Red Cat (NASDAQ:RCAT) Stock Price Down 2.6% – Should You Sell?

Shares of Red Cat Holdings, Inc. (NASDAQ:RCAT) were down 2.6% during mid-day trading on Friday . The company traded as low as $13.52 and last traded at $13.67. Approximately 13,434,717 shares were traded during trading, a decline of 19% from the average daily volume of 16,607,613 shares. The stock had previously closed at $14.03.

Analyst Upgrades and Downgrades

RCAT has been the subject of a number of recent analyst reports. Needham & Company LLC boosted their price objective on Red Cat from $12.00 to $16.00 and gave the company a “buy” rating in a research report on Tuesday. LADENBURG THALM/SH SH raised shares of Red Cat to a “strong-buy” rating in a research note on Thursday, December 18th. Weiss Ratings restated a “sell (d-)” rating on shares of Red Cat in a research report on Wednesday, October 8th. Finally, Wall Street Zen downgraded shares of Red Cat from a “hold” rating to a “sell” rating in a report on Saturday, October 4th. Two research analysts have rated the stock with a Strong Buy rating, two have given a Buy rating and one has given a Sell rating to the company’s stock. According to data from MarketBeat.com, Red Cat has a consensus rating of “Buy” and a consensus price target of $16.00.

Red Cat Stock Performance

The company has a market cap of $1.63 billion, a PE ratio of -31.07 and a beta of 1.48. The firm’s 50 day moving average is $8.62 and its 200-day moving average is $9.55.

Red Cat (NASDAQ:RCAT) last issued its earnings results 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 during the quarter, compared to analyst estimates of $8.18 million. On average, analysts predict that Red Cat Holdings, Inc. will post -0.5 EPS for the current year.

Institutional Trading of Red Cat

Several large investors have recently added to or reduced their stakes in the stock. CoreCap Advisors LLC increased its stake in shares of Red Cat by 24.0% in the 4th quarter. CoreCap Advisors LLC now owns 10,850 shares of the company’s stock worth $86,000 after acquiring an additional 2,099 shares during the last quarter. Byrne Asset Management LLC purchased a new stake in shares of Red Cat in the fourth quarter valued at about $175,000. Wealth Management Partners LLC increased its position in Red Cat by 90.4% during the fourth quarter. Wealth Management Partners LLC now owns 20,697 shares of the company’s stock worth $164,000 after purchasing an additional 9,827 shares during the last quarter. DAVENPORT & Co LLC purchased a new position in Red Cat during the fourth quarter worth about $88,000. Finally, Dynamic Advisor Solutions LLC acquired a new position in Red Cat in the 4th quarter valued at about $99,000. 37.97% of the stock is currently owned by hedge funds and other institutional investors.

About Red Cat

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.