Executives at Next Vision (TASE: NXSN), which manufactures stabilized cameras for drones, and has undergone one of the most successful IPOs in the history of the Tel Aviv Stock Exchange (TASE) (if not the most successful) have hinted repeatedly over the past year that they might list on Wall Street. In the last week, a wave of recommendations from major international investment firms has been published, suggesting that Next Vision is firmly on their radar.
For example, investment firm Needham has initiated coverage of the Israeli stock. In a recommendation published on September 11, analyst Austin Bohlig assigned the stock a "Buy" recommendation and a price target of NIS 275 - a 22% premium over the current market price.
Next Vision’s stock has in fact fallen sharply in recent months, down 42% from its peak in early March. While this decline reflected a broader cooling of the euphoria surrounding the defense sector on the TASE, it has significantly impacted Next Vision as well. The company currently trades at a market cap of NIS 21 billion, down from a peak of NIS 36 billion.
Needham initiated coverage by describing Next Vision as a leading vehicle for gaining exposure to a "super-cycle" market - a market with a long-term growth trend that shows no signs of stopping. Needham describes the UAV market as "super-cyclical" and identifies the company as a leading supplier of stabilized cameras that serve as the "eyes" of autonomous aerial vehicles, ranging from quadcopters to micro-UAVs and beyond. These are military-grade platforms used for intelligence, surveillance, and reconnaissance missions, as well as for strike operations. Assault UAVs are expendable, necessitating the repeated purchase of additional cameras.
Next Vision’s product line ranges from gimbals (mechanisms that stabilize the image) to cameras sized between one and six inches, the Needham analysts explain. They note that the systems have been combat-proven in Europe, Israel, and the Middle East, positioning Next Vision as one of the market's most cost-effective suppliers.
Needham estimates that the addressable market for gimbals and cameras for small UAVs (Groups 1-3) and precision-guided munitions totaled $2.4 billion in 2025 and will expand to $10 billion by 2031, representing an average annual growth rate of about 27%. Based on an order backlog of about $265 million as of the end of the second quarter and more than 300 customers, Needham projects that Next Vision’s revenue will surge 111% in 2026 to $355 million, with an average growth rate exceeding 38% over the next five years. The analyst anticipates that international markets will drive this growth, while the US market is identified as an additional potential growth engine. Needham further notes that an adjusted EBITDA margin exceeding 60%- higher than that of comparable defense suppliers- justifies the stock continuing to trade at a premium relative to the sector.
UBS: Next Vision stock to double within a year
Swiss bank UBS has joined Needham in issuing a positive recommendation for Next Vision. Lior Vider - an investment manager and veteran capital market analyst has said a recommendation was recently published by the Swiss investment bank. The move marks the initiation of comprehensive coverage of the company. UBS also issued a "Buy" recommendation with a much more generous target price of NIS 434 per share for the coming 12 months, representing an upside of 93% relative to the baseline price cited in the report (effectively doubling the share price). In its optimistic scenario, the UBS sets an even higher price target of NIS 682, representing an upside of over 200%.
UBS describes Next Vision as a leading global supplier of stabilized cameras for drones, tactical UAVs (Groups 1-3), and loitering munitions. It emphasizes the company’s platform-agnostic nature, meaning it benefits from surging demand regardless of which drone manufacturer wins a given tender. This drives the expectation for growth far outpacing the global market, for which the bank forecasts an annual growth rate of about 18%.
UBS’s model projects revenue to jump from $168 million in 2025 to $407 million in 2026, significantly higher than the $355 million management forecast provided by Needham. Looking further ahead, revenue is seen climbing to $810 million in 2027 and over $1.5 billion in 2030 - an average annual growth rate of 55%. The immediate growth driver is the expansion of production capacity: rising from 1,500 units per month in early 2026 to over 5,000 units by year-end, and an annual volume above 100,000 units by 2030.
For the medium-to-long term, the bank points to an upgraded product mix driven by the introduction of higher-priced systems. (Raptor 3X, Condor, and Raven), which will raise the average selling price from $12,200 to about $14,200 in 2030.
Published by Globes, Israel business news - en.globes.co.il - on September 15, 2026.
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