For the patient investor: Will the defense stock that plunged 50% from its peak become an opportunity?

Next Vision, a manufacturer of cameras for drones, has fallen about 50% from its peak value of approximately NIS 36 billion after extensive sell-offs by stakeholders and Fidelity fund. Despite the decline, the company shows triple-digit revenue growth and high operating profitability, and is building international growth engines. The article examines whether this presents an opportunity for the patient investor.

Next Vision, a manufacturer of stabilized cameras for drones, has lost about 50% of its peak value of approximately NIS 36 billion in early March 2026. The sharp decline is due to cooling sentiment in the defense sector, sell-offs by founders and stakeholders totaling about NIS 1.6 billion, and a technical sale by Fidelity fund in October totaling about NIS 1.3 billion. Despite this, the company continues to grow: second-quarter revenue surged 138% to about $88.2 million, operating profitability stands at 58.8%, and its cash reserves exceed $600 million. Management raised its annual revenue forecast to $355 million. On the other hand, risks include competition from cheaper rivals, dependence on three major customers (65.9% of revenue), and negative short-term momentum. The article notes that the stock trades at a forward P/E ratio of around 22, and recommends patience for investors.

For the patient investor: Will the defense stock that plunged 50% from its peak become an opportunity?