ONDS Stock Rises Overnight: Ondas Bulls Pin Hopes On Potential ‘Short Squeeze’ Ahead Of Earnings

• Ondas’ short interest has remained near 40%, fueling squeeze hopes ahead of earnings. 
• The company expects Q3 revenue of $140 million - $155 million, driven by its autonomous systems business and acquisitions. 
• Ondas’ planned Stemme acquisition aims to expand ULTRA production. 

Ondas Holdings Inc. (ONDS) stock gained overnight as bullish retail traders pointed to the potential for a short squeeze ahead of the company’s Nov. 12 third-quarter (Q3) earnings report. The optimism comes as the defense software company’s short interest has hovered around 40% since August. 

Ondas stock edged 1.5% higher overnight Sunday. Last week, the stock plunged 15% to its worst week since June.

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Ondas’ High Short Interest Fuels Short-Squeeze Hopes 

Ondas bulls are focused on short interest, which Koyfin data shows has held near 40% since August. That level of bearish positioning leaves the stock vulnerable to a sharp rally if Q3 results beat expectations.

Ondas has guided Q3 revenue to between $140 million and $155 million, a big jump from the $83.8 million reported in the second quarter. Ondas Autonomous Systems, the company’s main growth engine, is expected to steer the climb through aggressive acquisitions and strong order flow.

Stemme Acquisition To Expand Ondas’ ULTRA Production Capacity  

On Oct. 7, the company said it had secured more than $165 million in orders between mid-August and Oct. 1. Combined with about $105 million disclosed on the Aug. 13 earnings call, total orders since June 30 top $270 million, improving revenue visibility into 2027. Notable wins include orders for ULTRA, a long-endurance autonomous aircraft built for multi-day surveillance, and IonStrike, a counter-drone system aimed at Shahed-class threats. 

The company also landed a $56 million award for electronic safe-and-arm devices supporting a European loitering munition program, following its September acquisitions of GATE Technologies and Bron Technologies.

Ondas added fresh momentum on Nov. 5, announcing a definitive all-cash agreement to acquire Stemme GmbH, the German maker of ULTRA’s airframe. The deal, expected to close in the first quarter of 2027, would support plans to produce 10 ULTRA aircraft per month by 2028, including at a planned U.S. facility with 345,000 square feet of production space.

What ONDS Retail Traders Are Saying

On Stocktwits, retail sentiment around the stock remained ‘bearish.’

A user said, “We need to squeeze the greedy SHORTS! 253M Shares was shorted that's 44.34 to 47.07 % of the public float that is insane...u greedy JACK.” 

Another user said, “Let’s be honest - the short squeeze is the only hope we, bulls, have here. Production will start roughly somewhere next year. Many of us will use the squeeze as an opportunity for the loss recovery.”

A third user said, “Ondas has a massive short interest of 43% to 47% of its public float, making it highly vulnerable to a sudden short squeeze.” The user added that short sellers could be forced to cover if Ondas achieves Q3 EBITDA turnaround, scaling toward a $1 billion revenue run-rate via defense acquisitions, securing major U.S. Department of Defense contracts, and outliving institutional capital-raise hedges. 

ONDS stock has crashed 45% year-to-date. 

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