Red Cat (NASDAQ:RCAT) Shares Down 8.3% – What’s Next?

Shares of Red Cat Holdings, Inc. (NASDAQ:RCAT) dropped 8.3% during mid-day trading on Wednesday . The stock traded as low as $11.59 and last traded at $11.98. Approximately 4,935,797 shares changed hands during trading, a decline of 54% from the average daily volume of 10,782,812 shares. The stock had previously closed at $13.06.

Red Cat Stock Performance

The stock has a 50 day moving average price of $8.22 and a 200 day moving average price of $4.50. The company has a market cap of $957.92 million, a P/E ratio of -25.98 and a beta of 1.32.

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

Insider Buying and Selling

In related news, Director Nicholas Reyland Liuzza, Jr. sold 328,928 shares of the company’s stock in a transaction on Wednesday, December 18th. The stock was sold at an average price of $8.29, for a total transaction of $2,726,813.12. Following the transaction, the director now directly owns 681,072 shares of the company’s stock, valued at approximately $5,646,086.88. The trade was a 32.57 % decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, insider George Michael Matus sold 112,686 shares of the firm’s stock in a transaction dated Wednesday, December 18th. The stock was sold at an average price of $9.20, for a total value of $1,036,711.20. Following the sale, the insider now owns 973,103 shares of the company’s stock, valued at $8,952,547.60. The trade was a 10.38 % decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last quarter, insiders have sold 1,930,441 shares of company stock valued at $21,099,751. 21.50% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On Red Cat

Hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. Renaissance Technologies LLC purchased a new position in shares of Red Cat during the 2nd quarter valued at $267,000. Corsair Capital Management L.P. purchased a new position in Red Cat in the third quarter valued at about $308,000. Wolverine Trading LLC acquired a new position in Red Cat in the 3rd quarter worth about $233,000. Centiva Capital LP purchased a new stake in shares of Red Cat during the 3rd quarter worth about $207,000. Finally, State Street Corp grew its stake in shares of Red Cat by 44.9% in the 3rd quarter. State Street Corp now owns 221,958 shares of the company’s stock valued at $564,000 after buying an additional 68,800 shares in the last quarter. Hedge funds and other institutional investors own 37.97% of the company’s stock.

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.