Red Cat (NASDAQ:RCAT) Stock Price Down 7.2% Following Insider Selling

Shares of Red Cat Holdings, Inc. (NASDAQ:RCAT) were down 7.2% on Tuesday after an insider sold shares in the company. The stock traded as low as $12.80 and last traded at $13.07. Approximately 4,423,657 shares changed hands during trading, an increase of 90% from the average daily volume of 2,329,195 shares. The stock had previously closed at $14.09.

Specifically, Director Joseph David Freedman sold 15,000 shares of the stock in a transaction dated Monday, December 30th. The stock was sold at an average price of $14.24, for a total transaction of $213,600.00. Following the sale, the director now directly owns 585,190 shares of the company’s stock, valued at approximately $8,333,105.60. This trade represents a 2.50 % decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, insider George Michael Matus sold 309,491 shares of the company’s stock in a transaction dated Thursday, December 26th. The stock was sold at an average price of $14.27, for a total value of $4,416,436.57. Following the completion of the sale, the insider now owns 304,406 shares in the company, valued at $4,343,873.62. The trade was a 50.41 % decrease in their position. The disclosure for this sale can be found here. In other Red Cat news, insider George Michael Matus sold 72,093 shares of the company’s stock in a transaction that occurred on Tuesday, December 24th. The stock was sold at an average price of $12.10, for a total value of $872,325.30. Following the sale, the insider now owns 613,897 shares in the company, valued at approximately $7,428,153.70. This represents a 10.51 % decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through this link.

Red Cat Stock Performance

The firm’s 50 day moving average is $7.21 and its 200-day moving average is $4.08. The stock has a market capitalization of $1.03 billion, a price-to-earnings ratio of -27.93 and a beta of 1.33.

Red Cat (NASDAQ:RCAT) last posted its quarterly earnings data on Monday, December 16th. The company reported ($0.18) EPS for the quarter, missing analysts’ consensus estimates of $0.09 by ($0.27). Red Cat had a negative net margin of 162.50% and a negative return on equity of 66.19%. During the same period in the previous year, the firm earned ($0.11) earnings per share. As a group, sell-side analysts forecast that Red Cat Holdings, Inc. will post -0.39 earnings per share for the current year.

Hedge Funds Weigh In On Red Cat

Large investors have recently added to or reduced their stakes in the stock. Centiva Capital LP purchased a new stake in shares of Red Cat during the third quarter worth about $207,000. Wolverine Trading LLC purchased a new position in shares of Red Cat in the third quarter valued at approximately $233,000. Corsair Capital Management L.P. acquired a new stake in shares of Red Cat in the third quarter worth approximately $308,000. Pekin Hardy Strauss Inc. purchased a new stake in shares of Red Cat during the third quarter worth approximately $138,000. Finally, Renaissance Technologies LLC purchased a new stake in shares of Red Cat during the second quarter worth approximately $267,000. 37.97% of the stock is currently owned by institutional investors and hedge funds.

Red Cat Company Profile

Red Cat Holdings, Inc engages in the provision of various products, services, and solutions to the drone industry. The company operates through two segments: Enterprise and Consumer. It built infrastructure to manages drone fleets and fly, and provide services remotely, navigate confined industrial interior spaces and dangerous military environment.