Red Cat (NASDAQ:RCAT) Sees Unusually-High Trading Volume - Still a Buy?

Red Cat Holdings, Inc. (NASDAQ:RCAT - Get Free Report) saw unusually-strong trading volume on Wednesday . Approximately 5,056,369 shares traded hands during trading, an increase of 6% from the previous session's volume of 4,776,744 shares.The stock last traded at $7.87 and had previously closed at $6.93.

Wall Street Analyst Weigh In

Several brokerages have weighed in on RCAT. Northland Securities began coverage on Red Cat in a research note on Tuesday, March 11th. They set an "outperform" rating and a $13.00 price objective on the stock. Northland Capmk upgraded Red Cat to a "strong-buy" rating in a report on Monday, March 10th.

Red Cat Price Performance

The stock has a 50 day simple moving average of $6.09 and a two-hundred day simple moving average of $7.73. The firm has a market cap of $665.50 million, a PE ratio of -13.56 and a beta of 1.40. The company has a debt-to-equity ratio of 0.30, a quick ratio of 0.60 and a current ratio of 1.43.

Red Cat (NASDAQ:RCAT - Get Free Report) last posted its earnings results on Wednesday, May 14th. The company reported ($0.27) earnings per share (EPS) for the quarter, missing the consensus estimate of ($0.10) by ($0.17). Red Cat had a negative return on equity of 96.00% and a negative net margin of 232.62%. Sell-side analysts expect that Red Cat Holdings, Inc. will post -0.5 earnings per share for the current year.

Institutional Trading of Red Cat

Several institutional investors have recently bought and sold shares of RCAT. Waddell & Associates LLC purchased a new position in shares of Red Cat during the 4th quarter valued at approximately $159,643,000. Rockefeller Capital Management L.P. acquired a new position in Red Cat during the fourth quarter worth $6,628,000. Captrust Financial Advisors acquired a new position in Red Cat during the fourth quarter worth $4,262,000. Apis Capital Advisors LLC raised its position in Red Cat by 61.7% during the fourth quarter. Apis Capital Advisors LLC now owns 650,000 shares of the company's stock worth $8,352,000 after acquiring an additional 248,000 shares during the period. Finally, GW Henssler & Associates Ltd. acquired a new position in Red Cat during the first quarter worth $1,297,000. 37.97% of the stock is 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.