From Yahoo Finance: 2025-06-21 07:07:00

Anduril, a unicorn defense and AI stock, reached a $1 billion valuation six years ago. Now, the company generates $1 billion in annual revenue, with privately-owned stock increasing 30-fold, aiming to IPO. Despite popularity, the high cost makes it a questionable investment. The company recently secured a $22 billion Pentagon contract.

Anduril, a rising defense and AI company, initially hit a $1 billion private market value in 2019. Recently, the company raised $2.5 billion in new funding, now valued at $30.5 billion. An IPO is on the horizon. The success of recent AI-guided drone attacks may make it a popular IPO stock, but caution is advised.

While Anduril’s growth is impressive, its $30.5 billion valuation poses investment challenges. With $1 billion in 2024 sales but no profits yet, the price-to-sales ratio is around 30.5. Comparatively, established defense stocks like AeroVironment and Karman Holdings offer lower valuations and profitability. Investing in Anduril may not be prudent.

Anduril’s success story is commendable, but caution is advised when considering investing in its stock. The company’s potential to disrupt the defense industry and improve Pentagon spending is promising, but its high valuation compared to more established defense stocks raises investment risks. Expert analysts have issued a “Double Down” stock recommendation for companies poised to pop. Nvidia saw a $1,000 investment in 2009 grow to $377,293, Apple in 2008 to $37,319, and Netflix in 2004 to $659,171. Alerts for three new companies are available through Stock Advisor for a limited opportunity.



Read more at Yahoo Finance: Pre-IPO Anduril Now Worth $30 Billion