Redwire (NYSE:RDW) Trading Down 8.7% – Should You Sell?

Redwire Corporation (NYSE:RDW)’s stock price traded down 8.7% during trading on Tuesday . The company traded as low as $13.18 and last traded at $13.5350. 45,221,712 shares were traded during mid-day trading, an increase of 40% from the average session volume of 32,192,887 shares. The stock had previously closed at $14.83.

Wall Street Analyst Weigh In

A number of equities analysts recently commented on the company. Alliance Global Partners restated a “buy” rating on shares of Redwire in a report on Wednesday, April 22nd. Canaccord Genuity Group increased their price target on Redwire from $12.00 to $14.00 and gave the company a “buy” rating in a report on Monday, May 11th. Truist Financial upgraded Redwire to a “strong-buy” rating in a report on Friday, May 1st. Zacks Research upgraded Redwire from a “strong sell” rating to a “hold” rating in a report on Wednesday, March 11th. Finally, Jefferies Financial Group upgraded Redwire to a “hold” rating in a report on Wednesday, June 10th. One 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 given a Sell rating to the company. Based on data from MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and an average target price of $15.44.

Redwire Stock Performance

The company has a debt-to-equity ratio of 0.08, a current ratio of 1.75 and a quick ratio of 1.37. The firm has a fifty day simple moving average of $13.68 and a 200 day simple moving average of $10.60. The company has a market cap of $2.60 billion, a price-to-earnings ratio of -5.05 and a beta of 2.91.

Redwire (NYSE:RDW) last posted its quarterly earnings data on Wednesday, May 6th. The company reported ($0.40) earnings per share 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 business 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 company posted ($0.09) earnings per share. The firm’s revenue was up 57.9% compared to the same quarter last year. On average, sell-side analysts expect that Redwire Corporation will post -0.76 earnings per share for the current fiscal year.

Insider Buying and Selling

In related news, Director Ae Red Holdings, Llc sold 7,500,000 shares of the firm’s stock in a transaction on Tuesday, March 24th. The stock was sold at an average price of $9.15, for a total value of $68,625,000.00. Following the completion of the transaction, the director directly owned 36,135,217 shares of the company’s stock, valued at $330,637,235.55. This trade represents a 17.19% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this hyperlink. Insiders sold 23,292,752 shares of company stock valued at $240,640,212 over the last three months. 0.79% of the stock is owned by company insiders.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently bought and sold shares of the company. Farther Finance Advisors LLC lifted its position in Redwire by 4.4% in the fourth quarter. Farther Finance Advisors LLC now owns 20,897 shares of the company’s stock worth $159,000 after purchasing an additional 877 shares during the period. Parvin Asset Management LLC lifted its holdings in shares of Redwire by 6.9% during the first quarter. Parvin Asset Management LLC now owns 17,825 shares of the company’s stock valued at $152,000 after acquiring an additional 1,150 shares during the period. Tower Research Capital LLC TRC lifted its holdings in shares of Redwire by 32.3% during the second quarter. Tower Research Capital LLC TRC now owns 6,279 shares of the company’s stock valued at $102,000 after acquiring an additional 1,533 shares during the period. Jones Financial Companies Lllp lifted its holdings in shares of Redwire by 24.0% during the third quarter. Jones Financial Companies Lllp now owns 12,617 shares of the company’s stock valued at $111,000 after acquiring an additional 2,442 shares during the period. Finally, BNP Paribas Financial Markets lifted its holdings in shares of Redwire by 12.0% during the second quarter. BNP Paribas Financial Markets now owns 30,396 shares of the company’s stock valued at $495,000 after acquiring an additional 3,248 shares during the period. 8.10% of the stock is 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.