US Drone Parts Maker Stacks Up Accomplishments
Research Report

1. Unusual Machines Inc. is a billboard sponsor of Streetwise Reports and pays SWR a monthly sponsorship fee between US$3,000 and US$6,000. 
2. As of the date of this article, officers and/or employees of Streetwise Reports LLC (including members of their household) own securities of Unusual Machines Inc.  and Red Cat Holdings Inc.
3. Doresa Banning wrote this article for Streetwise Reports LLC and provides services to Streetwise Reports as an independent contractor.
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Disclosures for Litchfield Hills Research, Unusual Machines Inc., September 24, 2025

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Unusual Machines Inc. (UMAC:NYSEAMERICAN) has been "moving at the speed of crazy," its chief executive officer (CEO) Allan Evans has said in several recent investor presentations, reported Barry Sine, Litchfield Hills Research analyst, in a Sept. 24 research note.

"Collectively, we believe that these moves set the stage for a step function in growth, with enterprise revenues expected to nearly triple in 2026," Sine wrote.

82% Uplift Suggested

Litchfield Hills reiterated its US$20 per share target price on the U.S. drone components manufacturer, trading at the time of Sine's report at US$11 per share, the analyst noted. The difference between these prices implies a potential return for investors of 82%.

Unusual Machines remains a Buy.

The Florida-based defense company has 30.1 million shares outstanding. Its market cap is US$126.3 million (US$126.3M). Its 52-week range is US$1.28–23.62 per share.

Recent Accomplishments

Sine reported the highlights of what Unusual Machines' achieved over the past few weeks.

Two Deals Done: One was an US$8M co-investment with Ondas Holdings Inc. (ONDS:NASDAQ) in SafePro Group Inc. (SPAI:NASDAQ) whose artificial intelligence-driven vision systems, being used in Ukraine for land mine detection, are expected to be integrated into UMAC's camera and goggle platforms. The other deal, also an US$8M co-investment with Ondas, was in LightPath Technologies Inc. (LPTH:NASDAQ), whose optical and infrared components complement UMAC's imaging product line.

Acquisition Closed: Unusual Machines' US$7M acquisition of Rotor Lab in Australia closed. Rotor Lab's CEO now is leading UMAC's motor division.

"Rotor Lab's expertise accelerates UMAC's vertical integration in motors, a critical differentiator for drone performance and supply chain resilience," Sine wrote.

Motor Factory Opened: The company opened its new, 17,000-square-foot drone motor manufacturing facility on schedule, and produced its first units this month. By January 2026, the plant is expected to produce 50,000 motors per month, potentially generating US$30M in annualized revenue.

"The company has shared imagery of the advanced machinery now online, underscoring execution capability," the analyst added.

Headset Factory Planned: In response to customers' request, Unusual Machines plans to open another new factory in the U.S., this one dedicated to headsets. Notably, SafePro and LightPath have technology that can be incorporated into headsets. UMAC hired another experienced industry executive to lead the headset division.

Enterprise Orders Secured: New orders included a US$1.6M contract for goggles and cameras.

Retail Sales Made: UMAC booked more than 7,000 Brave F7 controllers having a total retail value of US$4.6M. Management expects additional large components orders on the horizon and two new Blue List products in Q4/25.

Balance Sheet Improved: The company has US$80M in cash after its capital raise in July. It has zero debt. Sine noted that this affords UMAC significant flexibility to scale production, fund research and development, and pursue additional strategic acquisitions.

"While current revenues remain below break even, operating leverage should shift the company toward profitability as sales volumes surpass fixed costs in 2026," Sine wrote.

Expanded Staff: UMAC more than doubled its headcount.

2025, 2026 Revenue Forecasts

Sine provided updated financial forecasts for Unusual Machines for this year and next, highlighting that the company continues to build revenue momentum. Litchfield Hills forecasts full-year 2025 enterprise revenue of US$3.5M. UMAC's US$1.6M goggle and camera order supports Litchfield Hills' revenue estimates for the next three quarters. Add the revenue from the Brave F7 controller orders, and this should meet or exceed Litchfield Hills' US$2.5M enterprise revenue forecast for H2/25.

For UMAC in 2026, Litchfield Hills forecasts US$13.5M in enterprise revenue, almost three times more than its enterprise revenue projection for this year.

"Importantly, this growth is diversified across at least four major customers—including former parent Red Cat Holdings Inc. (RCAT:NASDAQ)—with two additional Blue List–approved products (a speed controller and first-person view camera) expected to be launched in Q4/25," wrote Sine.