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DroneShield Ltd (DRO) valuation

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Question asked 23/01/2026

DroneShield Ltd (DRO) valuation

Forgive me if this is a bit naive: 1. From 2017 to 2024 Droneshield has just one "Average Annual P/E Ratio" listed of 14.88 in 2023. 2. From 2017 to 2024 the company has just one "Relative P/E Ratio" listed in the same year of 106.8!! 3. Does this also mean zero revenue for the other years? Isn't this alarming? What should we make of it?

Answer

Hi David,

DRO is all about the future not the past, revenue was small in 2022 but its forecast to increase significantly over the coming years:

$16.9mn in 2022, $55.1mn in FY23, and $57.5mn in FY24.
Moving forward it’s expected to generate $213.5mn in FY25, $308mn in FY26 and $387mn in FY27.
Ongoing growth in revenue should lead to higher earnings and a lower PE in time.
On consensus profit estimates of $37m in FY25, DRO’s PE is 109x. On consensus FY26 numbers, DRO’s PE is 69x and 47x by FY27

NB DroneShield’s is a Dec year end, so we’ll get FY25 numbers on the 25th Feb

The last year has been an enormous emotional rollercoaster for DRO investors, aided by massive lifts in global defence spending and contract wins by DRO but offset by “mixed” messaging from a number of insiders.

We are not fans of DRO from an investment perspective but it’s a great trading vehicle when you get it right.

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DroneShield Ltd (DRO)

LAST UPDATED 22/01/2026 13:18

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