Ventum raises price target on Volatus Aerospace to $0.50

Following a recent contract win, Ventum Capital markets analyst Rob Goff has raised his price target on Volatus Aerospace (Volatus Aerospace Stock Quote, Chart, News, Analysts, Financials TSXV:FLT).

On July 2, FLT announced it had won a $560,000 training contract with an unnamed NATO country.

“This contract highlights the trust placed in Volatus by our international clients and affirms the strategic value of our aerial intelligence capabilities,” CEO Glen Lynch said. “We are proud to contribute to the operational readiness of Canada and allied nations through the delivery of advanced drone and sensor training.”

On January 7th, the company announced another contract, this time a $1.8-million deal with another unnamed NATo country for tactical ISR drones.

In a research update to clients July 8th, Goff maintained his “Buy” rating and raised his price target on the stock from $0.32 to $0.50.

We are raising our target price to $0.50 (from $0.32) following the successful delivery of Volatus’ $1.85M NATO-aligned ISR drone contract,” the analyst explained. “The delivery provides clear evidence of the Company’s ability to meet allied defense procurement and export standards. While modest in size, the contract marks Volatus’ first publicly disclosed NATO ISR deployment and second NATO win. The contract win reinforces its credibility in bidding for larger ISR and surveillance mandates. The order also establishes a reference point for future international procurement partners. The target revision also reflects improved visibility on ISR pipeline conversion, with several near-term tenders that could materially re-rate the business and support a path to meaningful positive EBITDA in H2/25 and 2026.”

Goff thinks FLT will post EBITDA of $3.9-million on revenue of $45.3-million in fiscal 2025. He expects EBITDA of $10.7-million on a topline of $67.5-million in fiscal 2026.