Droneshield (ASX:DRO) has been struggling in particular ever since its founder and directors sold all of their shares out of the blue late last year, in what easily became one of the most controversial director trades of 2025.
For many investors, those memories are still too close. But for another cohort, Droneshield’s fresh $720M contract announced this week has pumped some interest back into the stock.
As at 12.30pm AEST, Droneshield shares are up +8% WoW. Over the YTD period, it’s lost -43% and over a year it’s down -70%.
Just over $10.6M worth of shares had traded hands as of lunchtime, though, the 4wavg turnover was higher. That said, we’re still a while from market close.
Its Wednesday contract valued at US$500M sees Droneshield’s US subsidiary awarded a contract from the US defence force, establishing a “contracting vehicle through which Droneshield can compete for and receive future task and delivery orders.”
That ultimately means that Droneshield isn’t necessarily guaranteed a US$500M (A$720M) delivery; but, does see Droneshield further establishing itself on the radars of the US defence force, which is perhaps where investors see real value.
In the ongoing Ukraine-Russia war, which was long Droneshield’s value catalyst before Electro Optic outpaced it, flying drone operators have swapped to fibre-optic-cable-connected drones which can’t be jammed by the kind of tech Droneshield sells.
It was around the time that started becoming understood by the mainstream public writ large that Droneshield’s key C-suiters all ditched the company out of the blue, then coming up with some interesting answers for the ASX which, naturally, asked a lot of questions.
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