AI and Defense Stock Winning Combo - Palladyne AI Corp. (NASDAQ: PDYN) Makes Nasdaq Top Gainer List on 4th Quarter News

2026-03-05 11:35:00 ET

AI and Defense Stock Winning Combo - Palladyne AI Corp. (NASDAQ: PDYN) Makes Nasdaq Top Gainer List on 4th Quarter News

Published on Mar 05, 2026

( Investorideas.com Newswire) a go-to platform for big investing ideas, including AI and defense stocks issues a news and trading alert for Palladyne AI Corp. (NASDAQ: PDYN), a U.S.-based defense and industrial technology company delivering embodied AI-powered collaborative autonomy solutions, advanced avionics, precision-manufactured components, UAVs, and advanced aerospace engineering services.

The stock makes the Nasdaq top gainers list following 4th quarter news . The stock is trading at $9.37, up $1.94, gaining 26.14% as of this report.

AI news summary

Palladyne AI Corp. (NASDAQ: PDYN) released its Q4 and full-year 2025 financial results on March 5, 2026.The company highlighted a significant transformation in 2025, driven by November acquisitions (GuideTech, Warnke Precision Machining, and MKR Fabricators), which expanded its capabilities into advanced avionics, engineering services, proprietary airframe/missile development, and certified U.S. manufacturing. It also launched Palladyne Defense, commercially released Palladyne IQ 2.0 (with the first customer signed), introduced IntelliSwarm technology, demonstrated collaborative autonomy demos, and built space domain presence through partnerships like with the Air Force Research Laboratory.Financially, Q4 2025 revenue rose 118% year-over-year to $1.7 million (from $0.8 million in Q4 2024), beating expectations. (Full-year 2025 revenue details were not emphasized, but prior trailing figures showed ongoing losses typical for a growth-stage defense/AI firm.)The company reiterated its ambitious 2026 revenue guidance of $24–$27 million, implying 357%–415% year-over-year growth. Its backlog grew more than 30% since year-end 2025, reaching nearly $18 million by mid-Q1 2026.CEO Ben Wolff described 2025 as a year of "operational validation" and "structural transformation," positioning Palladyne AI as a more integrated defense and industrial tech player with an autonomy-to-manufacturing stack aligned with evolving U.S. defense priorities.Overall, the update focuses on strategic repositioning, strong backlog momentum, and high growth expectations for 2026 rather than dwelling on 2025's bottom-line losses.

Palladyne AI Corp. (NASDAQ: PDYN) today announced financial results for the fourth quarter and full year ended December 31, 2025.

Ben Wolff, President and Chief Executive Officer of Palladyne AI, commented:

"2025 was a year of operational validation that culminated in structural transformation. In November, we completed the acquisitions of GuideTech, Warnke Precision Machining and MKR Fabricators and launched Palladyne Defense. That repositioning expanded our capabilities beyond autonomy software to include advanced avionics, engineering services, proprietary airframe and missile development and certified U.S.-based manufacturing. We exited 2025 as a fundamentally different company, with expanded backlog, deeper defense engagement and an integrated autonomy-to-manufacturing stack aligned with evolving Department of War priorities."

"Over the past few months, we have moved decisively to execute across the defense and commercial parts of our business. We commercially released Palladyne IQ 2.0, integrating feedback from potential customers into its development, and recently signed our first customer for the product. We also introduced IntelliSwarm, integrating SwarmOS into the BRAIN X2 flight module, and demonstrated collaborative autonomy between our recently branded Gremlin-X™ (formerly Project Banshee) platform running IntelliSwarm and multiple Red Cat platforms operating with SwarmOS, validating distributed, multi-platform collaboration in real-world environments."

"We also established our presence in the space domain. Through our satellite-related development work with the Air Force Research Laboratory, we are extending SwarmOS capabilities to integrate communications with space-based systems. Separately, our engagement with Portal Space Systems advances propulsion design for next-generation space platforms and establishes a foundation for potential future collaboration surrounding collaborative autonomy."

Recent Strategic and Operational Highlights

• Launched Palladyne Defense following the acquisitions of GuideTech, Warnke Precision Machining and MKR Fabricators, integrating autonomy software, advanced avionics engineering and design, components, proprietary UAVs and missile systems, and certified U.S.-based manufacturing.
• Commercially released Palladyne IQ 2.0 and signed an initial customer following customer-driven refinement throughout 2025.
• Hired Matt Muta as President of Commercial and Industrial to focus on capturing commercial opportunities.
• Branded Project Banshee (next-generation autonomous UAV mini-bomber platform currently under development) as Gremlin-X.
• Demonstrated collaborative autonomous swarming between the Gremlin-X platform utilizing IntelliSwarm, and multiple Red Cat platforms operating with SwarmOS.
• Expanded into the space domain through satellite-related development work with the Air Force Research Laboratory and propulsion design engagement with Portal Space Systems.
• Progressed development milestones across Gremlin-X and new BRAIN variants.
• Secured missile propulsion subsystem contract from a new defense prime customer.
• Strengthened intellectual property portfolio through a new patent issuance supporting advanced swarming and decentralized autonomy architectures and filed four new patent applications related to Palladyne’s AI software products and technologies.

Fourth Quarter 2025 Financial Highlights (vs. fourth quarter 2024)

• Revenue increased 118% to $1.7 million compared to $0.8 million.
• Operating loss of ($9.3) million compared to ($6.5) million.
• GAAP net loss and basic and diluted loss per share (EPS) of ($1.5) million, and ($0.04), compared to ($53.0) million, and ($1.75).
• Non-GAAP net loss and non-GAAP EPS of ($6.9) million and ($0.16), compared to ($5.2) million and ($0.17).
• Cash equivalents and marketable securities totaled $47.0 million at December 31, 2025.
• The backlog as of December 31, 2025, was $13.5 million.

Full news

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