Safe Pro Group Inc. (NASDAQ: SPAI) received an upgraded price target from $8 to $12 in an updated research report from Litchfield Hills Research, which maintained its Buy rating on the AI-powered defense and security solutions provider. The upward revision reflects reduced perceived risk following the company's recent collaborations with defense sector partners including Ondas, Unusual Machines, and Red Cat Holdings.
The most significant development driving the improved valuation is Safe Pro Group's deal to integrate its AI-driven explosive detection technology into Red Cat's Black Widow drones. This partnership demonstrates the practical application of Safe Pro's technology in critical defense scenarios, providing a safer and more efficient alternative to traditional human-based analysis methods for identifying explosives threats.
Litchfield Hills Research analysts lowered their discount rate based on this growing traction with defense partners, increasing confidence in future earnings potential. The company's scalable platform, built on a cloud-based ecosystem powered by Amazon Web Services (AWS), targets multiple markets including commercial, government, law enforcement, and humanitarian sectors.
Safe Pro Group's technology portfolio includes the SPOTD platform, which provides advanced situational awareness tools, along with Safe Pro AI software, Safe-Pro USA protective gear, and Airborne Response drone-based services. The company specializes in drone imagery processing using proprietary machine learning and computer vision technology that leverages commercially available off-the-shelf drones.
The full research report detailing the analysis behind the price target increase is available at https://ibn.fm/dkd9I. This upgraded valuation comes as defense technology companies continue to gain attention for their role in enhancing national security and operational efficiency through artificial intelligence applications.
