Dragonfly Energy (DFLI) Stock: Battery Maker Soars 78% on Nevada's First Tech Hub Grant

TLDR

Table of Contents

Dragonfly Energy stock surged 78.6% on Thursday after receiving funding from Nevada Tech Hub
The company secured approximately $300,000 in non-dilutive capital for facility modernization
Funding will support ISO 9001 certification, production system upgrades, and workforce development
Company expects annual cost savings in the six figures from operational improvements
Management targets positive EBITDA in the fourth quarter of 2025

Dragonfly Energy stock jumped 78.6% on Thursday and continued climbing in after-hours trading. The battery maker closed at $1.07 during regular hours. After-hours trading saw another 29% gain, pushing shares to $1.38.

The surge came after Nevada Tech Hub selected Dragonfly Energy for funding support. This marks the first round of funding distribution from the state-backed program.

The Nevada Tech Hub initiative aims to strengthen the state’s lithium battery supply chain. The program supports technology and innovation companies focused on critical materials. Dragonfly Energy’s selection represents a vote of confidence in the company’s manufacturing operations.

Dragonfly Energy has been awarded Nevada Tech Hub funding to advance battery manufacturing and workforce development. $DFLI https://t.co/OEs94NuZ5s pic.twitter.com/zby8aQnR8m
— Dragonfly Energy Corp. (@DragonflyDFLI) October 2, 2025

The grant provides approximately $300,000 in non-dilutive capital. This means existing shareholders won’t face dilution from the funding. The money will support multiple improvement projects at the company’s South Reno facility.

Dragonfly Energy specializes in lithium-ion battery packs and energy storage solutions. The company operates nearly 400,000 square feet of manufacturing space in Nevada. The facility serves as a key component of what state officials call Nevada’s “Lithium Loop.”

Production Upgrades and Certification Plans

The funding will help Dragonfly Energy pursue ISO 9001 certification. This internationally recognized standard promotes quality management and operational efficiency. Achieving certification requires systematic improvements to production processes.

The company plans to upgrade its battery manufacturing lines. These improvements will focus on automation and system controls. Enhanced production systems should increase throughput while maintaining product quality.

Dragonfly Energy expects the upgrades to generate six-figure annual cost savings. These savings will be reinvested into additional operational improvements. The company views the modernization as essential for long-term competitiveness.

CEO Dr. Denis Phares called the award an investment in both the company and Nevada’s future. He emphasized that the non-dilutive nature of the funding strengthens the company’s growth strategy. The grant allows expansion without additional shareholder dilution.

Workforce Development Initiatives

Part of the funding will support workforce training programs. Dragonfly Energy will partner with local educational institutions on these initiatives. The University of Nevada, Reno and Truckee Meadows Community College will collaborate with the company.

The programs will focus on recruiting and training skilled production staff. Target roles include machining, maintenance, and quality operations positions. These technical roles are critical for scaling battery manufacturing operations.

The workforce development aligns with Nevada Tech Hub’s broader goals. The program seeks to build regional capabilities in clean energy manufacturing. Local partnerships help ensure a steady pipeline of qualified workers.

Nevada officials emphasized that Dragonfly Energy’s growth supports supply chain resilience. The company’s expansion strengthens the state’s position in lithium battery production. This includes activities from extraction through processing and recycling.

Dragonfly Energy management expects to achieve positive EBITDA in Q4 2025. The new funding should help accelerate progress toward that target. Operational improvements from the grant could reduce costs and improve efficiency.

Wall Street analysts maintain a Moderate Buy rating on the stock based on one Buy recommendation. The average price target sits at $1.00. This target implies some downside from current trading levels but analysts note the company’s long-term growth potential in expanding markets for electric vehicles and renewable energy storage.

Stay Ahead of the Market with Benzinga Pro!

Want to trade like a pro? Benzinga Pro gives you the edge you need in today's fast-paced markets. Get real-time news, exclusive insights, and powerful tools trusted by professional traders: