Red Cat (NASDAQ:RCAT) CEO Jeffrey Thompson Sells 150,000 Shares

Red Cat Holdings, Inc. (NASDAQ:RCAT) CEO Jeffrey Thompson sold 150,000 shares of the firm’s stock in a transaction that occurred on Tuesday, September 15th. The shares were sold at an average price of $7.74, for a total value of $1,161,000.00. Following the transaction, the chief executive officer directly owned 11,712,202 shares of the company’s stock, valued at approximately $90,652,443.48. This trade represents a 1.26% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.

Red Cat Stock Performance

Red Cat stock opened at $7.09 on Friday. The business’s fifty day simple moving average is $8.60 and its two-hundred day simple moving average is $10.93. Red Cat Holdings, Inc. has a 12 month low of $5.77 and a 12 month high of $18.78. The company has a market capitalization of $870.24 million, a price-to-earnings ratio of -8.75 and a beta of 1.35.

Red Cat (NASDAQ:RCAT) last released its earnings results on Thursday, August 6th. The company reported ($0.26) EPS for the quarter, missing analysts’ consensus estimates of ($0.21) by ($0.05). The company had revenue of $20.20 million during the quarter, compared to analysts’ expectations of $22.65 million. Red Cat had a negative return on equity of 32.25% and a negative net margin of 136.26%. On average, equities research analysts predict that Red Cat Holdings, Inc. will post -0.77 EPS for the current year.

Institutional Investors Weigh In On Red Cat

Several institutional investors have recently modified their holdings of RCAT. BlackRock Inc. purchased a new stake in Red Cat during the 2nd quarter valued at $119,610,000. Van ECK Associates Corp purchased a new position in shares of Red Cat in the 2nd quarter worth $27,193,000. Renaissance Technologies LLC purchased a new position in shares of Red Cat in the 1st quarter worth $18,533,000. CenterBook Partners LP boosted its stake in shares of Red Cat by 1,872.4% in the 4th quarter. CenterBook Partners LP now owns 1,105,132 shares of the company’s stock worth $8,764,000 after buying an additional 1,049,101 shares during the last quarter. Finally, AWM Investment Company Inc. bought a new stake in shares of Red Cat in the second quarter worth $9,313,000. 37.97% of the stock is owned by hedge funds and other institutional investors.

Wall Street Analysts Forecast Growth

A number of analysts have weighed in on RCAT shares. Evercore assumed coverage on shares of Red Cat in a research note on Monday, August 31st. They set an “outperform” rating and a $15.00 price objective for the company. Needham & Company LLC dropped their target price on shares of Red Cat from $20.00 to $15.00 and set a “buy” rating on the stock in a research note on Friday, August 7th. Weiss Ratings reiterated a “sell (d-)” rating on shares of Red Cat in a report on Friday, July 17th. 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 price target for the company. Finally, Wall Street Zen downgraded shares of Red Cat from a “sell” rating to a “strong sell” rating in a research report on Saturday, July 18th. Two equities research analysts have rated the stock with a Strong Buy rating, five have issued a Buy rating, one has assigned a Hold rating and one has assigned a Sell rating to the company’s stock. According to MarketBeat, the company currently has an average rating of “Moderate Buy” and an average target price of $16.71.

Red Cat Company Profile

Red Cat Holdings, Inc is a drone technology company that develops and supplies small unmanned aircraft systems for military, government, public safety and commercial applications. Its solutions are designed to support intelligence, surveillance and reconnaissance, situational awareness, and other missions requiring portable and rapidly deployable aerial systems.

Through its Teal Drones business, Red Cat offers the Teal 2 and related Black Widow systems, compact drones designed for defense and public-safety users.