Red Cat (NASDAQ:RCAT) Shares Down 3.9% - Should You Sell?

Red Cat Holdings, Inc. (NASDAQ:RCAT - Get Free Report) shares were down 3.9% during mid-day trading on Thursday . The company traded as low as $7.74 and last traded at $7.76. Approximately 4,545,463 shares were traded during mid-day trading, a decline of 6% from the average daily volume of 4,838,922 shares. The stock had previously closed at $8.07.

Analyst Ratings Changes

A number of equities research analysts have recently commented on RCAT shares. Northland Securities started coverage on Red Cat in a research note on Tuesday, March 11th. They issued an "outperform" rating and a $13.00 target price on the stock. Northland Capmk raised Red Cat to a "strong-buy" rating in a research note on Monday, March 10th.

Red Cat Price Performance

The company has a debt-to-equity ratio of 0.30, a current ratio of 1.43 and a quick ratio of 0.60. The company has a market capitalization of $741.87 million, a PE ratio of -15.11 and a beta of 1.40. The firm has a 50-day moving average of $6.15 and a 200 day moving average of $7.77.

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

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently bought and sold shares of the company. Waddell & Associates LLC purchased a new position in Red Cat in the fourth quarter worth about $159,643,000. Vanguard Group Inc. boosted its position in Red Cat by 9.0% in the fourth quarter. Vanguard Group Inc. now owns 2,505,613 shares of the company's stock worth $32,197,000 after purchasing an additional 207,727 shares during the last quarter. Apis Capital Advisors LLC raised its stake in shares of Red Cat by 4.9% in the first quarter. Apis Capital Advisors LLC now owns 682,000 shares of the company's stock worth $4,010,000 after buying an additional 32,000 shares during the period. Geode Capital Management LLC raised its stake in shares of Red Cat by 1.8% in the fourth quarter. Geode Capital Management LLC now owns 602,596 shares of the company's stock worth $7,747,000 after buying an additional 10,594 shares during the period. Finally, Rockefeller Capital Management L.P. bought a new position in shares of Red Cat in the fourth quarter worth about $6,628,000. 37.97% of the stock is owned by hedge funds and other institutional investors.

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.