Added to YB: 2026-08-27
Pitch date: 2026-08-25
EOS.AX [bullish]
Electro Optic Systems Holdings Limited
+8.18%
current return
Author Info
No bio for this author
Company Info
Electro Optic Systems Holdings Limited engages in the development, manufacture, and sale of telescopes and dome enclosures, laser satellite tracking systems, remote weapon systems, and high laser weapon.
Market Cap
AUD 2.3B
Pitch Price
AUD 10.39
Price Target
N/A
Dividend
N/A
EV/EBITDA
-149.22
P/E
-32.26
EV/Sales
8.56
Sector
Aerospace and Defense
Category
turnaround
The Drone Warfare Portfolio - Electro Optic Systems Holdings Limited
EOS.AX: Long EOS.AX (~A$2.0B mkt cap; ~6x EV/this-yr sales, in line w/ DroneShield ~7x, Kratos ~6x, modestly above AVAV ~4x). Thesis: ITAR-free counter-drone play — vehicle-mounted 30mm 'Slinger' turret (160 in Ukraine), Apollo ~100kW laser (zero US-origin content, cents-per-shot), + NiDAR C2 software (MARSS, ~£170M). Orderbook $136M→$846M in 18mo; H1'26 rev +284% YoY; FY guidance raised 3x to $280–300M core (>2x LY), mgmt guides positive underlying EBITDA H1'26; GM 48%→63%. Post-turnaround under ex-Rheinmetall exec Schwer, EM Solutions divested. Catalysts: Netherlands 1st unconditional 100kW laser order (pulled to 2027), NG/L3Harris/UAE Gen5 JV ($540M+ identified, but equity-accounted), BAE picked NiDAR; H1 results Aug 25. Risks: continuing ops lost $73.5M NPAT '25; Grizzly short (-46%), Korean $80M laser contract still unresolved/missed deadlines; moat = ~2–3yr head start, no laser patents, Iron Beam/Rheinmetall/Anduril competing. Bull rests on execution/speed + first-supplier entrenchment; re-rating potential.
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