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    Draganfly (CNSX:DPRO) Is Up 8.9% After Asia-Pacific Defense Collaboration News Has The Bull Case Changed?

    Simply Wall St·12/20/2025 05:30:54
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    • In December 2025, Draganfly Inc. announced a collaborative framework with Babcock International Group and CiTech International to explore multi-company defense and security initiatives across the Asia-Pacific region, following the execution of a Non-Disclosure Agreement among the parties.
    • This collaboration combines Draganfly’s NDAA-compliant unmanned aerial systems with Babcock’s mission-critical engineering and CiTech’s high-assurance digital architectures to target areas such as defense modernization, maritime and border security, disaster response, and critical infrastructure protection.
    • Next, we’ll examine how Draganfly’s focus on NDAA-compliant unmanned aerial systems within this Asia-Pacific defense collaboration shapes its investment narrative.

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    What Is Draganfly's Investment Narrative?

    To own Draganfly today, you have to believe that its niche in NDAA-compliant drones and defense-adjacent use cases can eventually justify a rich valuation and ongoing capital needs. The new Asia-Pacific framework with Babcock and CiTech fits that thesis neatly, because it aligns Draganfly with established defense contractors in a region prioritizing security resilience, without immediately changing the company’s near term financial profile. Short term, the key catalysts still look like contract wins, proof of recurring revenue, and evidence that recent financing rounds are translating into commercial traction rather than just dilution. At the same time, the going concern flag, persistent losses, and a Price-To-Sales multiple well above peers remain front-of-mind risks that this collaboration alone does not resolve.

    However, one issue in particular could materially change the risk-reward equation that investors should understand. Our comprehensive valuation report raises the possibility that Draganfly is priced higher than what may be justified by its financials.

    Exploring Other Perspectives

    CNSX:DPRO 1-Year Stock Price Chart
    CNSX:DPRO 1-Year Stock Price Chart
    Eight fair value views from the Simply Wall St Community span roughly US$2 to just over US$20, underlining how far apart expectations sit. When you set that against Draganfly’s ongoing losses and reliance on fresh equity, it is clear you are weighing very different futures for the business.

    Explore 8 other fair value estimates on Draganfly - why the stock might be worth as much as 95% more than the current price!

    Build Your Own Draganfly Narrative

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    This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.