Stock Market Today, Jan. 2: Here's Why Ondas Gained Over 20% This Week

Ondas (NASDAQ:ONDS), a provider of private wireless, drone, and automated data solutions, closed Friday at $11.02, up 12.91% for the session. Trading volume reached 134.2 million shares, coming in about 57% above its three-month average of 85.5 million shares.

Friday’s catalysts centered on Ondas’ rebranding and headquarters move. On Wednesday, the company also reported new defense-related orders. Investors will be watching how these shifts translate into recurring autonomous-systems revenue. Ondas IPO'd in 2020 and has grown 85% since going public.

How the markets moved today

The S&P 500 (SNPINDEX:^GSPC) added 0.19% to finish at 6,858, while the Nasdaq Composite (NASDAQINDEX:^IXIC) slipped 0.03% to 23,236. Industry peers AeroVironment (NASDAQ:AVAV) and Draganfly (NASDAQ:DPRO)both gained on the back of demand for autonomous and intelligence-driven platforms.

What this means for investors

Today follows a strong week for Ondas, which is up over 20% in the past five days. It just announced it would change its name from Ondas Holdings to Ondas Inc as part of its focus on global defense and security. In a similar vein, the company has moved its corporate headquarters to West Palm Beach, Florida, a key technology, defense, and global business hub.

Earlier this week, Ondas said its autonomous systems portfolio had received around $10 million in new orders, reflecting demand for its air and ground systems. That's on top of over $16 million in Q4 orders for an autonomous border-protection system that will deploy thousands of drones.

Emma Newbery has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends AeroVironment. The Motley Fool has a disclosure policy.