Bank of America Issues Pessimistic Forecast for Redwire (NYSE:RDW) Stock Price

Key Points

• Bank of America has lowered its price target for Redwire (NYSE:RDW) from $10.00 to $9.00, maintaining an "underperform" rating, indicating a potential downside of 6.93% from the current price.
• Redwire reported a larger-than-expected loss of ($0.39) earnings per share in its last quarterly earnings, missing analysts' consensus estimates significantly.
• Despite some analysts showing optimism, with ratings ranging from "buy" to "hold", the average consensus target price for Redwire is notably lower at $17.93.

Redwire (NYSE:RDW - Get Free Report) had its price target dropped by stock analysts at Bank of America from $10.00 to $9.00 in a research note issued to investors on Friday,Benzinga reports. The firm currently has an "underperform" rating on the stock. Bank of America's target price would suggest a potential downside of 6.93% from the company's current price.

Several other equities analysts have also recently commented on the stock. Weiss Ratings reiterated a "sell (d-)" rating on shares of Redwire in a research note on Wednesday. Truist Financial set a $16.00 target price on shares of Redwire and gave the company a "hold" rating in a research note on Thursday, June 26th. Canaccord Genuity Group cut their target price on shares of Redwire from $21.00 to $17.50 and set a "buy" rating for the company in a research note on Monday, August 11th. Roth Capital reiterated a "buy" rating on shares of Redwire in a research note on Tuesday, June 24th. Finally, B. Riley cut their target price on shares of Redwire from $25.00 to $20.00 and set a "buy" rating for the company in a research note on Friday, August 8th. Seven analysts have rated the stock with a Buy rating, one has assigned a Hold rating and two have given a Sell rating to the company's stock. According to MarketBeat.com, the company presently has an average rating of "Moderate Buy" and a consensus target price of $17.93.

Redwire Price Performance

Shares of Redwire stock opened at $9.67 on Friday. The firm has a fifty day simple moving average of $9.44 and a 200-day simple moving average of $12.14. The company has a current ratio of 1.46, a quick ratio of 1.11 and a debt-to-equity ratio of 0.21. Redwire has a 1-year low of $6.61 and a 1-year high of $26.66. The stock has a market capitalization of $1.39 billion, a price-to-earnings ratio of -2.98 and a beta of 2.47.

Redwire (NYSE:RDW - Get Free Report) last issued its quarterly earnings data on Wednesday, August 6th. The company reported ($0.39) earnings per share for the quarter, missing analysts' consensus estimates of ($0.11) by ($0.28). The firm had revenue of $61.76 million during the quarter, compared to analyst estimates of $80.48 million. Redwire had a negative return on equity of 32.67% and a negative net margin of 71.95%. On average, sell-side analysts expect that Redwire will post -0.85 earnings per share for the current year.

Insider Buying and Selling at Redwire

In other news, major shareholder Bain Capital Credit Member, Ll sold 11,000,000 shares of the company's stock in a transaction dated Wednesday, September 17th. The shares were sold at an average price of $7.83, for a total value of $86,130,000.00. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. Insiders own 2.60% of the company's stock.

Institutional Investors Weigh In On Redwire

Hedge funds have recently added to or reduced their stakes in the stock. Ameritas Advisory Services LLC bought a new stake in Redwire during the 2nd quarter worth about $54,000. KLP Kapitalforvaltning AS bought a new stake in Redwire during the 1st quarter worth about $42,000. FNY Investment Advisers LLC bought a new stake in Redwire during the 1st quarter worth about $47,000. GAMMA Investing LLC grew its holdings in Redwire by 69,077.8% during the 1st quarter. GAMMA Investing LLC now owns 6,226 shares of the company's stock worth $52,000 after acquiring an additional 6,217 shares during the last quarter. Finally, Tower Research Capital LLC TRC grew its holdings in Redwire by 32.3% during the 2nd quarter. Tower Research Capital LLC TRC now owns 6,279 shares of the company's stock worth $102,000 after acquiring an additional 1,533 shares during the last quarter. Institutional investors own 8.10% of the company's stock.

About Redwire

Redwire Corporation provides critical space solutions and space infrastructure for government and commercial customers in the United States, Europe, and internationally. The company provides avionics and sensors including star trackers, sun sensors, critical for navigation, and control of spacecraft; camera systems; solar array solutions for spacecraft spanning the spectrum of size, power needs, and orbital location; and strain composite booms, coilable booms, truss structures, telescope baffles, and deployable booms to position sensors or solar arrays away from the spacecraft.

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