Redwire (NYSE:RDW) Stock Price Down 11.5% – Here’s Why

Redwire Corporation (NYSE:RDW) dropped 11.5% during trading on Friday . The company traded as low as $23.00 and last traded at $22.9340. Approximately 14,114,568 shares changed hands during trading, a decline of 52% from the average daily volume of 29,428,498 shares. The stock had previously closed at $25.90.

Wall Street Analysts Forecast Growth

RDW has been the subject of a number of research reports. Zacks Research upgraded Redwire from a “strong sell” rating to a “hold” rating in a research report on Wednesday, March 11th. Truist Financial upgraded Redwire to a “strong-buy” rating in a research report on Friday, May 1st. Weiss Ratings reiterated a “sell (d-)” rating on shares of Redwire in a research report on Tuesday, April 21st. Canaccord Genuity Group increased their target price on Redwire from $12.00 to $14.00 and gave the company a “buy” rating in a research report on Monday, May 11th. Finally, Alliance Global Partners reiterated a “buy” rating on shares of Redwire in a research report on Wednesday, April 22nd. One analyst has rated the stock with a Strong Buy rating, seven have given a Buy rating, two have given a Hold rating and two have given a Sell rating to the stock. According to data from MarketBeat, the company currently has an average rating of “Moderate Buy” and an average target price of $14.22.

Redwire Stock Performance

The company has a market capitalization of $4.50 billion, a P/E ratio of -8.60 and a beta of 2.41. The business has a 50-day moving average of $11.43 and a 200-day moving average of $9.52. The company has a debt-to-equity ratio of 0.08, a current ratio of 1.75 and a quick ratio of 1.37.

Redwire (NYSE:RDW) last issued its quarterly earnings results on Wednesday, May 6th. The company reported ($0.40) earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of ($0.16) by ($0.24). The company had revenue of $96.97 million during the quarter, compared to the consensus estimate of $105.94 million. Redwire had a negative return on equity of 11.68% and a negative net margin of 80.90%.The firm’s quarterly revenue was up 57.9% compared to the same quarter last year. During the same quarter in the prior year, the business earned ($0.09) earnings per share. On average, sell-side analysts anticipate that Redwire Corporation will post -0.7 EPS for the current year.

Insider Transactions at Redwire

In related news, Director Ae Red Holdings, Llc sold 977,887 shares of the firm’s stock in a transaction on Tuesday, April 21st. The stock was sold at an average price of $10.57, for a total value of $10,336,265.59. Following the completion of the sale, the director directly owned 21,494,349 shares in the company, valued at $227,195,268.93. This trade represents a 4.35% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. Insiders sold 23,327,795 shares of company stock valued at $228,806,188 in the last ninety days. 0.79% of the stock is owned by company insiders.

Institutional Trading of Redwire

Several institutional investors and hedge funds have recently made changes to their positions in RDW. Parallel Advisors LLC bought a new stake in shares of Redwire during the first quarter worth $28,000. KBC Group NV bought a new stake in shares of Redwire during the first quarter worth $29,000. Sunbelt Securities Inc. lifted its position in shares of Redwire by 601.1% during the fourth quarter. Sunbelt Securities Inc. now owns 3,961 shares of the company’s stock worth $30,000 after purchasing an additional 3,396 shares during the last quarter. CWM LLC lifted its position in shares of Redwire by 1,725.0% during the fourth quarter. CWM LLC now owns 4,088 shares of the company’s stock worth $31,000 after purchasing an additional 3,864 shares during the last quarter. Finally, Rockefeller Capital Management L.P. lifted its position in shares of Redwire by 1,054.0% during the fourth quarter. Rockefeller Capital Management L.P. now owns 4,016 shares of the company’s stock worth $31,000 after purchasing an additional 3,668 shares during the last quarter. 8.10% of the stock is currently owned by institutional investors.

About Redwire

Redwire Corporation is a space infrastructure company specializing in the design, engineering and manufacturing of mission-critical hardware and software for the spaceflight industry. The company’s offerings include deployable structures, solar power systems, radio frequency antennas, advanced composites and transparent optics. Redwire serves a broad customer base that spans civil space agencies, national defense organizations and commercial satellite operators, helping enable missions ranging from communications and Earth observation to deep-space exploration.

Formed through the strategic combination of several specialized space technology firms, Redwire’s portfolio encompasses both flight-proven hardware and cutting-edge in-space manufacturing capabilities.