Christopher Moe Sells 20,000 Shares of Red Cat (NASDAQ:RCAT) Stock

Red Cat Holdings, Inc. (NASDAQ:RCAT) Director Christopher Moe sold 20,000 shares of Red Cat stock in a transaction dated Tuesday, August 11th. The stock was sold at an average price of $10.51, for a total value of $210,200.00. Following the completion of the transaction, the director directly owned 200,502 shares of the company’s stock, valued at approximately $2,107,276.02. This represents a 9.07% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this link.

Red Cat Price Performance

Shares of Red Cat stock opened at $11.13 on Friday. Red Cat Holdings, Inc. has a 1 year low of $5.77 and a 1 year high of $18.78. The firm’s 50-day moving average is $9.51 and its 200 day moving average is $11.66. The stock has a market cap of $1.37 billion, a price-to-earnings ratio of -13.74 and a beta of 1.31.

Red Cat (NASDAQ:RCAT) last released its quarterly earnings data on Thursday, August 6th. The company reported ($0.26) earnings per share for the quarter, missing analysts’ consensus estimates of ($0.21) by ($0.05). The firm had revenue of $20.20 million for the quarter, compared to the consensus estimate of $22.65 million. Red Cat had a negative net margin of 136.26% and a negative return on equity of 32.25%. On average, equities analysts expect that Red Cat Holdings, Inc. will post -0.78 EPS for the current fiscal year.

Institutional Trading of Red Cat

Hedge funds have recently bought and sold shares of the company. Allworth Financial LP purchased a new position in Red Cat in the second quarter worth about $28,000. IFP Advisors Inc lifted its stake in shares of Red Cat by 181.1% in the 3rd quarter. IFP Advisors Inc now owns 2,670 shares of the company’s stock worth $28,000 after purchasing an additional 1,720 shares during the period. Fifth Third Bancorp purchased a new position in shares of Red Cat in the first quarter worth approximately $33,000. California State Teachers Retirement System bought a new stake in Red Cat during the second quarter valued at approximately $34,000. Finally, NFSG Corp increased its holdings in Red Cat by 200.0% during the first quarter. NFSG Corp now owns 3,000 shares of the company’s stock valued at $39,000 after buying an additional 2,000 shares during the last quarter. Hedge funds and other institutional investors own 37.97% of the company’s stock.

Analysts Set New Price Targets

A number of brokerages recently weighed in on RCAT. UBS Group assumed coverage on shares of Red Cat in a report on Wednesday, May 27th. They issued a “buy” rating for the company. Needham & Company LLC cut their target price on Red Cat from $20.00 to $15.00 and set a “buy” rating on the stock in a research note on Friday, August 7th. Wall Street Zen lowered Red Cat from a “sell” rating to a “strong sell” rating in a report on Saturday, July 18th. Clear Str upgraded Red Cat to a “strong-buy” rating in a research note on Wednesday, April 29th. Finally, Roth Capital started coverage on Red Cat in a report on Monday, June 1st. They set a “buy” rating and a $25.00 price target on the stock. Two investment analysts have rated the stock with a Strong Buy rating, four have given a Buy rating and one has assigned a Sell rating to the stock. According to data from MarketBeat, Red Cat presently has an average rating of “Buy” and an average target price of $20.40.

Trending Headlines about Red Cat

Here are the key news stories impacting Red Cat this week:

• Positive Sentiment: Red Cat is gaining alongside other domestic drone companies after reports that President Trump plans a 100% tariff on drones. Investors appear to view the measure as a potential boost for U.S.-based suppliers serving defense and government customers. Unusual Machines Soars, Red Cat Climbs and Ondas Gains on Trump’s Drone Tariff
• Positive Sentiment: The company promoted Mitch McDonald to divisional CEO of its unmanned aerial systems operations, bringing Teal Drones and FlightWave Aerospace under unified leadership. The move is intended to improve coordination, manufacturing scale and execution as defense demand grows. Red Cat Promotes Mitch McDonald to Divisional CEO of its UAS Operations
• Neutral Sentiment: Weakness in drone peer Ondas Holdings after its earnings report may create sector-wide volatility. However, Ondas’ Israeli defense tender win reinforces investor interest in the broader autonomous-defense market without providing direct revenue to RCAT. Ondas Drops After Earnings
• Negative Sentiment: Recent SEC-reported insider sales could temper enthusiasm. Director Christopher R. Moe sold a combined 30,000 shares, while Director Nicholas Reyland Liuzza Jr. sold 55,000 shares. The transactions reduced their reported holdings and may raise concerns about insider conviction, even though both directors retained substantial positions. Red Cat Director Stock Sale
• Negative Sentiment: Analysts reportedly reduced their third-quarter EPS expectations. That follows Red Cat’s latest quarterly miss, when it reported a loss of $0.26 per share versus an expected loss of $0.21 and revenue of $20.2 million versus $22.65 million expected. The company remains unprofitable, making execution and future defense orders important to the valuation.

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.