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DPRO:NASDAQDraganfly Inc. Analysis

Data as of 2026-07-16 - not real-time

$4.21

Latest Price

8/10Risk

Risk Level: High

Executive Summary

Draganfly Inc. (DPRO) is trading at $4.21, well below its 20‑day SMA of 5.05 and 50‑day SMA of 5.68, indicating a bearish price trend that may be nearing a bottom. The RSI of 29.9 suggests the stock is oversold, while the MACD histogram remains negative, reinforcing short‑term downside momentum. However, the company boasts a strong cash position of $149.9 M against minimal debt ($0.23 M) and has secured a high‑visibility campus‑security drone contract, which could catalyze revenue growth. Recent fundamentals are weak – negative operating margin (‑3.3 %), profit margin (‑2.96 %), and a trailing EPS of –$0.70 – and the stock trades at a forward P/E of –8.6, reflecting earnings distress. Volatility is extreme at 78 % over the past 30 days and beta exceeds 3, signaling heightened market sensitivity. The acquisition of Skip Dynamix adds a strategic asset base, but the company continues to burn cash, with operating cash flow at –$28.2 M, making the path to profitability uncertain.

Market Outlook

Short Term

< 1 year
Positive
Model confidence: 6/10

Key Factors

  • Oversold RSI near 30 and price near support at $4.145
  • New campus‑drone readiness contract providing near‑term revenue visibility
  • Decreasing volume trend increasing execution risk

Medium Term

1–3 years
Neutral
Model confidence: 5/10

Key Factors

  • Continued cash burn and negative operating margins
  • High volatility and beta amplifying market swings
  • Integration risk of the Skip Dynamix acquisition

Long Term

> 3 years
Positive
Model confidence: 7/10

Key Factors

  • Strong cash reserves and low debt give runway for strategic investments
  • Potential upside from expanding drone services in public safety and education markets
  • Analyst price targets averaging $11.5–$12 suggest significant upside potential

Key Metrics & Analysis

Financial Health

Revenue Growth49.40%
Profit Margin-296.44%
P/E Ratio-8.6
ROE-32.03%
ROA-18.48%
Debt/Equity0.15
P/B Ratio1.4
Op. Cash Flow$-28182586
Free Cash Flow$-21528352
Industry P/E33.2

Technical Analysis

TrendBearish
RSI30.0
Support$4.14
Resistance$6.10
MA 20$5.05
MA 50$5.69
MA 200$7.10
MACDBearish
VolumeDecreasing
Fear & Greed Index91.55

Valuation

Target Price$11.56
Upside/Downside174.58%
GradeFair
TypeBlend

Risk Assessment

Beta3.31
Volatility78.71%
Sector RiskMedium
Reg. RiskMedium
Geo RiskMedium
Currency RiskLow
Liquidity RiskMedium

This analysis may contain inaccuracies and is provided for informational and research purposes only. It is not personal investment advice, a recommendation, or an instruction to buy, sell, or hold any asset.