RCAT

With industrials, energy, and tech stocks undergirding an S&P 500 that is hovering near all-time highs, investors looking for high-upside companies may be resigned to more speculative plays. While it's true that some long-established firms have posted surprising rallies in recent trading sessions, a combination of consumer reticence and stretched valuations means that many go-to investments may not see much near-term growth.

The U.S. Army just crossed a threshold it has never crossed before, and one battered defense stock is suddenly the center of a sector-wide scramble to figure out what comes next.

Drone stocks are giving back a meaningful chunk of their August advance at midday Friday, even as broad equities push higher.

ONDS pairs surging revenues, a $613M backlog and a lower valuation with integration risks, while RCAT faces a steep second-half ramp.

Red Cat (NASDAQ:RCAT) shares are down 4% to $10.65 Monday afternoon, slipping despite a fresh maritime autonomy partnership announcement from the company's Blue Ops division.

Companies plan to integrate Havoc's collaborative autonomy software across Blue Ops' USV portfolio to establish operational fleets Companies plan to integrate Havoc's collaborative autonomy software across Blue Ops' USV portfolio to establish operational fleets

Red Cat Holdings maintains a bullish outlook despite mixed Q2'26 results and market hesitancy. The drone company reaffirmed FY guidance of $150–$180M revenue, but reaching this target requires a significant ramp in 2H sales. The Dept. of War is long overdue to place major drone orders while Red Cat has built a large manufacturing base to support a pipeline topping $1 billion.

Unusual Machines (NYSE:UMAC) stock is soaring 22% to $33.24 midday Friday, leading a scattered rally in domestic drone names.

President Donald Trump announced import tariffs on drones in an effort to boost U.S. manufacturing and protect national security. Shares of Unusual Machines, Red Cat, Aerovironment and Kratos all climbed.

Shares of Ondas Holdings (NASDAQ:ONDS) are down 8% at midday Thursday after the drone and counter-UAS company reported second quarter results before the open.