Unusual Machines, Inc. (UMAC) saw a notable increase in its stock price on December 18, 2024, closing at $11.60, up 3.29% from the previous day's close of $11.23. The stock opened at $12.19 and reached a high of $13.29 before pulling back, with trading volume significantly exceeding the average at 4,526,604 shares. The surge was primarily driven by Maxim Group's initiation of coverage with a buy rating and an $18 price target, citing the company's strategic positioning in the domestic drone market and potential revenue growth from military drone components. The appointment of Donald Trump Jr. to the advisory board further fueled investor interest, as his involvement is seen as a strategic advantage, particularly in light of bipartisan legislation favoring US-made drones.
The optimism surrounding Unusual Machines is bolstered by expectations of substantial sales in the military drone sector by the end of the fiscal year. Analysts project a 98% revenue increase in 2025, driven by the company's focus on US-made drones and the anticipated impact of political shifts. The addition of the CEO from Red Cat Holdings to the board is expected to enhance the company's position in the military market.