Redwire (NYSE:RDW) Trading Up 15.1% – Should You Buy?

Redwire Corporation (NYSE:RDW)’s share price shot up 15.1% during mid-day trading on Thursday . The company traded as high as $22.75 and last traded at $21.4290. 74,516,984 shares were traded during mid-day trading, an increase of 142% from the average session volume of 30,796,689 shares. The stock had previously closed at $18.62.

Analyst Upgrades and Downgrades

RDW has been the subject of several research reports. Truist Financial raised shares of Redwire to a “strong-buy” rating in a research note on Friday, May 1st. Alliance Global Partners reaffirmed a “buy” rating on shares of Redwire in a research note on Wednesday, April 22nd. Weiss Ratings reiterated a “sell (d-)” rating on shares of Redwire in a report on Tuesday, April 21st. Canaccord Genuity Group lifted their price target on Redwire from $12.00 to $14.00 and gave the stock a “buy” rating in a report on Monday, May 11th. Finally, Jefferies Financial Group lowered Redwire from a “buy” rating to a “hold” rating and lifted their price target for the stock from $13.00 to $24.00 in a report on Monday. One equities research analyst has rated the stock with a Strong Buy rating, six have given a Buy rating, three have assigned a Hold rating and two have assigned a Sell rating to the stock. Based on data from MarketBeat.com, Redwire has an average rating of “Moderate Buy” and an average target price of $15.44.

Redwire Price Performance

The company has a debt-to-equity ratio of 0.08, a current ratio of 1.75 and a quick ratio of 1.37. The company has a market capitalization of $4.11 billion, a PE ratio of -8.00 and a beta of 2.92. The stock’s 50 day simple moving average is $12.36 and its 200-day simple moving average is $9.94.

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). Redwire had a negative return on equity of 11.68% and a negative net margin of 80.90%.The business had revenue of $96.97 million for the quarter, compared to analysts’ expectations of $105.94 million. During the same quarter last year, the company earned ($0.09) earnings per share. The firm’s revenue for the quarter was up 57.9% on a year-over-year basis. As a group, equities analysts forecast that Redwire Corporation will post -0.7 earnings per share for the current fiscal year.

Insider Activity at Redwire

In related news, Director Ae Red Holdings, Llc sold 7,500,000 shares of the company’s stock in a transaction that occurred on Tuesday, March 24th. The stock was sold at an average price of $9.15, for a total value of $68,625,000.00. Following the completion of the transaction, the director directly owned 36,135,217 shares of the company’s stock, valued at $330,637,235.55. This represents a 17.19% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. Insiders sold 23,327,795 shares of company stock worth $228,806,188 over the last three months. Insiders own 0.79% of the company’s stock.

Hedge Funds Weigh In On Redwire

A number of institutional investors and hedge funds have recently added to or reduced their stakes in the business. Andar Capital Management HK Ltd raised its stake in shares of Redwire by 76.5% during the third quarter. Andar Capital Management HK Ltd now owns 300,000 shares of the company’s stock worth $2,697,000 after purchasing an additional 130,000 shares during the last quarter. JPMorgan Chase & Co. raised its position in Redwire by 2,556.0% in the third quarter. JPMorgan Chase & Co. now owns 577,271 shares of the company’s stock worth $5,190,000 after acquiring an additional 555,536 shares in the last quarter. Capelight Capital Asset Management LP purchased a new position in Redwire in the fourth quarter worth $1,330,000. AE Industrial Partners LP raised its position in Redwire by 7.1% in the third quarter. AE Industrial Partners LP now owns 91,598,704 shares of the company’s stock worth $823,472,000 after acquiring an additional 6,101,959 shares in the last quarter. Finally, Mitsubishi UFJ Asset Management Co. Ltd. purchased a new position in Redwire in the fourth quarter worth $7,676,000. 8.10% of the stock is owned by institutional investors and hedge funds.

Redwire Company Profile

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.