Jenna Lofton’s Top Drone Stock Picks for September 2025
Hey everyone, Jenna Lofton here again! I’m going to be brutally honest with you… I’ve been completely obsessed with the drone sector this year, and for good reason. What’s happening right now is absolutely insane, and I mean that in the best possible way.
Remember when drones were just cool toys that delivered your Amazon packages? Those days are GONE. We’re talking about a complete transformation of warfare, surveillance, agriculture, infrastructure… you name it. And after President Trump’s executive orders in June basically said “America is going all-in on drones,” this sector has gone from interesting to absolutely explosive.
The numbers don’t lie: we’re looking at 14.3% compound annual growth through 2030, but the commercial drone market? Try 20%+ growth. When you see numbers like that, you either get on the train or watch it leave the station.
Let me walk you through my absolute favorite plays right now.
AIRO Group Holdings, Inc.
Okay, confession time. I completely missed AIRO’s IPO in June, and I’m still mad about it. This thing went public at $10 and shot up 140% on the first day. FIRST DAY! You know how rare that is in today’s market?
But here’s why I’m not giving up on it: AIRO just posted Q2 numbers that made my jaw drop. Revenue jumped 151% year-over-year to $24.6 million, and they went from losing $5.6 million to making $5.9 million in profit. When a company can flip from red to black that fast, they’re doing something very, very right.
What really gets me excited is that their drones are already being used in Ukraine. Real combat, real conditions, real results. That’s not theoretical… that’s a proven product in the most demanding environment possible.
The stock’s been volatile since the IPO (surprise, surprise), but at these levels, I think we’re getting a second chance at something special.
AeroVironment, Inc.
This is my “sleep well at night” drone stock. AeroVironment isn’t some flashy startup… they’ve been making military drones since before it was cool, and they’re absolutely killing it in 2025.
The $990 million Army contract for their Switchblade drones? That’s not just revenue, that’s validation. When the Pentagon throws almost a billion dollars at your product, they’re not just buying drones… they’re buying into your entire ecosystem.
And can we talk about the Mars helicopter for a second? I mean, come on… they’re literally building aircraft for MARS exploration. If that doesn’t scream “technological leadership,” I don’t know what does.
AVAV is up 53% this year, but honestly, I think we’re just getting started. Defense spending isn’t slowing down, and these guys are at the front of the line.
Unusual Machines, Inc.
This is my “contrarian bet” that everyone’s going to kick themselves for missing. While everyone’s chasing the big names, UMAC is quietly building something really interesting in the drone controller space.
Here’s what I love: they just raised $40 million and have ZERO debt. In today’s interest rate environment, having a clean balance sheet is like having a superpower. Plus, they’re opening a drone motor factory in Orlando that’s supposed to start production this month.
The real kicker? The political winds are totally in their favor. The Drones for America Act wants to phase out Chinese components by 2028, which means companies like UMAC that manufacture domestically are about to get a massive tailwind.
Sometimes the best investments are the ones nobody’s talking about yet.
Kratos Defense & Security Solutions, Inc.
Kratos just landed a $1.5 billion defense contract… the biggest in company history. When I see numbers like that, my first thought is “okay, what do these guys know that everyone else doesn’t?”
Their Valkyrie drone is basically a wingman for fighter jets. Think about that for a minute… we’re talking about autonomous aircraft that can keep up with F-35s and provide support in combat situations. That’s not science fiction anymore, that’s happening right now.
The partnership with GE Aerospace for turbojet engines tells me they’re thinking way beyond just selling individual drones. They’re building an ecosystem, and ecosystems are what create long-term wealth.
Ondas Holdings, Inc.
I’ll admit it… Ondas wasn’t even on my radar six months ago. But sometimes the best opportunities sneak up on you when you’re not looking.
They just secured a $14.3 million order for their Optimus Systems, which might not sound huge, but for a company this size, that’s massive. What I really like is their Iron Drone Raider system… it’s basically a drone that hunts other drones. In a world where everyone’s worried about drone threats, having the counter-drone solution is pretty smart positioning.
The company expects at least $25 million in revenue this year, with most of that coming from their autonomous systems division. For a stock trading at these levels, that kind of revenue growth is exactly what I’m looking for.
Red Cat Holdings, Inc.
Red Cat is the scrappy underdog that refuses to quit. They’re ramping up production to 150 drones per month at their California facility, which tells me they’re seeing serious demand.
What I appreciate about Red Cat is their focus. They’re not trying to be everything to everyone… they’re laser-focused on small tactical drones for military and commercial use. Sometimes it’s better to dominate a niche than to fight for scraps in a massive market.
The regulatory environment is only getting better for U.S. manufacturers like Red Cat. Every policy change coming out of Washington seems designed to help companies exactly like this one.
Northrop Grumman Corporation
Look, Northrop Grumman isn’t going to double overnight, but that’s not why you buy it. You buy NOC because they’ve been building drones since the 1990s, they have contracts that run for decades, and they’re not going anywhere.
Their Global Hawk is still the gold standard for surveillance drones, and when you’re dealing with government contracts, being the established player is worth its weight in gold. Plus, the stock pays a decent dividend while you wait for the drone revolution to fully unfold.
Sometimes you need the steady Eddie in your portfolio alongside the high-flyers.
The Reality Check
Here’s the thing about drone stocks… they’re not for everyone. This sector can be volatile, it’s subject to geopolitical tensions, and regulatory changes can make or break companies overnight.
But if you can handle the volatility, the potential rewards are absolutely massive. We’re talking about a technology that’s reshaping everything from package delivery to modern warfare. The companies that win in this space aren’t just going to be good investments… they’re going to be generational wealth builders.
I’m not saying put your entire portfolio into drone stocks, but ignoring this sector completely? That’s a mistake you’ll regret in five years.
The question isn’t whether drones are the future. The question is how much of that future you want to own.
Disclaimer: I am a financial planner, not a licensed investment advisor. This is not financial advice, and you should always do your own research before making investment decisions.