Redwire (NYSE:RDW) Shares Down 12.4% – Should You Sell?

Redwire Corporation (NYSE:RDW)’s stock price dropped 12.4% during trading on Thursday . The company traded as low as $8.65 and last traded at $8.7850. Approximately 26,769,782 shares were traded during trading, a decline of 22% from the average daily volume of 34,465,848 shares. The stock had previously closed at $10.03.

Wall Street Analyst Weigh In

A number of brokerages have weighed in on RDW. Roth Mkm reaffirmed a “buy” rating and issued a $20.00 target price on shares of Redwire in a research note on Wednesday, January 28th. Zacks Research raised shares of Redwire from a “strong sell” rating to a “hold” rating in a report on Monday, November 10th. Weiss Ratings restated a “sell (d-)” rating on shares of Redwire in a research report on Thursday, January 22nd. Bank of America decreased their price objective on Redwire from $9.00 to $6.00 and set an “underperform” rating on the stock in a research report on Wednesday, November 19th. Finally, Truist Financial set a $13.00 target price on Redwire in a research report on Friday, January 9th. Six analysts have rated the stock with a Buy rating, three have issued a Hold rating and two have given a Sell rating to the stock. According to data from MarketBeat, the stock presently has an average rating of “Hold” and a consensus target price of $13.75.

Redwire Stock Down 12.4%

The company has a debt-to-equity ratio of 0.20, a quick ratio of 1.05 and a current ratio of 1.41. The company has a market cap of $1.45 billion, a P/E ratio of -2.77 and a beta of 2.45. The firm’s 50-day simple moving average is $8.95 and its 200 day simple moving average is $9.08.

Redwire (NYSE:RDW) last announced its quarterly earnings data on Wednesday, November 5th. The company reported ($0.29) EPS for the quarter, missing analysts’ consensus estimates of ($0.14) by ($0.15). Redwire had a negative return on equity of 16.24% and a negative net margin of 70.32%.The company had revenue of $103.43 million for the quarter, compared to analyst estimates of $132.05 million. On average, research analysts forecast that Redwire Corporation will post -0.85 earnings per share for the current fiscal year.

Insider Activity at Redwire

In other Redwire news, Director Ae Red Holdings, Llc sold 1,312,126 shares of the business’s stock in a transaction dated Monday, February 2nd. The stock was sold at an average price of $11.12, for a total value of $14,590,841.12. Following the completion of the transaction, the director directly owned 49,898,395 shares of the company’s stock, valued at approximately $554,870,152.40. The trade was a 2.56% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. In the last three months, insiders have acquired 56,065 shares of company stock valued at $330,047 and have sold 35,595,951 shares valued at $400,968,995. 2.60% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On Redwire

A number of large investors have recently bought and sold shares of RDW. DNB Asset Management AS bought a new position in shares of Redwire in the 4th quarter valued at about $2,315,000. Triton Wealth Management PLLC acquired a new position in Redwire during the fourth quarter valued at approximately $113,000. HighPoint Advisor Group LLC bought a new position in Redwire in the fourth quarter valued at approximately $103,000. Mitsubishi UFJ Asset Management Co. Ltd. bought a new position in Redwire in the fourth quarter valued at approximately $7,676,000. Finally, SBI Securities Co. Ltd. increased its position in shares of Redwire by 264.3% during the 4th quarter. SBI Securities Co. Ltd. now owns 44,765 shares of the company’s stock worth $340,000 after purchasing an additional 32,476 shares during the last quarter. Institutional investors and hedge funds own 8.10% of the company’s stock.

Redwire Company Profile

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.