Red Cat (NASDAQ:RCAT) CEO Sells $676,500.00 in Stock

Red Cat Holdings, Inc. (NASDAQ:RCAT) CEO Jeffrey Thompson sold 150,000 shares of the company’s stock in a transaction on Thursday, October 15th. The shares were sold at an average price of $4.51, for a total transaction of $676,500.00. Following the sale, the chief executive officer directly owned 11,562,202 shares in the company, valued at approximately $52,145,531.02. The trade was a 1.28% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.

Red Cat Stock Down 0.8%

NASDAQ RCAT traded down $0.04 during trading hours on Monday, hitting $4.68. 6,127,022 shares of the company were exchanged, compared to its average volume of 12,516,161. Red Cat Holdings, Inc. has a 52 week low of $4.41 and a 52 week high of $18.78. The stock has a 50-day moving average price of $7.77 and a 200 day moving average price of $9.62. The stock has a market cap of $574.42 million, a PE ratio of -5.78 and a beta of 1.51.

Red Cat (NASDAQ:RCAT) last released its earnings results on Thursday, August 6th. The company reported ($0.26) earnings per share (EPS) for the quarter, missing the consensus estimate of ($0.21) by ($0.05). Red Cat had a negative return on equity of 32.25% and a negative net margin of 136.26%. The firm had revenue of $20.20 million during the quarter, compared to the consensus estimate of $22.65 million. As a group, sell-side analysts anticipate that Red Cat Holdings, Inc. will post -0.79 earnings per share for the current year.

Institutional Trading of Red Cat

A number of institutional investors have recently bought and sold shares of RCAT. Sei Investments Co. purchased a new position in Red Cat in the first quarter valued at approximately $2,328,000. BlackRock Inc. acquired a new stake in Red Cat during the second quarter worth approximately $119,610,000. Janus Henderson Group PLC lifted its position in shares of Red Cat by 733.7% during the 1st quarter. Janus Henderson Group PLC now owns 392,808 shares of the company’s stock worth $5,141,000 after buying an additional 345,693 shares during the last quarter. Deutsche Bank AG purchased a new stake in shares of Red Cat during the 2nd quarter worth approximately $1,270,000. Finally, Van ECK Associates Corp purchased a new stake in shares of Red Cat during the 2nd quarter worth approximately $27,193,000. 37.97% of the stock is currently owned by institutional investors and hedge funds.

Wall Street Analyst Weigh In

A number of analysts recently weighed in on the stock. Zacks Research lowered shares of Red Cat from a “hold” rating to a “strong sell” rating in a research note on Monday, October 12th. Piper Sandler initiated coverage on shares of Red Cat in a research report on Wednesday, September 2nd. They set a “neutral” rating and a $9.00 target price on the stock. Needham & Company LLC reduced their price target on shares of Red Cat from $20.00 to $15.00 and set a “buy” rating for the company in a report on Friday, August 7th. Northland Securities set a $13.00 price objective on shares of Red Cat in a research note on Thursday, September 17th. Finally, Evercore initiated coverage on Red Cat in a report on Monday, August 31st. They set an “outperform” rating and a $15.00 target price for the company. Two investment analysts have rated the stock with a Strong Buy rating, five have assigned a Buy rating, one has assigned a Hold rating and two have given a Sell rating to the stock. According to data from MarketBeat, Red Cat has an average rating of “Moderate Buy” and a consensus price target of $16.71.

About Red Cat

Red Cat Holdings, Inc is a drone technology company that develops and supplies unmanned aircraft systems for defense, government, public safety and commercial applications. The company focuses on autonomous and remotely operated aerial systems designed to support intelligence, surveillance and reconnaissance missions, including operations in contested or GPS-denied environments.

Red Cat’s product portfolio includes the Teal 2 small unmanned aircraft system, a compact drone designed for close-range reconnaissance and situational awareness.