and operational scale means patience is vital. This view might be wrong if Ondas speeds up its path to cash flow or locks in even larger contracts sooner than expected. this is just my opinion and not financial advice
I would watch Ondas closely rather than buy now, given the long wait for profits and the currency risks from USD/ZAR swings. Better to focus on established JSE names for yield and stability.
- ONDS
- USD/ZAR
- Delayed profitability beyond 2029
- Rand volatility increasing costs or squeezing margins
5/10
Ondas Holdings, a defense contractor specializing in military drones and counter-drone technology, saw its stock surge 9.79% after announcing $70 million in new orders over four weeks for unmanned systems, border security, and surveillance equipment. However, despite strong order growth (10x Q2 2025 sales), the company remains unprofitable and is not expected to achieve consistent profitability and positive cash flow until 2029.
This article was originally published by The Motley Fool and has been adapted here for Axe Capital Trading News.
Publisher: The Motley Fool
Author: Rich Smith
Categories: Equities
Tickers: ONDS
Sentiment: Positive - Stock popped 9.79% on announcement of $70 million in orders over four weeks, representing 10x the volume of Q2 2025 sales. Strong demand signals across defense and security platforms justify the positive market reaction, though long-term profitability remains uncertain.
Keywords: defense contractor, military drones, counter-UAS technology, weapons sales, order growth, profitability concerns, cash flow
Insights:
- ONDS: Positive: Stock popped 9.79% on announcement of $70 million in orders over four weeks, representing 10x the volume of Q2 2025 sales. Strong demand signals across defense and security platforms justify the positive market reaction, though long-term profitability remains uncertain.