Ondas (NASDAQ:ONDS) Shares Down 6% Following Analyst Downgrade

Key Points

• Ondas shares fell 6% after Needham & Company cut its price target on the stock from $23 to $19, though it kept a Buy rating. The stock traded as low as $7.32 on heavy volume.
• Despite the lower target, analyst sentiment remains generally positive: MarketBeat says Ondas has a Moderate Buy consensus, with an average price target of $16.75.
• Recent company news has centered on Ondas’ DZYNE Technologies acquisition, which management says could help drive $525 million in revenue and expand its autonomous defense platform.

Ondas Holdings Inc. (NASDAQ:ONDS - Get Free Report) was down 6% during trading on Tuesday after Needham & Company LLC lowered their price target on the stock from $23.00 to $19.00. Needham & Company LLC currently has a buy rating on the stock. Ondas traded as low as $7.32 and last traded at $7.35. Approximately 59,410,157 shares were traded during trading, a decline of 27% from the average daily volume of 81,793,438 shares. The stock had previously closed at $7.82.

Several other brokerages have also issued reports on ONDS. Zacks Research raised shares of Ondas from a "strong sell" rating to a "hold" rating in a research note on Monday, May 25th. Glj Research set a $17.00 price objective on shares of Ondas in a report on Tuesday, March 10th. Weiss Ratings lowered shares of Ondas from a "hold (c-)" rating to a "sell (d+)" rating in a report on Tuesday, June 23rd. Wall Street Zen cut shares of Ondas from a "hold" rating to a "sell" rating in a research report on Sunday, May 24th. Finally, LADENBURG THALM/SH SH raised Ondas to a "strong-buy" rating in a research note on Wednesday, May 6th. One investment analyst has rated the stock with a Strong Buy rating, six have assigned a Buy rating, one has given a Hold rating and one has issued a Sell rating to the company. According to MarketBeat.com, the stock has a consensus rating of "Moderate Buy" and an average target price of $16.75.

Insider Activity at Ondas

In other Ondas news, Director Richard M. Cohen sold 7,500 shares of the stock in a transaction on Wednesday, May 20th. The shares were sold at an average price of $9.50, for a total value of $71,250.00. Following the sale, the director directly owned 264,853 shares in the company, valued at approximately $2,516,103.50. This trade represents a 2.75% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is accessible through the SEC website. Also, Director Randy Seidl sold 10,000 shares of Ondas stock in a transaction on Tuesday, May 19th. The stock was sold at an average price of $9.83, for a total transaction of $98,300.00. Following the transaction, the director directly owned 295,504 shares in the company, valued at approximately $2,904,804.32. This represents a 3.27% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders have sold 2,395,745 shares of company stock worth $32,109,380 in the last ninety days. Company insiders own 1.60% of the company's stock.

Key Stories Impacting Ondas

Here are the key news stories impacting Ondas this week:

• Positive Sentiment: Ondas said the DZYNE acquisition should materially lift its business, with management targeting $525 million in revenue and highlighting expanded capabilities across defense and autonomous systems. Ondas Targets $525 Million Revenue After $875.8 Million DZYNE Deal
• Positive Sentiment: Market commentary suggests the DZYNE deal is driving a stock rally, with investors encouraged by the larger autonomous defense platform and the potential for more upside if integration goes well. DZYNE Buyout Sparks Ondas Stock Rally: More Gains Ahead?
• Neutral Sentiment: Needham trimmed its price target on Ondas to $19 from $23 but kept a Buy rating, signaling continued optimism despite a lower valuation target. Needham & Company LLC Lowers Ondas NASDAQ: ONDS Price Target to $19.00
• Positive Sentiment: Ondas formally announced the acquisition of DZYNE Technologies, saying the combination creates a leading autonomous defense platform with broader U.S. and allied defense exposure. Ondas Announces Transformative Acquisition of DZYNE Technologies, Establishing the Leading Autonomous Defense Platform Spanning Persistent Intelligence, Aerial Security and Autonomous Effects

Institutional Investors Weigh In On Ondas

Large investors have recently modified their holdings of the business. JPMorgan Chase & Co. increased its position in shares of Ondas by 3,558,617.2% during the 3rd quarter. JPMorgan Chase & Co. now owns 2,064,056 shares of the company's stock worth $15,935,000 after purchasing an additional 2,063,998 shares during the last quarter. Ghisallo Capital Management LLC bought a new stake in Ondas in the third quarter valued at approximately $7,720,000. CloudAlpha Capital Management Limited Hong Kong acquired a new stake in shares of Ondas in the fourth quarter valued at approximately $6,734,000. Zurcher Kantonalbank Zurich Cantonalbank acquired a new stake in Ondas during the 4th quarter valued at $1,052,000. Finally, Legal & General Group Plc bought a new position in Ondas in the 4th quarter valued at about $14,215,000. 37.73% of the stock is currently owned by institutional investors.

Ondas Trading Down 6.0%

The company has a 50 day moving average of $9.72 and a 200-day moving average of $10.15. The firm has a market capitalization of $3.85 billion, a P/E ratio of 183.75 and a beta of 2.69.

About Ondas

Ondas Holdings, Inc NASDAQ: ONDS develops secure private wireless networking solutions and unmanned aircraft systems tailored to mission-critical industrial applications. Its Ondas Networks division offers the proprietary FullMAX platform, a long-range, high-bandwidth broadband network designed to support real-time data transmission, remote monitoring and IoT deployments across rail, maritime and infrastructure environments. The broadband platform integrates edge-to-cloud architecture to ensure operational resilience and regulatory compliance for transportation and utility operators.

The company's Ondas Autonomous Systems segment builds heavy-lift cargo drones and uncrewed aircraft platforms for logistics, pipeline and infrastructure inspection, emergency response and other government and commercial use cases.

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