Ondas Holdings Inc. (ONDS) saw its stock price surge by 12.40% during the intraday session on Thursday, significantly outperforming the broader market.

The rally was driven by President Donald Trump's proposal for a $1.5 trillion defense budget for 2027, which includes substantial funding for drone makers. This announcement reversed earlier losses in the defense sector and sparked optimism among investors about increased government contracts for companies like Ondas Holdings.

The rapid rebound in defense and drone-related stocks highlights the market's sensitivity to policy statements from the incoming administration, particularly those affecting government spending in the sector.