Red Cat (NASDAQ:RCAT) Shares Up 1.9% - What's Next?

Key Points

• Red Cat Holdings (NASDAQ:RCAT) shares increased by 1.9%, trading at $9.92 after yesterday's close at $9.74, but with a notable decline in trading volume to 2,181,080 shares.
• Analysts have upgraded the stock's rating from "sell" to "hold," with a consensus target price set at $16.00, indicating potential upward movement.
• Recent insider selling activities included significant transactions by directors, with one director selling 100,000 shares and another selling 150,000 shares, reducing their respective ownership stakes.

Red Cat Holdings, Inc. (NASDAQ:RCAT - Get Free Report) shares traded up 1.9% during trading on Friday . The company traded as high as $10.06 and last traded at $9.92. 2,181,080 shares changed hands during mid-day trading, a decline of 71% from the average session volume of 7,608,918 shares. The stock had previously closed at $9.74.

Wall Street Analyst Weigh In

A number of analysts have recently commented on the company. Wall Street Zen raised Red Cat from a "sell" rating to a "hold" rating in a research report on Saturday, July 26th. Northland Securities set a $16.00 target price on Red Cat in a research note on Friday, August 15th. One analyst has rated the stock with a Strong Buy rating and one has given a Buy rating to the company. According to MarketBeat.com, Red Cat currently has a consensus rating of "Strong Buy" and an average target price of $16.00.

Red Cat Stock Down 6.8%

The stock has a fifty day moving average of $8.62 and a 200 day moving average of $7.24.

Insider Buying and Selling

In related news, Director Christopher R. Moe sold 16,833 shares of the firm's stock in a transaction on Thursday, August 21st. The stock was sold at an average price of $9.58, for a total value of $161,260.14. Following the transaction, the director directly owned 113,073 shares of the company's stock, valued at approximately $1,083,239.34. This trade represents a 12.96% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, Director Joseph David Freedman sold 150,000 shares of the firm's stock in a transaction on Monday, June 30th. The stock was sold at an average price of $7.37, for a total value of $1,105,500.00. Following the completion of the transaction, the director directly owned 165,260 shares in the company, valued at approximately $1,217,966.20. This represents a 47.58% decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last three months, insiders have sold 276,833 shares of company stock valued at $2,214,060. 15.30% of the stock is owned by company insiders.

Institutional Investors Weigh In On Red Cat

Institutional investors have recently bought and sold shares of the business. Invesco Ltd. purchased a new stake in Red Cat in the 4th quarter worth $301,000. Wells Fargo & Company MN increased its stake in Red Cat by 446.5% in the 4th quarter. Wells Fargo & Company MN now owns 10,465 shares of the company's stock worth $134,000 after buying an additional 8,550 shares in the last quarter. Barclays PLC increased its stake in Red Cat by 1,090.4% in the 4th quarter. Barclays PLC now owns 104,632 shares of the company's stock worth $1,345,000 after buying an additional 95,842 shares in the last quarter. Tidal Investments LLC purchased a new stake in Red Cat in the 4th quarter worth $270,000. Finally, Captrust Financial Advisors purchased a new stake in Red Cat in the 4th quarter worth $4,262,000. 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.