Red Cat (NASDAQ:RCAT) Shares Down 1.7% – Here’s What Happened

Red Cat Holdings, Inc. (NASDAQ:RCAT) dropped 1.7% during trading on Monday . The stock traded as low as $12.26 and last traded at $12.46. Approximately 10,015,349 shares traded hands during trading, a decline of 36% from the average daily volume of 15,559,760 shares. The stock had previously closed at $12.68.

Analyst Ratings Changes

RCAT has been the subject of several research reports. LADENBURG THALM/SH SH upgraded shares of Red Cat to a “strong-buy” rating in a research note on Wednesday, May 6th. Roth Mkm initiated coverage on shares of Red Cat in a research note on Monday, June 1st. They set a “buy” rating and a $25.00 price objective for the company. UBS Group initiated coverage on shares of Red Cat in a research note on Wednesday, May 27th. They set a “buy” rating for the company. Needham & Company LLC lifted their price objective on shares of Red Cat from $16.00 to $20.00 and gave the company a “buy” rating in a research note on Thursday, March 19th. Finally, Weiss Ratings reiterated a “sell (d-)” rating on shares of Red Cat in a research note on Tuesday, April 21st. Two research 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 company. Based on data from MarketBeat.com, the stock currently has a consensus rating of “Buy” and a consensus target price of $21.40.

Red Cat Stock Performance

The firm’s 50 day moving average is $11.80 and its 200-day moving average is $11.73. The stock has a market capitalization of $1.34 billion, a price-to-earnings ratio of -15.57 and a beta of 1.23.

Red Cat (NASDAQ:RCAT) last posted its earnings results on Thursday, May 7th. The company reported ($0.22) earnings per share (EPS) for the quarter, missing the consensus estimate of ($0.12) by ($0.10). Red Cat had a negative net margin of 138.36% and a negative return on equity of 35.86%. The firm had revenue of $15.47 million during the quarter, compared to analyst estimates of $17.63 million. The company’s quarterly revenue was up 849.1% on a year-over-year basis. As a group, sell-side analysts forecast that Red Cat Holdings, Inc. will post -0.68 earnings per share for the current year.

Institutional Investors Weigh In On Red Cat

Several institutional investors and hedge funds have recently added to or reduced their stakes in RCAT. Bank of America Corp DE increased its holdings in Red Cat by 407.0% in the 4th quarter. Bank of America Corp DE now owns 3,397 shares of the company’s stock worth $44,000 after acquiring an additional 2,727 shares in the last quarter. Royal Bank of Canada increased its holdings in Red Cat by 76.4% in the 1st quarter. Royal Bank of Canada now owns 57,800 shares of the company’s stock worth $340,000 after acquiring an additional 25,031 shares in the last quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. increased its holdings in Red Cat by 63.6% in the 1st quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 229,259 shares of the company’s stock worth $1,348,000 after acquiring an additional 89,095 shares in the last quarter. Goldman Sachs Group Inc. increased its holdings in Red Cat by 28.7% in the 1st quarter. Goldman Sachs Group Inc. now owns 266,099 shares of the company’s stock worth $1,565,000 after acquiring an additional 59,334 shares in the last quarter. Finally, Cetera Investment Advisers purchased a new stake in Red Cat in the 2nd quarter worth $97,000. Hedge funds and other institutional investors own 37.97% of the company’s stock.

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.