Red Cat (NASDAQ:RCAT) Trading Down 8.6% – Time to Sell?

Red Cat Holdings, Inc. (NASDAQ:RCAT) traded down 8.6% during trading on Monday . The company traded as low as $11.18 and last traded at $11.59. 15,287,313 shares changed hands during trading, a decline of 8% from the average session volume of 16,686,357 shares. The stock had previously closed at $12.68.

Analyst Ratings Changes

RCAT has been the topic of several research analyst reports. Wall Street Zen raised shares of Red Cat from a “sell” rating to a “hold” rating in a research report on Saturday, March 21st. Needham & Company LLC upped their price target on shares of Red Cat from $16.00 to $20.00 and gave the stock a “buy” rating in a research report on Thursday, March 19th. Weiss Ratings reaffirmed a “sell (d-)” rating on shares of Red Cat in a research note on Thursday, January 22nd. Northland Securities set a $22.00 price target on shares of Red Cat in a report on Tuesday, January 20th. Finally, LADENBURG THALM/SH SH upped their price objective on Red Cat from $15.00 to $20.00 and gave the stock a “buy” rating in a report on Tuesday, March 3rd. Two equities research analysts have rated the stock with a Buy rating and one has given a Sell rating to the stock. Based on data from MarketBeat, the company presently has an average rating of “Hold” and an average price target of $20.67.

Red Cat Stock Performance

The company has a market capitalization of $1.40 billion, a PE ratio of -15.45 and a beta of 1.53. The business has a fifty day moving average price of $14.05 and a 200 day moving average price of $11.41.

Red Cat (NASDAQ:RCAT) last issued its earnings results on Wednesday, March 18th. The company reported ($0.17) earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of ($0.14) by ($0.03). The firm had revenue of $26.24 million for the quarter, compared to analysts’ expectations of $24.50 million. Red Cat had a negative return on equity of 38.86% and a negative net margin of 176.96%. Research analysts forecast that Red Cat Holdings, Inc. will post -0.5 earnings per share for the current fiscal year.

Institutional Investors Weigh In On Red Cat

Several large investors have recently made changes to their positions in the business. Bank of America Corp DE raised its stake in shares of Red Cat by 407.0% in the 4th quarter. Bank of America Corp DE now owns 3,397 shares of the company’s stock valued at $44,000 after acquiring an additional 2,727 shares during the period. Royal Bank of Canada increased its holdings in Red Cat by 76.4% in the 1st quarter. Royal Bank of Canada now owns 57,800 shares of the company’s stock valued at $340,000 after purchasing an additional 25,031 shares in the last quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. raised its position in Red Cat by 63.6% in the first quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 229,259 shares of the company’s stock valued at $1,348,000 after purchasing an additional 89,095 shares during the period. Goldman Sachs Group Inc. raised its position in Red Cat by 28.7% in the first quarter. Goldman Sachs Group Inc. now owns 266,099 shares of the company’s stock valued at $1,565,000 after purchasing an additional 59,334 shares during the period. Finally, Geode Capital Management LLC lifted its stake in shares of Red Cat by 142.7% during the second quarter. Geode Capital Management LLC now owns 1,656,720 shares of the company’s stock worth $12,063,000 after purchasing an additional 974,121 shares in the last quarter. Institutional investors and hedge funds own 37.97% of the company’s stock.

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.