Red Cat (NASDAQ:RCAT) Trading 14.2% Higher – Here’s What Happened

Shares of Red Cat Holdings, Inc. (NASDAQ:RCAT) rose 14.2% on Friday . The company traded as high as $9.83 and last traded at $9.49. Approximately 7,276,086 shares changed hands during trading, a decline of 32% from the average daily volume of 10,712,833 shares. The stock had previously closed at $8.31.

Red Cat Stock Up 3.9 %

The company has a debt-to-equity ratio of 0.30, a quick ratio of 0.60 and a current ratio of 1.43. The firm has a fifty day simple moving average of $9.78 and a 200-day simple moving average of $5.25. The firm has a market cap of $691.78 million, a price-to-earnings ratio of -15.98 and a beta of 1.32.

Red Cat (NASDAQ:RCAT) last posted its earnings results on Monday, December 16th. The company reported ($0.18) earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.09 by ($0.27). Red Cat had a negative return on equity of 96.00% and a negative net margin of 232.62%. During the same quarter last year, the firm posted ($0.11) EPS. As a group, sell-side analysts expect that Red Cat Holdings, Inc. will post -0.5 EPS for the current year.

Insider Activity

In related news, insider George Michael Matus sold 309,491 shares of the business’s stock in a transaction on Thursday, December 26th. The stock was sold at an average price of $14.27, for a total value of $4,416,436.57. Following the completion of the sale, the insider now directly owns 304,406 shares in the company, valued at $4,343,873.62. The trade was a 50.41 % decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through the SEC website. Also, Director Nicholas Reyland Liuzza, Jr. sold 328,928 shares of the company’s stock in a transaction on Wednesday, December 18th. The shares were sold at an average price of $8.29, for a total value of $2,726,813.12. Following the completion of the transaction, the director now directly owns 681,072 shares in the company, valued at approximately $5,646,086.88. This represents a 32.57 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last quarter, insiders have sold 1,930,441 shares of company stock valued at $21,099,751. 21.50% of the stock is owned by insiders.

Institutional Trading of Red Cat

Several hedge funds and other institutional investors have recently bought and sold shares of the business. U.S. Capital Wealth Advisors LLC acquired a new position in shares of Red Cat during the 4th quarter worth approximately $139,000. N.E.W. Advisory Services LLC acquired a new stake in Red Cat during the fourth quarter worth approximately $423,000. Regency Capital Management Inc. DE bought a new position in Red Cat during the 4th quarter worth $130,000. Myecfo LLC acquired a new position in Red Cat in the 4th quarter valued at $193,000. Finally, Kieckhefer Group LLC bought a new stake in shares of Red Cat during the 4th quarter valued at $296,000. Institutional investors and hedge funds own 37.97% of the company’s stock.

About Red Cat

Red Cat Holdings, Inc engages in the provision of various products, services, and solutions to the drone industry. The company operates through two segments: Enterprise and Consumer. It built infrastructure to manages drone fleets and fly, and provide services remotely, navigate confined industrial interior spaces and dangerous military environment.