New York, Feb 5, 2026, 15:11 EST — Regular session
- Ondas shares slipped roughly 11% during afternoon trading, with volume reaching close to 79 million shares
- A J Capital Research report raised doubts about Ondas’ acquisition strategy and the expenses tied to funding its growth
- This week, the company announced a new defense contract in the Asia-Pacific region alongside plans to acquire Rotron Aero
Shares of Ondas Inc dropped $1.04, or 10.7%, to $8.64 in Thursday afternoon trading, following a session range of $8.56 to $9.80. Trading volume hit roughly 79.2 million shares.
The recent slide highlights just how quickly sentiment can shift in smaller defense-tech stocks. Questions around deal terms and financing often drown out the product story—at least temporarily.
Tensions are ramping up this week as the Singapore Airshow draws military delegations and industry leaders, focusing heavily on drones and counter-drone tech. The biennial event runs from Feb. 3 to Feb. 8.
In a note dated Feb. 4, J Capital Research accused Ondas of “massively diluting shareholders” to bankroll acquisitions and cast doubt on its profitability prospects. The firm highlighted multiple share offerings and raised concerns over insider selling projected for late 2025. J Capital Research
Ondas is pushing growth with new contract news. On Tuesday, it announced its Airobotics unit secured a strategic deal with an unnamed Asia-Pacific government defense client to deploy unmanned aerial systems — drones — for national security tasks. The work will roll out in phases, with initial deliveries set to start this year. CEO Eric Brock noted the company is seeing “accelerating demand we are seeing across the Asia-Pacific region for mission-ready autonomous defense systems.” Ondas Inc.
Just a day before, the company announced a definitive deal to acquire UK-based Rotron Aero, bringing in longer-range unmanned aircraft and propulsion tech, including “one-way” attack systems built for strike missions. Ondas revealed the payment would be a mix of cash and stock. Brock commented, “Modern conflicts demand systems that can operate at range, persist over time.” Ondas Inc.
An 8-K filing — a regulatory disclosure companies use to report major events — revealed that Ondas released a fact sheet on the Rotron deal and included its acquisition press release as an exhibit.
In other space-related moves, drone and defense tech shares slipped. AeroVironment dropped roughly 7%, Red Cat Holdings fell close to 10%, and Kratos Defense lost around 5% during the session.
Still, key details remain missing for a stock like this. Ondas hasn’t revealed how much the Asia-Pacific contract is worth, and there’s no certainty on follow-up orders. The Rotron agreement requires approvals, too, and if part of the payment comes in stock, current shareholders will face dilution.
Investors are keeping an eye out for more contract specifics or customer announcements as the airshow concludes on Feb. 8. Updates on timing and financing will also be key as the Rotron deal progresses toward closing.
