Eyes in the sky aren’t just for spy movies anymore. Commercial drones are now making their way into industries like agriculture and construction. They’re enabling applications like “precision agriculture,” enabling farmers to maximize yields by applying water, fertilizer, and pesticides with pinpoint accuracy. The commercial drone market is projected to grow by 13.9% annually (CAGR) over the next five years. So in this guide, we’ll cover the top commercial drone stocks, ranked by pure-play focus.
Note: This article focuses on commercial drone stocks. For military drones, see this article instead.
The main growth driver of the commercial drone market is efficiency. In agriculture, drones can survey vast fields in hours, not days, helping farmers improve crop yields and reduce resource waste. Construction sites use drones for progress tracking and safety inspections, shortening project timelines. Even insurance companies are getting in on the action, using drones for faster, safer claim assessments after natural disasters.
But it’s not all clear skies for commercial drones. Regulatory hurdles remain a significant challenge, particularly around “beyond visual line of sight” (BVLOS) operations. Current FAA regulations generally require drone operators to keep their aircraft within visual range. This severely limits the potential for long-distance applications like package delivery or pipeline inspections. While some companies have obtained waivers for BVLOS flights, widespread adoption hinges on broader regulatory reform. The industry is also grappling with concerns about airspace integration, as regulators and air traffic controllers work to safely incorporate drones into increasingly crowded skies.
Note: We make every effort to keep our info accurate and up-to-date. However, emerging tech moves fast and company situations can change overnight. This guide is an intro to the commercial drone market; but ultimately, do your own due diligence before taking action.
Tier 1: Pure-Play Commercial Drone Stocks
Pure-play commercial drone stocks are entirely focused on drones or their software and services. These companies allow investors to gain direct exposure to the sector’s growth. However, this laser focus is a double-edged sword, as these stocks are especially vulnerable to regulatory headwinds and market fluctuations.
AgEagle Aerial Systems (UAVS)
AgEagle Aerial (UAVS) leads in fixed-wing commercial drones with its regulatory advantages and ecosystem of hardware, sensors, and software.
AgEagle is a leader in fixed-wing drones, with its eBee line recognized as the #1 fixed wing drone globally. The eBee X is their flagship model, capable of flying for up to 90 minutes and covering 500 hectares in a single flight. It’s designed for precision mapping and can carry various sensor payloads. AgEagle also offers the eBee Ag for precision agriculture and the eBee GEO for surveying and GIS.
One way AgEagle stands out is through its regulatory milestones. AgEagle was the first to receive FAA approval for operations over people and moving vehicles in the United States. It was also the first to receive approval for drone operation outside line-of-sight in Europe. These wins are encouraging, because they (1) show AgEagle knows how to navigate these regulatory waters and (2) give the company runway for certain commercial applications that would be unavailable to other drone companies.
Aside from commercial drones, the company also offers sensors, software, and military-focused drones. Its sensors are integrated with over 150 different drones and featured in over 100 research publications. On the software side, its Measure Ground Control platform provides drone operations management. This diversification across hardware, sensors, software, and market verticals provides multiple avenues for growth. Do note that AgEagle has seen up and down financial performance, and is a more speculative play than some others on this list.
EHang (EH)
EHang (EH) focuses on passenger drones and has a strong position in China, the current largest market for commercial drones.
EHang is unique as a commercial drone stock due to its focus on “passenger drones.” These passenger drones, or autonomous aerial vehicles (AAVs), are used for city transportation and logistics. The company’s flagship EH216 aircraft can carry two passengers or up to 220 kg of cargo for trips up to 35 km at speeds of 130 km/h. This positions EHang as a leader in the emerging “flying taxi” and aerial logistics markets.
Beyond passenger transport, EHang is exploring various commercial applications for its AAV technology. The company has versions of the EH216 designed for aerial firefighting, high-rise building inspection, and emergency medical transport. These variants show EHang’s ability to adapt its core technology to emerging commercial and public service use cases. For example, EHang has already conducted trial flights for emergency medical services in China and tourism in Austria.
EHang is still in the early stages of commercialization, making it a speculative investment. Success in urban air mobility and aerial logistics could lead to a burst of growth. However, the company still operates at a loss as it invests in R&D and regulatory approval. Investors should also be aware of the risks associated with Chinese companies listed on US exchanges.
Draganfly (DPRO)
Draganfly (DPRO) has a 25-year history and focuses on providing customizable drone solutions for specific industries.
Draganfly stands out in the commercial drone market with its 25-year history and diverse product lineup. The company’s drones cater to a wide range of industries. Its flagship Commander 3 XL drone, for example, can carry payloads up to 22 lbs for 20 minutes. This makes it suitable for tasks like equipment inspection, aerial photography, and light cargo delivery.
One of Draganfly’s unique selling points is its focus on customizable solutions. The company offers contract engineering services, allowing clients to develop bespoke drone solutions for their specific needs. This capability, combined with Draganfly’s in-house manufacturing, allows the company to serve niche markets and adapt quickly to emerging commercial applications.
Draganfly is also making strides in the field of drone-based data collection and analysis. Its Vital Intelligence technology, for instance, uses drone-captured imagery to measure human vital signs. This has applications in disease outbreak monitoring, workplace safety, and crowd screening. Draganfly’s push into AI and data analytics is part of its efforts to move up the value chain in the drone industry. However, investors should note the company’s small size and potentially high volatility in performance.
Parrot SA (PAOTF)
Parrot SA (PAOTF) is a European leader in microdrones with advanced photogrammetry software.
Parrot is a European leader in “microdrones.” These are small, lightweight drones typically weighing less than 2 kg and measuring under 50 cm in length. Microdrones are more portable and easier to deploy, often fitting in a backpack or small case. Compared to larger commercial drones, they have shorter flight times (15-30 minutes) and smaller payloads (under 500g). However, their compact size allows them to operate in confined spaces and reduces the risk of damage in case of crashes. They often face fewer regulatory hurdles, making them more accessible for hobbyists and small businesses. Microdrones are commonly used for aerial photography and inspection.
A key differentiator for Parrot is its strong photogrammetry software offering. The company’s Pix4D suite is a leader in drone mapping and 3D modeling applications. With this technology, Parrot is currently expanding its presence in precision agriculture. The company’s Sequoia and Parrot Green sensors offer farmers tools for crop health monitoring, irrigation management, and yield optimization.
Financially, Parrot has struggled in recent years. Revenues declined from €71.9 million in 2022 to €65.0 million in 2023, and the company continues to operate at a loss. However, Parrot is taking steps to streamline operations and reduce costs. Investors should view Parrot as a turnaround story with significant execution risks in the competitive commercial drone market.
Tier 2: Drone Subsystems and Components
This tier of commercial drone stocks offers a more nuanced investment approach. These companies may not build drones, but they provide critical components. By focusing on specialized areas like autonomous systems, sensors, or imaging technology, these stocks offer exposure to the drone market while maintaining some diversification.
Volatus Aerospace Corp. (VLTTF)
Volatus Aerospace (VLTTF) is pioneering “drones as infrastructure” with 24/7 autonomous systems, focusing on drones-as-a-service.
Volatus Aerospace, recently merged with Drone Delivery Canada, focuses on end-to-end drone services. What sets Volatus apart is its “drones as infrastructure” strategy. This approach involves installing autonomous drone systems as permanent fixtures in cities, campuses, or industrial sites. Unlike drone operations that require deployment for each mission, these fixed systems can operate 24/7. This constant aerial coverage is key for use cases like security, traffic monitoring, or emergency response.
Volatus has also made significant progress on the regulatory front. It was one of the first companies to get approval for autonomous drone operations beyond visual line of sight (BVLOS) in the US. BVLOS operations are crucial for scaling up drone services, as they allow drones to fly long distances outside human vision.
The company offers a diverse range of services across civil, defense, and industrial sectors. It has over $80 million in signed drone-as-a-service agreements and a sales pipeline of $289 million. The drone-as-a-service model is especially interesting, as it lowers the barrier to entry for drone technology. Volatus is currently rolling out its Optimus drone system in major UAE cities and is expanding to the United States and other countries.
Ondas Holdings (ONDS)
Ondas Holdings Inc. (ONDS) leads in fully autonomous industrial drone systems, with FAA approvals for unmanned BVLOS operations.
Ondas Holdings targets the commercial drone market through its subsidiary, American Robotics. The company specializes in fully-automated drone systems for industrial applications. Its flagship product, the Scout System, is a “drone-in-a-box” that provides 24/7 autonomous operations. It handles everything from takeoff and landing to battery charging and data transfer, all within a protective box or hangar.
American Robotics was actually the first company to receive FAA approval for automated beyond visual line of sight (BVLOS) operations… without human observers on-site. Sounds like a mouthful, but this is a big deal in the drone industry, as most BVLOS approvals still require human observers or remote pilots. The ability to operate fully autonomously not only slashes operational costs, but it also allows drones to be deployed in remote or hazardous locations.
Ondas also offers advanced data analytics and AI-powered insights. This is valuable in industrial settings where drones collect massive amounts of data. For example, in oil and gas plants, its systems can automatically detect pipeline leaks or equipment failures. The company is also expanding into sectors like rail transport and urban security. Its focus on fully autonomous systems positions it well to capitalize on the trend towards unmanned operations.
Teledyne Technologies (TDY)
Teledyne Technologies (TDY), while fairly large and diversified, is a key player in advanced drone sensor technology.
While not a drone company, Teledyne’s imaging and unmanned systems segments play a major role in the drone ecosystem. Teledyne’s sensors are used in drones across various industries, including infrastructure, agriculture, and environment monitoring. This broad applicability gives Teledyne diverse revenue streams within the drone industry.
The company’s expertise in advanced imaging systems is key. Teledyne produces thermal cameras, multispectral sensors, and LiDAR systems that are widely used in commercial drones. These technologies enable drones to do more than simple visual inspection. For instance, thermal imaging allows drones to detect heat signatures, useful in search and rescue or identifying energy inefficiencies in buildings. Multispectral sensors can capture data across different light wavelengths, enabling applications like precision agriculture where plant health can be assessed based on light reflection patterns.
Teledyne’s size and diversification offer stability that pure-play drone companies may lack. With annual revenues exceeding $5.6 billion and a strong balance sheet, Teledyne is able to invest in R&D and pursue strategic acquisitions in the drone space. However, because drones are just one part of Teledyne’s business, its stock doesn’t provide as much direct exposure to the drone market as smaller, more focused companies.
Tier 3: Commercial Drone Enablers
The enablers in the commercial drone stock landscape provide key technological backbones for drones. These larger tech companies apply their expertise in areas like AI, 5G connectivity, and geospatial systems to unlock new possibilities for drones. While these companies offer less direct exposure to the drone market, they provide a safer way to invest in the sector’s growth.
Ambarella (AMBA)
Ambarella (AMBA) makes AI chips that enable drones to process video and make decisions in real-time.
Ambarella is known for its computer vision processors and AI-enabled system-on-chips (SoCs). These chips excel at image processing and video compression. That makes them ideal for drones that need high-quality video and real-time data processing. They allow drones to operate more autonomously, avoid obstacles, and track objects. This is crucial for vision-heavy use cases in agriculture, construction, and public safety.
Ambarella’s experience in the automotive and security camera sectors transfers to an edge in drones. This cross-industry expertise helps Ambarella tackle drone-specific challenges, like limited onboard power and the need for quick visual decision-making. As a result, Ambarella’s chips are well-suited for drones that need to process complex visual data while operating on limited power.
Trimble (TRMB)
Trimble (TRMB) combines drone technology with advanced geospatial systems for precise location data.
Trimble offers complete workflows for collecting, processing, and analyzing geospatial data. Its technology is valuable in industries where accurate location data is critical — such as surveying, construction, and precision agriculture. Trimble’s long history with construction and agriculture also means it deeply understands these industries’ needs.
What sets Trimble apart is how it combines drones with GPS, laser scanning, and photogrammetry. Its systems can create highly accurate 3D models and maps, going beyond what drone-only companies can offer. Thus, as a commercial drone stock, Trimble offers a different angle around geospatial solutions.
Qualcomm (QCOM)
Qualcomm (QCOM) provides 5G platforms that enable beyond-visual-line-of-sight operations and real-time data transmission.
Qualcomm brings its expertise in wireless communication and mobile processors to the commercial drone market. Its relevant offering is the Flight RB5 5G Platform, which combines 5G and AI for drones. The platform allows drone makers to tap into advanced connectivity and real-time data transmission — crucial for BVLOS operations like long-range inspections and emergency response.
Qualcomm’s leadership in 5G technology gives it a unique advantage. As 5G networks expand, Qualcomm-powered drones are able to use these high-speed, low-latency connections for better control and data transfer. The company’s experience in creating power-efficient mobile processors also translates to drones, where maximizing flight time is very valuable.
Nvidia (NVDA)
Nvidia (NVDA) makes GPUs and AI platforms that power autonomous drones for complex tasks like object recognition.
Nvidia’s strength lies in its powerful GPUs and AI computing platforms. The company’s Jetson line of embedded AI computers is especially well-suited for autonomous drones. These computers provide the processing power for complex tasks like simultaneous localization and mapping, object recognition, and path planning. Thus, Nvidia-powered drones are capable of advanced decision-making and adaptation to complex environments.
Nvidia’s impact on drones goes beyond hardware. For example, the Nvidia Isaac robotics platform provides tools for simulating and training autonomous systems, including drones, in virtual environments. This platform helps drone manufacturers develop and test their products more quickly and safely. Nvidia’s strong presence in related fields like autonomous vehicles and robotics also allows for the transfer of cutting-edge AI technologies to the drone industry.