Red Cat (NASDAQ:RCAT) Shares Up 2.6% – Here’s Why

Shares of Red Cat Holdings, Inc. (NASDAQ:RCAT) were up 2.6% during trading on Thursday . The stock traded as high as $8.12 and last traded at $8.03. 8,017,233 shares changed hands during mid-day trading, a decline of 44% from the average daily volume of 14,395,209 shares. The stock had previously closed at $7.83.

Analyst Ratings Changes

A number of research analysts have issued reports on RCAT shares. Roth Capital began coverage on Red Cat in a research note on Monday, June 1st. They issued a “buy” rating and a $25.00 target price for the company. HC Wainwright initiated coverage on Red Cat in a research note on Wednesday, May 27th. They issued a “buy” rating and a $20.00 price objective on the stock. Wall Street Zen lowered Red Cat from a “sell” rating to a “strong sell” rating in a research report on Saturday, July 18th. Weiss Ratings reiterated a “sell (d-)” rating on shares of Red Cat in a report on Friday, July 17th. Finally, Clear Str upgraded Red Cat to a “strong-buy” rating in a report on Wednesday, April 29th. Two investment analysts have rated the stock with a Strong Buy rating, four have assigned a Buy rating and one has issued a Sell rating to the stock. According to MarketBeat, the stock currently has a consensus rating of “Buy” and an average price target of $21.40.

Red Cat Trading Up 2.6%

The stock’s fifty day simple moving average is $10.42 and its 200-day simple moving average is $12.16. The stock has a market capitalization of $985.60 million, a PE ratio of -11.47 and a beta of 1.29.

Red Cat (NASDAQ:RCAT) last issued its quarterly earnings data on Thursday, May 7th. The company reported ($0.22) earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of ($0.12) by ($0.10). Red Cat had a negative return on equity of 35.86% and a negative net margin of 138.36%.The firm had revenue of $15.47 million during the quarter, compared to the consensus estimate of $17.63 million. The firm’s revenue for the quarter was up 849.1% on a year-over-year basis. As a group, analysts anticipate that Red Cat Holdings, Inc. will post -0.67 earnings per share for the current fiscal year.

Insider Transactions at Red Cat

In related news, Director Paul Funk II sold 165,028 shares of the firm’s stock in a transaction dated Thursday, June 11th. The shares were sold at an average price of $11.50, for a total transaction of $1,897,822.00. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. Company insiders own 12.50% of the company’s stock.

Institutional Inflows and Outflows

Hedge funds have recently bought and sold shares of the business. IFP Advisors Inc lifted its stake in Red Cat by 181.1% in the 3rd quarter. IFP Advisors Inc now owns 2,670 shares of the company’s stock worth $28,000 after purchasing an additional 1,720 shares in the last quarter. Fifth Third Bancorp purchased a new stake in Red Cat in the first quarter worth about $33,000. California State Teachers Retirement System bought a new stake in shares of Red Cat in the 2nd quarter worth approximately $34,000. NFSG Corp lifted its holdings in shares of Red Cat by 200.0% during the first quarter. NFSG Corp now owns 3,000 shares of the company’s stock valued at $39,000 after purchasing an additional 2,000 shares in the last quarter. Finally, PNC Financial Services Group Inc. increased its position in Red Cat by 294.6% during the first quarter. PNC Financial Services Group Inc. now owns 3,042 shares of the company’s stock valued at $40,000 after acquiring an additional 2,271 shares during the last quarter. 37.97% of the stock is currently owned by hedge funds and other institutional investors.

Red Cat Company Profile

Red Cat Holdings, Inc (NASDAQ: RCAT) is a technology holding company that develops and delivers advanced robotics, autonomy, and sensing solutions for defense, national security, public safety and commercial customers. Headquartered in American Fork, Utah, the company brings together a portfolio of specialized operating businesses focused on unmanned aerial systems (UAS), mission management software, precision mapping sensors and engineering services.

Through its UAS segment, Red Cat designs and manufactures small to medium-sized fixed-wing and vertical-takeoff drones that support intelligence, surveillance and reconnaissance (ISR) missions.