Billion Dollar DroneShield

Hey Superheroes,

What a rollercoaster the last week has been!

U.S. Presidential candidate Donald Trump was convicted, NVIDIA briefly surpassed Apple as the world’s second most valuable listed company, GameStop nearly doubled overnight (including the after hours market) and our local Guzman y Gomez filed for an IPO.

With the financial year coming to an end, the next few weeks are guaranteed to become even more exciting!

Here are this week’s stories.

DroneShield touches a $1 billion market cap

Arguably this year’s ASX dark horse… DroneShield has been one of Superhero’s most traded ASX stocks this year.

This week, it’s finally hit the billion dollar valuation that many other small caps can only dream to have. 

📝 Up 240% year-to-date

Aside from its astounding share price gain, DroneShield investors have also witnessed a lot of good news around it this year.

Firstly, DroneShield reported full-year net profits for the first time in its history. It jumped from a A$949k loss in FY 2022 to a A$9.33m profit last year. Its shares surged over 22% on the day this report was released last February.

Secondly, Droneshield did a A$70m capital raise in April for institutional investors. It ended up upsizing its placement to A$100m following strong demand.

Thirdly, DroneShield did another A$15m capital raise for retail investors through a Share Purchase Plan (SPP). The SPP proved popular with applications totalling to A$40m. 

🔎 What is DroneShield?

DroneShield offers AI-powered software and hardware for drone security and protection. A few examples of its products are DroneGun Tactical, a rifle that can send drones back to its starting point, and DroneSentry, which can detect and track drones.  

DroneShield’s customers include the U.S. Government and several government-related agencies.

🔦  Some other things we’re shining the Spotlight on:

• THE TAC-O THE TOWN: Guzman y Gomez has filed for an IPO that’s set to commence this coming Monday. If its capital raise remains on schedule, GYG is set to debut on the ASX on 20 June 2024 at a ~A$2.2 billion market cap.
• NVIDIA’S THIRD TRILLION: NVIDIA briefly hit a US$3 trillion market cap this week. Experts have noted that outstanding short positions on NVIDIA now stand at ~US$34 billion – double that of Apple’s and Tesla’s.
• TWO MAJOR POWERS CUT RATES: The Bank of Canada and the European Central Bank lowered their key interest rates this week. This comes ahead of U.S. inflation data and the Fed’s interest rate decision next week. The RBA is slated for its next cash rate decision on 18 June. 

The ASX will be closed on Monday in observance of the King’s Birthday public holiday. 

That’s all for this week’s Spotlight. Have a great long weekend, Superheroes!

Keep up to date by following us on Instagram, @superheroau!