Red Cat (NASDAQ:RCAT) Shares Gap Up – Here’s What Happened

Red Cat Holdings, Inc. (NASDAQ:RCAT)’s stock price gapped up before the market opened on Monday . The stock had previously closed at $5.66, but opened at $5.91. Red Cat shares last traded at $6.18, with a volume of 1,212,047 shares traded.

Wall Street Analyst Weigh In

A number of analysts recently commented on RCAT shares. Northland Capmk raised shares of Red Cat to a “strong-buy” rating in a report on Monday, March 10th. Northland Securities started coverage on Red Cat in a report on Tuesday, March 11th. They issued an “outperform” rating and a $13.00 price target for the company.

Red Cat Stock Performance

The company has a market cap of $519.10 million, a price-to-earnings ratio of -11.26 and a beta of 1.32. 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 stock’s fifty day simple moving average is $8.44 and its two-hundred day simple moving average is $6.60.

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

Insider Transactions at Red Cat

In related news, insider George Michael Matus sold 112,686 shares of the firm’s stock in a transaction on Wednesday, December 18th. The shares were sold at an average price of $9.20, for a total transaction of $1,036,711.20. Following the completion of the sale, the insider now directly owns 973,103 shares of the company’s stock, valued at approximately $8,952,547.60. This trade represents a 10.38 % decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, Director Joseph David Freedman sold 15,000 shares of the firm’s stock in a transaction dated Monday, December 30th. The shares were sold at an average price of $14.24, for a total value of $213,600.00. Following the sale, the director now owns 585,190 shares of the company’s stock, valued at $8,333,105.60. This represents a 2.50 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold a total of 1,930,441 shares of company stock worth $21,099,751 in the last three months. 21.50% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On Red Cat

A number of hedge funds have recently added to or reduced their stakes in the stock. Waddell & Associates LLC bought a new stake in shares of Red Cat during the fourth quarter valued at approximately $159,643,000. Vanguard Group Inc. raised its stake in Red Cat by 9.0% during the 4th quarter. Vanguard Group Inc. now owns 2,505,613 shares of the company’s stock valued at $32,197,000 after acquiring an additional 207,727 shares in the last quarter. Apis Capital Advisors LLC boosted its position in Red Cat by 61.7% during the 4th quarter. Apis Capital Advisors LLC now owns 650,000 shares of the company’s stock worth $8,352,000 after acquiring an additional 248,000 shares during the period. Geode Capital Management LLC grew its stake in shares of Red Cat by 1.8% in the fourth quarter. Geode Capital Management LLC now owns 602,596 shares of the company’s stock worth $7,747,000 after purchasing an additional 10,594 shares in the last quarter. Finally, Rockefeller Capital Management L.P. acquired a new position in shares of Red Cat during the fourth quarter valued at $6,628,000. 37.97% of the stock is currently owned by institutional investors.

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.