Northland Capmk Has Bearish Outlook for Red Cat Q2 Earnings

Red Cat Holdings, Inc. (NASDAQ:RCAT - Free Report) - Research analysts at Northland Capmk reduced their Q2 2026 earnings per share estimates for shares of Red Cat in a report issued on Thursday, August 14th. Northland Capmk analyst M. Latimore now forecasts that the company will earn $0.00 per share for the quarter, down from their prior forecast of $0.01. The consensus estimate for Red Cat's current full-year earnings is ($0.50) per share. Northland Capmk also issued estimates for Red Cat's Q3 2026 earnings at $0.02 EPS and FY2026 earnings at $0.06 EPS.

A number of other equities analysts also recently weighed in on RCAT. Northland Securities set a $16.00 price target on Red Cat in a research report on Friday. Wall Street Zen raised Red Cat from a "sell" rating to a "hold" rating in a report on Saturday, July 26th. One analyst has rated the stock with a Strong Buy rating and one has given a Buy rating to the company's stock. According to data from MarketBeat, the company presently has a consensus rating of "Strong Buy" and an average price target of $16.00.

Red Cat Stock Down 3.2%

Shares of RCAT traded down $0.2840 on Monday, hitting $8.7260. The company's stock had a trading volume of 4,044,741 shares, compared to its average volume of 7,628,597. Red Cat has a fifty-two week low of $2.31 and a fifty-two week high of $15.27. The firm's fifty day moving average price is $8.54 and its 200-day moving average price is $7.27. The firm has a market capitalization of $870.54 million, a price-to-earnings ratio of -16.16 and a beta of 1.44.

Insider Activity

In related news, Director Nicholas Reyland Liuzza, Jr. sold 100,000 shares of the firm's stock in a transaction dated Tuesday, June 10th. The stock was sold at an average price of $8.58, for a total value of $858,000.00. Following the sale, the director directly owned 387,445 shares of the company's stock, valued at $3,324,278.10. This trade represents a 20.52% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available through this link. Also, Director Joseph David Freedman sold 150,000 shares of Red Cat stock in a transaction dated Monday, June 30th. The shares were sold at an average price of $7.37, for a total value of $1,105,500.00. Following the sale, the director directly owned 165,260 shares in the company, valued at $1,217,966.20. The trade was a 47.58% decrease in their ownership of the stock. The disclosure for this sale can be found here. Company insiders own 15.30% of the company's stock.

Institutional Investors Weigh In On Red Cat

Several hedge funds and other institutional investors have recently modified their holdings of the company. Marex Group plc bought a new stake in shares of Red Cat during the second quarter valued at approximately $333,000. Captrust Financial Advisors grew its stake in Red Cat by 30.9% in the 2nd quarter. Captrust Financial Advisors now owns 820,279 shares of the company's stock valued at $5,972,000 after purchasing an additional 193,853 shares during the period. Tidal Investments LLC grew its stake in Red Cat by 64.1% in the 2nd quarter. Tidal Investments LLC now owns 34,916 shares of the company's stock valued at $254,000 after purchasing an additional 13,643 shares during the period. Riggs Asset Managment Co. Inc. bought a new position in Red Cat in the 2nd quarter valued at $62,000. Finally, Oxford Asset Management LLP purchased a new position in shares of Red Cat during the 2nd quarter valued at $262,000. Institutional investors own 37.97% of the company's stock.

About Red Cat

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.