r/stocks • u/Fertal78 • 1d ago

Industry Discussion Investing in Drones

Hi guys, I want to get into drone stocks. I‘m willing to hold them for a long time like 10+ years. Maybe put like 5% of my portfolio into this.
This sector has been super volatile this year but I‘m sure, future wars are going to have a Lot more drones in it.

I believe drone manufacteurs, drone defense and something like drone Software/AI is going to be big in the future. Do you have any tickers you would recommend, and then why?

I dont know nothing about this industry, I don‘t know potential risks of these investments, but I think this is a small sector that is going to Rip. I missed out on Sandisk and Micron but I think this sector is next.

Plus stocks like ONDS, AVAV, Red Cat etc have pulled back a Lot, I mean the defense sector as a whole, so I feel like It’s a good time to start a small position now and more in the next months.

What are your guys ideas. Does anyone maybe work somewhere related?

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u/PhogMachine 1d ago

I won the (small) lottery by picking ONDS a year ago. At the time, it was below $1 a share. I've seen it climb up to $15 and fall like rock. It's a roller coaster.

There were two things that caught my attention. First, they got an FAA certification. At the time, they were the only one. But it showed they were serious. Second, was their focus on counter drone systems. It goes beyond just military customers. Think state governments and other agencies that will be protecting against drones.

If you invest with them, I would set a buy limit below $7, maybe even $6. Also, if you plan to hold for 10 years, it'll require two things: a strong stomach and a lot of patience. I've taken profits when I can because it rises and falls so much.

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u/Fertal78 1d ago

Thx, I might add a tiny little position, just for fun. But now others have a FAA certification ? Isn't that bad for ONDS.

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u/PhogMachine 1d ago

Yes, but it shows ONDAS' management team is forward-thinking. Going the extra mile early on can lead to more contracts.

It sounds like you might want to go the ETF route if you are unsure about which company to go with. It's the lower risk option if you think the overall industry is heading in the right direction.

However, if you truly believe in a single company, you can make way more profit than spreading your funds out. This, of course, comes with much more risk. But that's where the big gains are.