Red Cat (NASDAQ:RCAT) Shares Gap Up on Analyst Upgrade

Shares of Red Cat Holdings, Inc. (NASDAQ:RCAT) gapped up before the market opened on Thursday after LADENBURG THALM/SH SH upgraded the stock to a strong-buy rating. The stock had previously closed at $6.89, but opened at $7.27. Red Cat shares last traded at $7.35, with a volume of 1,181,186 shares traded.

Several other research analysts also recently issued reports on RCAT. Weiss Ratings reaffirmed a “sell (d-)” rating on shares of Red Cat in a research note on Wednesday, October 8th. Wall Street Zen downgraded shares of Red Cat from a “hold” rating to a “sell” rating in a research note on Saturday, October 4th. Finally, Needham & Company LLC reduced their price objective on shares of Red Cat from $17.00 to $12.00 and set a “buy” rating on the stock in a research note on Friday, November 14th. Two research analysts have rated the stock with a Strong Buy rating, two have assigned a Buy rating and one has assigned a Sell rating to the company’s stock. According to MarketBeat.com, Red Cat presently has a consensus rating of “Buy” and a consensus price target of $14.00.

Insider Buying and Selling

In other Red Cat news, Director Christopher R. Moe sold 10,000 shares of the stock in a transaction dated Monday, September 29th. The stock was sold at an average price of $10.91, for a total transaction of $109,100.00. Following the completion of the sale, the director directly owned 53,073 shares in the company, valued at approximately $579,026.43. This trade represents a 15.85% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is accessible through this link. Company insiders own 15.30% of the company’s stock.

Institutional Investors Weigh In On Red Cat

Several large investors have recently added to or reduced their stakes in the business. Tudor Investment Corp ET AL increased its holdings in Red Cat by 214.0% in the third quarter. Tudor Investment Corp ET AL now owns 1,277,523 shares of the company’s stock worth $13,222,000 after purchasing an additional 870,612 shares in the last quarter. IFP Advisors Inc boosted its holdings in shares of Red Cat by 181.1% during the 3rd quarter. IFP Advisors Inc now owns 2,670 shares of the company’s stock worth $28,000 after buying an additional 1,720 shares in the last quarter. CIBC Private Wealth Group LLC grew its position in shares of Red Cat by 22.2% during the 3rd quarter. CIBC Private Wealth Group LLC now owns 22,000 shares of the company’s stock worth $228,000 after buying an additional 4,000 shares during the period. CIBC Bancorp USA Inc. bought a new stake in shares of Red Cat in the 3rd quarter valued at $322,000. Finally, Captrust Financial Advisors lifted its position in shares of Red Cat by 22.6% during the 3rd quarter. Captrust Financial Advisors now owns 1,005,488 shares of the company’s stock valued at $10,407,000 after acquiring an additional 185,209 shares during the period. Institutional investors and hedge funds own 37.97% of the company’s stock.

Red Cat Stock Up 12.0%

The firm has a market capitalization of $960.94 million, a P/E ratio of -18.30 and a beta of 1.48. The company’s 50 day moving average is $9.08 and its 200-day moving average is $9.23.

Red Cat (NASDAQ:RCAT) last announced its quarterly earnings data on Thursday, November 13th. The company reported ($0.16) earnings per share for the quarter, missing the consensus estimate of ($0.07) by ($0.09). The firm had revenue of $9.65 million for the quarter, compared to analysts’ expectations of $8.18 million. On average, analysts predict that Red Cat Holdings, Inc. will post -0.5 EPS for the current fiscal year.

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.