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Post by JHam on Jun 2, 2021 4:56:45 GMT
I just came across this company last week and bought my first shares yesterday. They are currently at the ground level with massive potential after recently acquiring American Robotics to add on top of their already exciting base business. ONDS offers a next generation secure industrial IOT wireless network that has a much greater range and speed than traditional wireless solutions. They already have several blue chip customers including multiple Class One railroad partners in their 900MHTZ network which was recently granted. They anticipate to generate $100Ms in sales by August 2023. Separately, they announced an agreement to acquire American Robotics on May 17th for $70M via a mix of share/equity: www.businesswire.com/news/home/20210517005438/en/Through this acquisition ONDAS will combine their FullMAX wireless system with AR's new Scout drone system to create a platform that allows customers to have "capability to better inspect and manage their large field operations and critical infrastructure." This kind of technology is brand new as AR is the first company ever to receive FAA clearance to operate a fully automated drone system with no humans on site (no pilots needed to operate drones and no staff needs to be there when they are in operation): www.wsj.com/articles/faa-approves-first-fully-automated-commercial-drone-flights-11610749377Reese Moser, CEO and Founder of AR, said on the call Friday that the biggest issue they have right now is that at the moment their "capacity is strained" because they "can't meet all the demand". He also said (this was on a slide too) that >15 (I think he later said 17) Fortune 500 companies, are currently paying for or discussing their pilot programs. Some of them being top 5 companies on the list. The big headline is that it is a $100B Total Addressable Market. Through their RAAS (Robot-as-a-Service) subscription revenue model, by just capturing 0.5% of that TAM would result in $500M in ARR. Just 5% would be $5B etc... The AR deal is supposed to officially close in Q3 of this year. There is so much more to write, but for anyone interested in getting in at the ground floor of a potentially massive growth stock, I strongly suggest listening to this business update: services.choruscall.com/mediaframe/webcast.html?webcastid=sN4lWhr7CoH (Pro Forma): $17.4M o/s (Pro Forma - fully diluted): 35.9M Market cap (current): $230M ($8.65 pps) As always please don't listen to me and do your own DD.
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Post by JHam on Jun 2, 2021 6:01:56 GMT
This is the Scout system that ONDS just acquire. Like something out of The Terminator 3.
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Post by JHam on Jun 2, 2021 6:03:53 GMT
A little blurry, but this slide breaks down that $100B TAM:
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Post by lcd on Jun 3, 2021 13:39:41 GMT
This is a really interesting company JHam. Thanks for sharing. My company might be able to leverage their services so I am going to investigate more for professional reasons, not necessarily investment reasons, but will share anything of interest I discover.
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Post by JHam on Jun 3, 2021 14:59:22 GMT
This is a really interesting company JHam. Thanks for sharing. My company might be able to leverage their services so I am going to investigate more for professional reasons, not necessarily investment reasons, but will share anything of interest I discover. Wow, great. Thank you. I’d love to know anything more you might learn about them. I had pretty much decided to start preserving cash/rolling some cash into holdings that would act as a hedge against any future inflation. After I learned about this company (still lots more to learn) I changed my strategy a bit. Inflation is inflation, but the potential upside with some of these growth tech stocks is too good to ignore. It may take some time, but it was hard not listen to that call and hear them talk about all of these Fortune 500 companies who they are already in talks with and not get excited.
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Post by JHam on Jun 4, 2021 0:02:08 GMT
Darnit, I added today in the low $8s but knew I should have bought more. I hope I’m not chasing tomorrow.
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Post by JHam on Jun 4, 2021 18:07:34 GMT
I added again today. This time average up. Cost basis is now at $9 exactly. I won’t add more unless/until it goes under $9 again.
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Post by JHam on Jun 8, 2021 6:59:15 GMT
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Post by JHam on Jun 8, 2021 23:53:56 GMT
For those who didn’t buy this yet, well done: www.businesswire.com/news/home/20210608006075/en/Ondas Holdings Inc. Announces Proposed Public Offering of Common Stock
I had a feeling they’d do a raise. Oh well. Thank god my position now is still relatively small. Down to $7.50 AH. I think it’s entirely possible that the stock will rally here once it is out of the way.
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Post by JHam on Jun 9, 2021 3:24:31 GMT
That was fast: www.businesswire.com/news/home/20210608006191/en/Ondas Holdings Inc. Prices $44.8 Million Public Offering of Common StockJune 08, 2021 10:47 PM Eastern Daylight Time
NANTUCKET, Mass.--(BUSINESS WIRE)--Ondas Holdings Inc. (NASDAQ: ONDS), a developer of proprietary, software-based wireless broadband technology for large established and emerging industrial markets, announced today that it has priced its underwritten public offering of 6,400,000 shares of its common stock at a public offering price of $7.00 per share. Ondas expects the gross proceeds from this offering to be $44,800,000, before deducting the underwriting discount and other estimated offering expenses. Ondas intends to use the net proceeds from this offering for working capital and general corporate purposes. Ondas has granted the underwriters a 30-day option to purchase up to 960,000 additional shares of its common stock. Ondas expects to close the offering, subject to customary conditions, on or about June 11, 2021.
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Post by JHam on Jun 9, 2021 11:53:42 GMT
Right after the closing bell yesterday, in their first PR, they said this:
The offering is subject to market conditions, and there can be no assurance as to whether or when the offering may be completed, or as to the actual size or terms of the offering. Ondas intends to use the net proceeds from the proposed offering for working capital and general corporate purposes.
Nothing unusual and typical language. Then literally 7 hours later, they posted the 2nd PR announcing the details of the deal and that it would close on June 11th. That is some super fast action. Am I dreaming here to think that they had someone lined up, but after news got out others wanted in and it got fully subscribed in a hurry...?
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Post by JHam on Jun 9, 2021 12:06:19 GMT
My back of the napkin math says that after the closing of this offering and after the acquisition of AR is complete in Q3 the financials will look something like this:
Cash/total assets: $62.2M o/s: 43.2M
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Post by lcd on Jun 9, 2021 12:17:13 GMT
Right after the closing bell yesterday, in their first PR, they said this: The offering is subject to market conditions, and there can be no assurance as to whether or when the offering may be completed, or as to the actual size or terms of the offering. Ondas intends to use the net proceeds from the proposed offering for working capital and general corporate purposes.Nothing unusual and typical language. Then literally 7 hours later, they posted the 2nd PR announcing the details of the deal and that it would close on June 11th. That is some super fast action. Am I dreaming here to think that they had someone lined up, but after news got out others wanted in and it got fully subscribed in a hurry...? It definitely seems like something changed significantly between PRs. With infrastructure as a product, they need a significant cushion of money to ensure clients they will be around. Hopefully, this helps generate new clients.
I haven't bought any shares, but I did send the company info to the VP of IT and one of our Network Engineers. Still waiting to hear back from them on potentially becoming a client.
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Post by JHam on Jun 9, 2021 13:43:31 GMT
Right after the closing bell yesterday, in their first PR, they said this: The offering is subject to market conditions, and there can be no assurance as to whether or when the offering may be completed, or as to the actual size or terms of the offering. Ondas intends to use the net proceeds from the proposed offering for working capital and general corporate purposes.Nothing unusual and typical language. Then literally 7 hours later, they posted the 2nd PR announcing the details of the deal and that it would close on June 11th. That is some super fast action. Am I dreaming here to think that they had someone lined up, but after news got out others wanted in and it got fully subscribed in a hurry...? It definitely seems like something changed significantly between PRs. With infrastructure as a product, they need a significant cushion of money to ensure clients they will be around. Hopefully, this helps generate new clients.
I haven't bought any shares, but I did send the company info to the VP of IT and one of our Network Engineers. Still waiting to hear back from them on potentially becoming a client.
Cool! Let us know if anything comes of it. allsystemsgo over at ST, who is someone I follow and generally like the stocks he follows - just posted the following: $ONDS deal was way oversubscribed. 7x. So should be lotsa buying particularly from retail which was scaled backKeep in mind that the ONDS story pre American robotics ( AR] was great. But with AR is is a grand slam home run. The drone opportunity in say 5 years is as much as $1.0 B in recurring extremely high margin revenue (72.4% cf margin see slides from recent CC) that will deserve 10-20x revenue type multiple. So it sounds nuts, they gotta execute and it may never get there, but thats $10-20 B in LT value just for AR. PF for the deal and AR acquisition there are 41 mm shares - so buying stock around $7.50 is a PF MV of $300 mm. Upside, much? Plus the ONDS core biz worth a couple Billion too.Those disappointed with today action ask yourself one Q. Would you rather ONDS not buy AR and issue shares and just focus on their network buildout? (They didn’t need cash stand alone...). the answer to me is a resounding no. Buy with both hands. Be there or be square---
He told me the other day that he actually knows the CEO of ONDS. I have known him long enough to believe him when he says things like that. I imagine he got the oversubscribed info first hand. It makes sense and is what I was getting at earlier. I was hoping to pick up some bargain basement shares around or below $7, but it doesn't look like it is going to get there. Very encouraging sign for this stock.
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Post by selluwud on Jun 9, 2021 15:06:49 GMT
It definitely seems like something changed significantly between PRs. With infrastructure as a product, they need a significant cushion of money to ensure clients they will be around. Hopefully, this helps generate new clients.
I haven't bought any shares, but I did send the company info to the VP of IT and one of our Network Engineers. Still waiting to hear back from them on potentially becoming a client.
Cool! Let us know if anything comes of it. allsystemsgo over at ST, who is someone I follow and generally like the stocks he follows - just posted the following: $ONDS deal was way oversubscribed. 7x. So should be lotsa buying particularly from retail which was scaled backKeep in mind that the ONDS story pre American robotics ( AR] was great. But with AR is is a grand slam home run. The drone opportunity in say 5 years is as much as $1.0 B in recurring extremely high margin revenue (72.4% cf margin see slides from recent CC) that will deserve 10-20x revenue type multiple. So it sounds nuts, they gotta execute and it may never get there, but thats $10-20 B in LT value just for AR. PF for the deal and AR acquisition there are 41 mm shares - so buying stock around $7.50 is a PF MV of $300 mm. Upside, much? Plus the ONDS core biz worth a couple Billion too.Those disappointed with today action ask yourself one Q. Would you rather ONDS not buy AR and issue shares and just focus on their network buildout? (They didn’t need cash stand alone...). the answer to me is a resounding no. Buy with both hands. Be there or be square---
He told me the other day that he actually knows the CEO of ONDS. I have known him long enough to believe him when he says things like that. I am imagine he got the oversubscribed info first hand. It makes sense and what I was getting at earlier.I was hoping to pick up some bargain basement shares around or below $7, but it doesn't look like it is going to get there. Very encouraging sign for this stock. Picked some up today after raise news, 7.75 looked good to me. I've been watching since your first post, patience was rewarded.
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Post by JHam on Jun 9, 2021 15:18:01 GMT
Cool! Let us know if anything comes of it. allsystemsgo over at ST, who is someone I follow and generally like the stocks he follows - just posted the following: $ONDS deal was way oversubscribed. 7x. So should be lotsa buying particularly from retail which was scaled backKeep in mind that the ONDS story pre American robotics ( AR] was great. But with AR is is a grand slam home run. The drone opportunity in say 5 years is as much as $1.0 B in recurring extremely high margin revenue (72.4% cf margin see slides from recent CC) that will deserve 10-20x revenue type multiple. So it sounds nuts, they gotta execute and it may never get there, but thats $10-20 B in LT value just for AR. PF for the deal and AR acquisition there are 41 mm shares - so buying stock around $7.50 is a PF MV of $300 mm. Upside, much? Plus the ONDS core biz worth a couple Billion too.Those disappointed with today action ask yourself one Q. Would you rather ONDS not buy AR and issue shares and just focus on their network buildout? (They didn’t need cash stand alone...). the answer to me is a resounding no. Buy with both hands. Be there or be square---
He told me the other day that he actually knows the CEO of ONDS. I have known him long enough to believe him when he says things like that. I am imagine he got the oversubscribed info first hand. It makes sense and what I was getting at earlier.I was hoping to pick up some bargain basement shares around or below $7, but it doesn't look like it is going to get there. Very encouraging sign for this stock. Picked some up today after raise news, 7.75 looked good to me. I've been watching since your first post, patience was rewarded. Thanks for the company This one could require some patience, but I really do feel we are getting in on the ground floor here. I added a bit at $7.80 and have some other orders in lower than that.
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Post by lcd on Jun 9, 2021 18:18:09 GMT
I also started a small position today at $7.80. Thanks for sharing the research on this one JHam.
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Post by JHam on Jun 9, 2021 23:24:04 GMT
I also started a small position today at $7.80. Thanks for sharing the research on this one JHam. Awesome! I was hoping to at least double my position at these prices today, but I am spread a bit thin at the moment. Pretty remarkable recovery today given the $7 pricing, which was way too low in my opinion. Looks like the theory that investors were chomping at the bit to participate and it over subscribing was correct.
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Post by JHam on Jun 9, 2021 23:30:42 GMT
5.6M shares traded today and it ended down only 7%. Even spiked to $8.91 towards the end of the day. Super bullish sign imo.
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Post by JHam on Jun 14, 2021 15:26:19 GMT
Averaged down again today at $8.11.
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