7 Best Small-Cap Drone Stocks to Buy Now

5. EHang Holdings Limited (NASDAQ:EH)

Market Capitalization: $1.01 Billion

No. of Hedge Fund Holders: 7

EHang Holdings Limited (NASDAQ:EH) is an investment holding company involved in the business of UAV systems and solutions. The company designs, develops, manufactures, sells, and operates Autonomous Aerial Vehicles (AAVs) and supporting systems. EHang also manages and develops passenger transportation, logistics, smart city management, and aerial media solutions.

EHang Holdings Limited (NASDAQ:EH) has gained traction following stronger-than-expected market demand for its flagship EH216-S pilotless passenger-carrying aerial vehicles and growing momentum in the company’s operations. On January 2, equities research analysts at CICC Research initiated coverage of EH and gave an Outperform rating with a price target of $18.13.

During the third quarter of 2024, the company achieved a record number of order deliveries, with 63 units of EH216-S delivered. The company posted revenue of RMB 128 million, exceeding guidance by 4% and a year-over-year growth of 347.8%. EHang Holdings Limited (NASDAQ:EH) became the first electric vertical take-off and landing aircraft (eVTOL) company to receive three airworthiness certificates for pilotless aircraft, reflecting EHang’s capabilities for mass production and deliveries.

EHang Holdings Limited is making strategic partnerships to enhance its R&D and actively expanding its operations in international markets including Brazil, Japan, and Thailand.