Sydney, Feb 17, 2026, 17:59 AEDT — Trading has wrapped up for the day.
- Electro Optic Systems jumped 13.7%, wrapping up the session at A$7.16.
- EOS flagged its new high-energy laser hub in Singapore, tying it to active projects underway in Korea and the Netherlands.
- Audited results are due by Feb. 19. Caution lingers among traders, with this month’s short-seller hit still sharp in their minds.
Electro Optic Systems Holdings Ltd surged 13.7% on Tuesday to finish at A$7.16. The stock, though, remains down about one-third for 2026 and sits well below its January peak of A$11.20. (Intelligent Investor)
Investors, hungry for concrete proof like signed contracts and real cash flow, drove that jump, not just headlines. Audited results are still on deck for later this week.
EOS said Monday it has opened its high-energy laser weapon plant in Singapore, with the formal launch taking place Feb. 6. Now operational, the facility handles assembly, integration, and testing for 100-kilowatt-class laser systems. The company said this site will support its export deal to the Netherlands, as well as a binding but conditional supply agreement involving South Korea. A brigadier general from the Royal Netherlands Army called high-energy lasers an “indispensable new category of weapon systems.” CEO Andreas Schwer described the Singapore operation as a “blueprint” for future builds elsewhere, noting the Korean order “will be produced out of this facility in Singapore.” (Electro Optic Systems)
EOS is telling investors to expect audited numbers on or around Thursday, Feb. 19. In its January quarterly update, the company bumped up its outlook, now forecasting full-year revenue just above the prior A$115 million to A$125 million range for its existing deals. That same update flagged ASIC’s move—asking the Federal Court for declarations and a A$4 million civil penalty, after an earlier disclosure probe. (Company Announcements)
Shares have been on a rollercoaster after U.S. short seller Grizzly Research took aim at an earlier $80 million contract announcement involving a South Korean partner. EOS fired back, labeling the claims “misleading, manipulative and pejorative,” and noted it’s talking to lawyers about whether the report violates corporate law in Australia or Germany. “Today’s reversal looks less like a classic short squeeze and more like the market giving management the benefit of the doubt,” said Billy Leung, investment strategist at Global X ETFs Australia. (Reuters)
Short sellers borrow shares and sell them fast, aiming to buy back later at a cheaper price. But if the stock price jumps, shorts can rush to cover, snapping up shares to limit losses. That buying flurry often drives the price up further—a textbook short squeeze.
Things could shift in the coming sessions. EOS revenue isn’t exactly steady—contracts often slip, so a weak cash or margin figure on Thursday could quickly stall the rally. And if the Grizzly dispute escalates, brace for more volatility.
EOS is making a play for Europe as defense budgets climb, and says it’s weighing both a European headquarters and a public listing there sometime in the next year, according to comments to Reuters. The company’s timeline: a decision by the first half of 2026. Competition isn’t light—Rheinmetall and MBDA are pushing their own laser projects in Europe, which has investors watching closely to see who can actually ramp up manufacturing. (Reuters)
