News Flash: Analysts Just Made A Notable Upgrade To Their Ondas Inc. (NASDAQ:ONDS) Forecasts

Shareholders in Ondas Inc. (NASDAQ:ONDS) may be thrilled to learn that the analysts have just delivered a major upgrade to their near-term forecasts. The analysts greatly increased their revenue estimates, suggesting a stark improvement in business fundamentals.

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After the upgrade, the seven analysts covering Ondas are now predicting revenues of US$177m in 2026. If met, this would reflect a substantial improvement in sales compared to the last 12 months. Per-share losses are expected to see a sharp uptick, reaching US$0.13. Yet before this consensus update, the analysts had been forecasting revenues of US$144m and losses of US$0.15 per share in 2026. So there's been quite a change-up of views after the recent consensus updates, with the analysts making a sizeable increase to their revenue forecasts while also reducing the estimated loss as the business grows towards breakeven.

See our latest analysis for Ondas

The consensus price target rose 47% to US$17.63, with the analysts encouraged by the higher revenue and lower forecast losses for next year.

Taking a look at the bigger picture now, one of the ways we can understand these forecasts is to see how they compare to both past performance and industry growth estimates. The analysts are definitely expecting Ondas' growth to accelerate, with the forecast 4x annualised growth to the end of 2026 ranking favourably alongside historical growth of 44% per annum over the past five years. By contrast, our data suggests that other companies (with analyst coverage) in a similar industry are forecast to grow their revenue at 11% per year. It seems obvious that, while the growth outlook is brighter than the recent past, the analysts also expect Ondas to grow faster than the wider industry.

The Bottom Line

The highlight for us was that the consensus reduced its estimated losses next year, perhaps suggesting Ondas is moving incrementally towards profitability. Fortunately, analysts also upgraded their revenue estimates, and our data indicates sales are expected to perform better than the wider market. With a serious upgrade to expectations and a rising price target, it might be time to take another look at Ondas.

Analysts are clearly in love with Ondas at the moment, but before diving in - you should be aware that we've identified some warning flags with the business, such as recent substantial insider selling. You can learn more, and discover the 2 other flags we've identified, for free on our platform here.

Of course, seeing company management invest large sums of money in a stock can be just as useful as knowing whether analysts are upgrading their estimates. So you may also wish to search this free list of stocks with high insider ownership.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.