Citizens has reiterated its Market Outperform rating and $14 price target for Ondas Holdings Inc. following updates on the company’s IonStrike platform. The system is designed for the next generation of Shahed drones, according to management information highlighted by the investment firm.
IonStrike is priced at approximately $40,000 per unit, compared with an estimated historical cost of around $100,000 for a Shahed drone. Citizens said this cost structure could alter the economics of countering the systems.
The latest V3 version uses a ducted-fan propulsion system intended to engage newer jet-powered Shahed variants. Unlike many competing interceptors that destroy their targets through direct impact, V3 IonStrike combines a seeker with a warhead that can detonate near the target. Citizens said this gives the system characteristics closer to a missile and could improve its success rate.
The firm considers the combination of drone and missile capabilities a key differentiator for IonStrike, particularly its missile-style interception method. Citizens also pointed to continued deal momentum around the platform and said it expects further updates in the near term.
Ondas shares were trading at $6.32, below their 52-week high of $15.28. The stock has also fallen 39% over the past six months, reflecting the volatility associated with the company.
Ondas recently reported record second-quarter 2026 revenue of $83.8 million, above the $68.54 million Wall Street estimate. However, it posted a loss of $0.19 per share, compared with the expected loss of $0.10. The company’s backlog rose to $757 million.
The company has also been expanding through acquisitions, including a $33 million agreement to acquire Aran Defense Ltd. Ondas raised its full-year 2026 revenue guidance to between $525 million and $550 million, while anticipating earlier-than-planned profitability milestones.
Sources: Investing.com News.