WEST PALM BEACH, Florida, August 16, 2026, 14:00 EDT —
- Ondas stock rose 3.7% on Friday, following a decline of roughly 8.8% on Thursday.
- Revenue for the quarter totaled $83.8 million, and the adjusted EBITDA loss expanded to $50.6 million.
- On Friday, the market value was around 9.8 times the projected sales for 2026.
Ondas Inc. NASDAQ:ONDS clawed back 38% of its post-earnings decline on Friday. The recovery sets up a key question for investors heading into the new week: can surging sales offset the company’s accelerating losses?
Shares ended the session at $9.24, gaining 3.7%, recovering after an approximate 8.8% drop on Thursday. On Friday, trading volume totaled 96.85 million shares, which is 11% higher than the latest average. U.S. markets did not open on Sunday.
Revenue growth continues to be robust. Sales for the second quarter totaled $83.8 million, reflecting a 67% increase quarter-over-quarter and rising over thirteen times compared to a year earlier. Chief Executive Eric Brock stated, “We expect our momentum to continue to accelerate in the second half of 2026.” Ondas results
| Operating measure | Q2 2026 | Q1 2026 | Q2 2025 |
|---|---|---|---|
| Revenue | $83.8m | $50.1m | $6.3m |
| Gross margin | 43.1% | 49.2% | 53.1% |
| Adjusted EBITDA | -$50.6m | -$10.9m | -$5.8m |
| Operating loss | -$162.9m | -$42.7m | -$9.3m |
However, the adjusted EBITDA loss represented 60.4% of revenue, up from 21.8% in the prior quarter. The magnitude of the loss surged almost threefold, even as sales picked up pace.
| Loss-intensity check | Q2 2026 | Q1 2026 | Change |
|---|---|---|---|
| Adjusted EBITDA loss as a share of revenue | 60.4% | 21.8% | +38.6 percentage points |
| Adjusted cash operating cost | $93.3m | $36.9m | +153% |
| Reported operating cost | $199.1m | $67.3m | +196% |
Ondas intentionally directed a large portion of its spending, assigning $26.2 million to development projects connected to WarpSpeed, Skyweaver, and Palantir. The reported costs further comprised $105.8 million in non-cash expenditures.
Management boosted its 2026 revenue forecast to a range of $525 million to $550 million. Third-quarter sales were projected between $140 million and $155 million. The midpoint suggests a further 76% rise from the previous quarter.
| Forward measure | Company figure | Investor read-through |
|---|---|---|
| Q3 revenue guidance | $140m-$155m | Midpoint is 76% higher than Q2 |
| 2026 revenue forecast | $525m-$550m | Midpoint equals $537.5m |
| Pro forma backlog | $757m | Equals 1.41x the midpoint of guidance |
| Friday market value | $5.27bn | Trades at 9.8x guidance midpoint |
The backlog provides insight but does not ensure specific timing. The reported backlog stood at $613 million. The pro forma total reached $757 million after including DZYNE and Cyberhawk.
Analysts hold a positive outlook, although their methods vary. Yahoo’s shown target range stood at $13 to $25, averaging $19.28. Oppenheimer raised its target following the results.
| Firm | Date | Recommendation | Price target | Action |
|---|---|---|---|---|
| Oppenheimer | Aug. 14, 2026 | Outperform | $18 | Increased from $16 |
| Needham | July 7, 2026 | Buy | $19 | Reduced from $23 |
| Stifel | July 2026 | Buy | $18 | Unchanged |
Liquidity eases immediate financing needs. Ondas held $1.4 billion in cash, restricted cash and short-term investments as of June 30. Subsequently, around $325 million was spent on DZYNE and Cyberhawk.
Risks: Expenses linked to integration, potential program delays, and backlog conversion may sustain higher losses. Gross margin declined to 43.1%, down by ten points from the prior year.
Monday marks the reopening of U.S. markets for the week ahead. Investors are set to gauge if Friday’s rebound persists as forecasts are recalibrated. The main indicators to watch are order conversions and whether cash losses decrease.
Ondas aims to achieve platform-level adjusted EBITDA profitability during the fourth quarter. This goal now serves as the link between a premium valuation and operational execution.
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