Ondas (NASDAQ:ONDS) Stock Moved Up to "Sell" by Wall Street Zen

Key Points

• Wall Street Zen upgraded Ondas from “strong sell” to “sell.” Analyst views remain mostly positive overall: 11 rate the stock Buy, one Hold and one Sell, producing a “Moderate Buy” consensus and an average target of $15.81.
• Ondas reported quarterly EPS of -$0.10, beating the -$0.13 estimate, and revenue of $167.49 million versus expectations of $148.04 million. The article also cites record third-quarter revenue and an $835 million backlog.
• Shares opened at $5.16 after a 3% decline, well below their 50-day and 200-day moving averages. Analysts including Lake Street lowered price targets while retaining Buy ratings, and the article notes concerns about losses, margin pressure and execution risks.

Ondas (NASDAQ:ONDS - Get Free Report) was upgraded by equities research analysts at Wall Street Zen from a "strong sell" rating to a "sell" rating in a note issued to investors on Saturday, Wall Street Zen reports.

Other equities analysts have also issued research reports about the company. Lake Street Capital decreased their price target on Ondas from $19.00 to $14.00 and set a "buy" rating on the stock in a research note on Friday. Weiss Ratings reiterated a "sell (d+)" rating on shares of Ondas in a report on Monday, November 2nd. Oppenheimer raised their price objective on Ondas from $16.00 to $18.00 and gave the stock an "outperform" rating in a research report on Friday, August 14th. Roth Capital reissued a "buy" rating on shares of Ondas in a research report on Tuesday, August 18th. Finally, Citigroup restated a "market outperform" rating on shares of Ondas in a report on Friday. Eleven investment analysts have rated the stock with a Buy rating, one has issued a Hold rating and one has given a Sell rating to the company's stock. Based on data from MarketBeat, Ondas currently has an average rating of "Moderate Buy" and a consensus price target of $15.81.

Ondas Stock Down 3.0%

ONDS stock opened at $5.16 on Friday. The firm's 50 day moving average price is $6.67 and its 200-day moving average price is $8.71. Ondas has a one year low of $4.38 and a one year high of $15.28.

Ondas (NASDAQ:ONDS - Get Free Report) last released its quarterly earnings data on Thursday, November 12th. The company reported ($0.10) EPS for the quarter, beating analysts' consensus estimates of ($0.13) by $0.03. The firm had revenue of $167.49 million for the quarter, compared to analysts' expectations of $148.04 million. Ondas had a negative return on equity of 21.90% and a net margin of 32.91%. As a group, research analysts expect that Ondas will post -0.47 earnings per share for the current fiscal year.

Insider Buying and Selling

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

Hedge Funds Weigh In On Ondas

Several hedge funds have recently bought and sold shares of ONDS. Aquamarine Financial Cayman Ltd acquired a new stake in Ondas during the 3rd quarter worth approximately $147,526,000. Voya Investment Management LLC boosted its position in Ondas by 183.7% in the 3rd quarter. Voya Investment Management LLC now owns 6,612,440 shares of the company's stock valued at $48,469,000 after buying an additional 4,281,842 shares during the period. Bank of New York Mellon Corp purchased a new position in Ondas in the 2nd quarter valued at approximately $13,158,000. Bank of America Corp DE grew its stake 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 acquiring an additional 1,313,823 shares in the last quarter. Finally, RFG Advisory LLC grew its stake in shares of Ondas by 57.0% in the second quarter. RFG Advisory LLC now owns 2,787,202 shares of the company's stock worth $22,967,000 after acquiring an additional 1,012,353 shares in the last quarter. Institutional investors and hedge funds own 37.73% of the company's stock.

Top Ondas Stories

These are some of the ONDS stories that stood out recently:

• Positive Sentiment: Third-quarter revenue reached a record $167.5 million, more than 16 times the year-ago level and above analyst expectations of $148.0 million. The company also reported a $835 million backlog, citing strong bookings and defense demand. Q3 revenue and outlook
• Neutral Sentiment: Needham and Lake Street lowered their price targets from $19 to $14 but maintained Buy ratings, reflecting reduced targets alongside continued optimism about potential upside. Needham rating Lake Street rating
• Negative Sentiment: The quarterly loss widened year over year, while production expansion is weighing on margins. Investors also face execution risks, including converting the large backlog into revenue and integrating acquisitions. These concerns may help explain why strong sales growth has not translated into confidence about near-term profitability. Q3 results and margin pressure

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.

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