Ondas (NASDAQ:ONDS) Stock Falls 3% on Analyst Downgrade

Key Points

• Ondas shares fell 3% after Lake Street Capital cut its price target from $19 to $14, while maintaining a Buy rating.
• Ondas reported quarterly revenue of $167.5 million, ahead of estimates, and cited an $835 million backlog; however, its quarterly loss widened year over year and margins declined.
• Analyst sentiment remains broadly positive: MarketBeat reports a “Moderate Buy” consensus and an average price target of $15.81.

Shares of Ondas Holdings Inc. (NASDAQ:ONDS - Get Free Report) fell 3% on Friday after Lake Street Capital lowered their price target on the stock from $19.00 to $14.00. Lake Street Capital currently has a buy rating on the stock. Ondas traded as low as $5.02 and last traded at $5.16. Approximately 48,144,769 shares traded hands during trading, a decline of 37% from the average daily volume of 76,954,000 shares. The stock had previously closed at $5.32.

Other research analysts also recently issued reports about the stock. Ladenburg Thalmann & Co. Inc. increased their target price on shares of Ondas from $21.50 to $22.75 and gave the company a "buy" rating in a research report on Monday, August 17th. The Goldman Sachs Group raised shares of Ondas to a "buy" rating in a research report on Monday, November 2nd. Rothschild & Co Redburn set a $14.00 price objective on shares of Ondas in a research note on Friday. Weiss Ratings restated a "sell (d+)" rating on shares of Ondas in a research note on Monday, November 2nd. Finally, Citizens Jmp initiated coverage on Ondas in a report on Monday, October 5th. They set an "outperform" rating and a $14.00 price objective on the stock. Eleven investment analysts have rated the stock with a Buy rating, one has given a Hold rating and one has assigned a Sell rating to the company's stock. According to MarketBeat.com, the company has an average rating of "Moderate Buy" and an average price target of $15.81.

Insiders Place Their Bets

In related news, Director Richard Cohen sold 7,500 shares of Ondas stock in a transaction on Tuesday, August 18th. The shares were sold at an average price of $8.96, for a total value of $67,200.00. Following the transaction, the director directly owned 261,836 shares in the company, valued at $2,346,050.56. This trade represents a 2.78% decrease in their position. The transaction was disclosed in a filing with the SEC, 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 dated Thursday, September 24th. The shares were sold at an average price of $7.74, for a total transaction 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 approximately $326,984.04. The trade was a 10.49% decrease in their position. The disclosure for this sale is available in the SEC filing. Company insiders own 1.67% of the company's stock.

Key Stories Impacting Ondas

Here are a few of the latest stories about ONDS:

• Positive Sentiment: Ondas reported record third-quarter revenue of $167.5 million, well above analyst expectations, as sales grew more than 16-fold year over year. The company also cited strong bookings and an $835 million backlog, providing greater revenue visibility. Article: Ondas Posts Record Q3 2026 Revenue
• Neutral Sentiment: Needham lowered its price target to $14 from $19 but retained a Buy rating. The reduced target reflects a more cautious valuation, while the recommendation remains supportive. Article: Needham Ratings
• Negative Sentiment: Despite the revenue surge, Ondas’s quarterly loss widened year over year and margins shrank. Higher production needs and the work of integrating acquisitions could make it harder to convert the backlog into profitable growth, adding execution risk. Article: Q3 Earnings Show Wider Loss

Hedge Funds Weigh In On Ondas

Several hedge funds and other institutional investors have recently bought and sold shares of the stock. Pilgrim Partners Asia Pte Ltd acquired a new position in shares of Ondas in the 3rd quarter valued at about $26,000. Pinnacle Wealth Planning Services Inc. raised its stake in shares of Ondas by 7,185.7% during the third quarter. Pinnacle Wealth Planning Services Inc. now owns 3,570 shares of the company's stock valued at $26,000 after purchasing an additional 3,521 shares in the last quarter. NFSG Corp raised its stake in shares of Ondas by 200.0% during the first quarter. NFSG Corp now owns 3,000 shares of the company's stock valued at $27,000 after purchasing an additional 2,000 shares in the last quarter. Western Wealth Management LLC acquired a new stake in Ondas in the first quarter worth about $28,000. Finally, EverSource Wealth Advisors LLC lifted its holdings in Ondas by 5,373.7% in the first quarter. EverSource Wealth Advisors LLC now owns 3,120 shares of the company's stock worth $28,000 after purchasing an additional 3,063 shares during the period. 37.73% of the stock is owned by institutional investors and hedge funds.

Ondas Stock Performance

The stock has a market cap of $3.00 billion, a price-to-earnings ratio of -73.71 and a beta of 3.10. The company's 50 day simple moving average is $6.72 and its 200 day simple moving average is $8.75.

Ondas (NASDAQ:ONDS - Get Free Report) last issued its quarterly earnings results on Thursday, November 12th. The company reported ($0.10) earnings per share for the quarter, topping analysts' consensus estimates of ($0.13) by $0.03. The company had revenue of $167.49 million during the quarter, compared to analyst estimates of $148.04 million. Ondas had a net margin of 93.55% and a negative return on equity of 14.20%. Sell-side analysts predict that Ondas Holdings Inc. will post -0.47 EPS for the current year.

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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