A 'Swiss Army Knife' For The Military? Here's Why Draganfly Stock is Taking Off

Shares of drone solutions developer Draganfly Inc DPRO are surging Thursday, propelled by a combination of a new military contract and a subsequent analyst upgrade. Here’s what investors need to know.

What To Know: The rally follows Draganfly’s announcement on Wednesday that its versatile Commander3 XL (C3XL) drone was selected by a key branch of the U.S. Department of Defense.

Often called the "Swiss Army Knife" of drones for its modular design, the C3XL will be deployed for intelligence, surveillance and reconnaissance (ISR) operations. Draganfly noted the procurement, arranged through a prime contractor, involved direct collaboration with military end-users to meet specific mission needs.

CEO Cameron Chell said the selection “further validates the Commander3 XL's reliability and versatility for frontline applications.”

Building on this news, H.C. Wainwright & Co. analyst Scott Buck reiterated a ‘Buy’ rating on Draganfly stock Thursday and nearly doubled his price target, raising it from $3.50 to $6. This strong endorsement from Wall Street, following a pivotal defense contract, is likely the clear catalyst for Thursday's rally.

DPRO Price Action: According to data from Benzinga Pro, Draganfly shares closed Thursday up 39.38% to $7.22. The stock has a 52-week high of $7.31 and a 52-week low of $1.58.

Read Also: Draganfly Stock Is Moving Higher Wednesday: What’s Going On?

How To Buy DPRO Stock

By now, you're likely curious about how to participate in the market for Draganfly — be it to purchase shares, or even attempt to bet against the company.

Buying shares is typically done through a brokerage account. You can find a list of possible trading platforms here. Many will allow you to buy “fractional shares,” which allows you to own portions of stock without buying an entire share.

If you're looking to bet against a company, the process is more complex. You'll need access to an options trading platform or a broker who will allow you to “go short” a share of stock by lending you the shares to sell. The process of shorting a stock can be found at this resource. Otherwise, if your broker allows you to trade options, you can either buy a put option or sell a call option at a strike price above where shares are currently trading; either way, it allows you to profit from the share price decline.

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