Last week, I talked about the latest hot sector, quantum computing, and my feelings about it haven’t changed one bit.
Quantum computing stocks are going to be amazing profit opportunities for a while.
And as I told my StocksToTrade Advisory members yesterday, I’ve recently fallen in love with another sector.
Here’s what was in the headlines last Wednesday:
Unusual Machines article excerpt; The Guardian
If Donald Trump Jr.’s appointment wasn’t a catalyst for Unusual Machines Inc. (NYSE: UMAC) stock, I don’t know what is!
UMAC 5-Day, 5-Minute Candles Chart; SteadyTrade
Unsurprisingly, he set the whole sector on fire!
That’s why I’m adding drone stocks to our list of names we can’t ignore.
If there’s one sector besides quantum computing that every trader should keep an eye on right now, it’s drones.
From delivering packages to conducting precision farming, drones are reshaping industries at an astonishing pace.
So how can traders capitalize on this cutting-edge technology?
Why Are Drone Stocks a Big Deal?
Yes, Trump Jr.’s involvement with Unusual Machines put the relatively unknown company in the media spotlight and sent its stock soaring…
But there are also fundamental reasons to like this sector.
The global drone market is projected to soar to almost $60 billion by 2030.
Drone Market Projections; Drone Industry Insights
This kind of growth attracts big players and investors looking to capitalize on the next technological revolution.
Drones are no longer a novelty—they’re essential tools for logistics, agriculture, defense, and even filmmaking.
And the good news for us?
That means tons of trading opportunities.
Examples of Drone Stocks to Watch
This list includes a variety of names for different kinds of investing: day trading, swing trading, and longer-term holds
AeroVironment Inc. (NASDAQ: AVAV):
AeroVironment specializes in unmanned aircraft systems, making it a go-to name in the defense and government sectors.
Their drones are used for surveillance and reconnaissance, which are crucial in modern military operations.
The stock often responds to government contract announcements or geopolitical tensions—key catalysts you can trade around.
AVAV is a higher-priced stock, so it’s suitable for everyone. But if you’re looking for a swing trade idea, this one might be up your alley.
Kratos Defense & Security Solutions Inc. (NYSE: KTOS):
Kratos is a defense contractor with a strong foothold in drones.
Like AVAV, the company focuses on high-performance unmanned aircraft for military applications, including combat drones.
KTOS tends to pop on positive earnings reports or new project developments.
This is another swing trade stock idea.
AgEagle Aerial Systems Inc. (NYSE: UAVS):
AgEagle is an exciting player in agricultural drones, creating solutions for crop monitoring and precision farming.
They’re also branching out into delivery drones, making them a versatile stock in the drone space.
While it’s a small-cap company, UAVS can see dramatic price swings, making it an attractive target for day traders who thrive on volatility.
UAVS is on the drone stock watchlist that I shared with my StocksToTrade Advisory members.
And as a low-float stock, I like it for day trading.
One of the first things all traders should do before trading low-float stocks is to check out the float rotation.
To learn more about this metric, check out my recent blog post.
Fortunately for my STT Advisory subscribers, they can now access one of my newest tools, the Advanced Rotation Calculator (ARC).
With one click, you can see a stock’s float rotation and other data so you know if it’s the right time to hit that “buy” button.
Every STT Advisory member also gets a monthly newsletter with a list of my top picks, three weekly videos with my watchlists, bonus reports, and more.
Sign up for StocksToTrade Advisory right here!
How to Trade Drone Stocks
When trading drone stocks, do the following:
Follow the News:
Drone stocks are highly reactive to headlines. Government contracts, regulatory approvals, or major partnerships are big catalysts for these names.
Watch Volume and Volatility:
Stocks like UAVS often trade with high volatility.
While that can be risky, it also creates opportunities for short-term traders who know how to manage their risk.
Look for Related Sectors:
Don’t forget about sympathy stocks like component makers.
Companies producing drone sensors, batteries, or AI systems will likely also see price action from the drone boom.
Have the Right Tools:
To do all of the above, you’ll need a robust trading platform that keeps you on top of the news, features technical indicators, and more.
My top pick is StocksToTrade and I use it every day.
And right now, you can get two weeks of both the STT platform and our Breaking News Chat service for $17.
Grab your 14-day StocksToTrade + Breaking News Chat trial today for only $17!
.My Final Thoughts…
Drones are more than just high-tech gadgets—they’re a transformative force across multiple industries.
As a trader, your goal is to identify the companies leading the charge and trade around the catalysts driving their growth.
Whether you’re drawn to defense players like AeroVironment or volatile day-tradable stocks like AgEagle Aerial Systems, there are tons of opportunities in this space.
So start researching, build your watchlist, and keep your trading discipline sharp.
And welcome to the drone revolution!
Have a great day, everyone. See you back here tomorrow.
Tim Bohen
Lead Trainer, StocksToTrade