Droneshield (ASX:DRO) shares jumped $12.4% to $1.00/sh on Monday morning on the back of over $30M worth of Asia Pacific contracts.
Listen to the HotCopper podcast for in-depth discussions and insights on all the biggest headlines from throughout the week. On Spotify, Apple, and more.
It’s the latest spike in volatility for Droneshield which has come back onto the radars of day traders in recent history – especially after shorts fell from record highs of over 10% of shares on issue back in February of this year.
(Worth noting is that as of April 7, shorts on the stock are climbing again. The week-behind data shows 5.8% of shares currently shorted.)
Shorts had originally piled on the stock in the second half of 2024 after the company hit a market cap of $2B and shares climbed over $2.50/sh – despite having almost no revenues.
An original shipment of counter-UAV tech to Ukraine originally kicked off interest in the company, but in the years following, it was small-value orders from other government defence entities and even airports that emerged as customers. Not the active warzone of Ukraine.
But today’s news has regenerated interest in the day trader – and HotCopper forum – favourite.
In short, DRO has inked 5 separate contracts “from an Asia Pacific military customer” with payments expected to go through in whole in Q3 of this year.
Notably, the buyer is a reseller: “a wholly-owned subsidiary of a multi-billion dollar, global, publicly listed customer that is contractually required to distribute the products to a major Asia Pacific military government department,” according to the company.
More market news
Kowtow: “Biggest day in financial history” on Trump’s tariffs retreat
Meet GeoGeorge: The HotCopper poster so accurate he got hired as an analyst
The company also added: “DroneShield has previously received 7 standalone contracts from this reseller for this customer between May 2024 and January 2025 totalling approximately $12.3 million.”
DRO last traded at $1.00/sh.
Join the discussion: See what HotCopper users are saying about Droneshield and be part of the conversations that move the markets.
The material provided in this article is for information only and should not be treated as investment advice. Viewers are encouraged to conduct their own research and consult with a certified financial advisor before making any investment decisions. For full disclaimer information, please clickhere.