Redwire (NYSE:RDW) Shares Down 10.1% – Here’s What Happened

Redwire Corporation (NYSE:RDW)’s share price dropped 10.1% during mid-day trading on Thursday . The company traded as low as $8.36 and last traded at $8.4150. Approximately 18,300,864 shares changed hands during mid-day trading, a decline of 41% from the average daily volume of 30,977,008 shares. The stock had previously closed at $9.36.

Analysts Set New Price Targets

Several analysts have weighed in on RDW shares. Alliance Global Partners reiterated a “buy” rating on shares of Redwire in a research note on Wednesday, April 22nd. Truist Financial raised shares of Redwire to a “strong-buy” rating in a report on Friday, May 1st. Canaccord Genuity Group lifted their price target on shares of Redwire from $12.00 to $14.00 and gave the company a “buy” rating in a research report on Monday, May 11th. Jefferies Financial Group upgraded Redwire to a “hold” rating in a research note on Wednesday, June 10th. Finally, Weiss Ratings reissued a “sell (d-)” rating on shares of Redwire in a research report on Tuesday, April 21st. One equities research analyst has rated the stock with a Strong Buy rating, six have issued a Buy rating, three have assigned a Hold rating and two have issued a Sell rating to the company’s stock. According to data from MarketBeat, the company presently has an average rating of “Moderate Buy” and an average price target of $15.44.

Redwire Price Performance

The stock has a market capitalization of $2.02 billion, a price-to-earnings ratio of -3.16 and a beta of 3.01. The company has a quick ratio of 1.37, a current ratio of 1.75 and a debt-to-equity ratio of 0.08. The business’s 50 day simple moving average is $14.40 and its 200-day simple moving average is $11.34.

Redwire (NYSE:RDW) last released its earnings results on Wednesday, May 6th. The company reported ($0.40) EPS for the quarter, missing the consensus estimate of ($0.16) by ($0.24). Redwire had a negative net margin of 80.90% and a negative return on equity of 11.68%. The firm had revenue of $96.97 million during the quarter, compared to the consensus estimate of $105.94 million. During the same period in the prior year, the business earned ($0.09) earnings per share. Redwire’s quarterly revenue was up 57.9% compared to the same quarter last year. On average, research analysts forecast that Redwire Corporation will post -0.81 earnings per share for the current year.

Insiders Place Their Bets

In other Redwire news, Director Ae Red Holdings, Llc sold 1,070,565 shares of the company’s stock in a transaction on Thursday, June 11th. The stock was sold at an average price of $21.48, for a total transaction of $22,995,736.20. Following the completion of the sale, the director directly owned 1,077,419 shares in the company, valued at $23,142,960.12. This represents a 49.84% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. Insiders sold 3,814,824 shares of company stock worth $51,401,987 in the last three months. 0.79% of the stock is owned by corporate insiders.

Institutional Trading of Redwire

Institutional investors and hedge funds have recently modified their holdings of the business. JPMorgan Chase & Co. boosted its stake in shares of Redwire by 2,556.0% during the third quarter. JPMorgan Chase & Co. now owns 577,271 shares of the company’s stock valued at $5,190,000 after purchasing an additional 555,536 shares in the last quarter. Capelight Capital Asset Management LP acquired a new position in shares of Redwire in the fourth quarter valued at approximately $1,330,000. Mitsubishi UFJ Asset Management Co. Ltd. bought a new position in Redwire in the 4th quarter valued at approximately $7,676,000. Harbor Capital Advisors Inc. bought a new position in Redwire in the 4th quarter valued at approximately $497,000. Finally, UBS Group AG boosted its position in Redwire by 140.8% during the 4th quarter. UBS Group AG now owns 2,039,902 shares of the company’s stock worth $15,503,000 after buying an additional 1,192,885 shares during the period. 8.10% of the stock is currently owned by institutional investors.

About Redwire

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.