Ondas Inc. (ONDS) and RSE Ventures have co-led a strategic investment in FPF Defense, a defense technology company building autonomous counter-drone systems, the companies announced Friday. Financial terms weren't disclosed, but the deal is aimed at scaling FPF's SmartFlak counter-unmanned aerial system, which uses the Hammerhead autonomous interceptor to take down Shahed-class one-way attack drones.
The idea is simple: cheap attack drones are flooding battlefields, and shooting them down with million-dollar missiles isn't sustainable. FPF says its system bridges that cost gap. As part of the deal, FPF will relocate its headquarters to West Palm Beach, Florida, joining Ondas in what the companies hope will become a defense technology ecosystem.
“Ondas is focused on solving the most critical challenges in autonomous and counter-drone warfare, and we uphold the highest standards for the teams we partner with,” said Ondas CEO Eric Brock. “FPF cleared that bar immediately with a proven team, a disruptive cost advantage, and a mission-critical capability that the nation requires at scale.”
FPF is led by former Acting Secretary of Defense Christopher C. Miller. The company plans to use the funding to accelerate development of its Hammerhead interceptor and SmartFlak system, expand engineering operations, and establish an NDAA-compliant U.S. manufacturing supply chain.
Stock Performance and Technical Analysis
Ondas stock edged lower by less than 0.5% on Friday, while the Nasdaq fell 0.32% and the S&P 500 rose 0.48%. The stock traded at $7.92, about 5.9% above its 20-day simple moving average of $7.50, but still 12.4% below its 50-day moving average of $9.07. That setup suggests a short-term rebound within a weaker intermediate trend.
The longer-term picture is more cautious. The 50-day moving average remains below the 200-day moving average, and a death cross formed in July, reinforcing the bearish trend. The relative strength index sits at 50.74, signaling neutral momentum — so the stock could trade in a range until a stronger trend emerges. Resistance is near $8.50, aligning with the 200-day exponential moving average, while initial support is around $7.00.
Despite gaining more than 271% over the past 12 months, ONDS is well below its 52-week high of $15.28, reached in January.
Earnings and Analyst Outlook
Ondas is expected to report quarterly results on Aug. 11. Analysts forecast a loss of 6 cents per share, narrower than the 8-cent loss a year earlier. Revenue is projected to jump to $65.8 million from $6.27 million. The stock carries a consensus Strong Buy rating with an average analyst price target of $18.50. Recent analyst actions include Needham lowering its price target to $19 on July 7 while maintaining a Buy rating, and Northland Capital Markets raising its target to $18 on March 26 with an Outperform rating.
The Funds Most Invested in Ondas
Ondas is a significant holding in several thematic ETFs. It represents a 6.98% weighting in the Defiance Drone and Modern Warfare ETF (JEDI) and an 11.67% weighting in the REX Drone ETF (DRNZ). It also accounts for 0.07% of the Leverage Shares 2X Long ONDS Daily ETF (ONDG). Large inflows or outflows in these funds could influence trading activity in ONDS shares.
At the time of publication Friday, Ondas shares were down 0.19% at $7.92.
