Red Cat (NASDAQ:RCAT) Stock Price Down 2.4% - What's Next?

Key Points

• Red Cat Holdings, Inc. (NASDAQ:RCAT) experienced a decline of 2.4% in its stock price, trading at $8.73 after reaching a low of $8.48.
• Analysts have a positive outlook on the company, with an average price target of $16.00 and a consensus rating of "Strong Buy."
• Corporate insiders sold a total of 276,833 shares of Red Cat stock worth over $2 million in the past 90 days, indicating significant insider selling activity.

Red Cat Holdings, Inc. (NASDAQ:RCAT - Get Free Report)'s share price traded down 2.4% on Tuesday . The stock traded as low as $8.48 and last traded at $8.73. 1,415,525 shares were traded during mid-day trading, a decline of 81% from the average session volume of 7,542,130 shares. The stock had previously closed at $8.94.

Wall Street Analysts Forecast Growth

A number of equities analysts recently weighed in on the company. Northland Securities set a $16.00 price target on Red Cat in a research note on Friday, August 15th. Wall Street Zen upgraded shares of 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 issued a Buy rating to the company's stock. According to data from MarketBeat, Red Cat has an average rating of "Strong Buy" and an average price target of $16.00.

Red Cat Stock Performance

The company has a market capitalization of $866.45 million, a price-to-earnings ratio of -16.06 and a beta of 1.44. The business's 50 day moving average is $8.80 and its 200 day moving average is $7.22.

Insider Activity

In other Red Cat news, Director Joseph David Freedman sold 150,000 shares of the stock in a transaction that occurred on Monday, June 30th. The shares were sold at an average price of $7.37, for a total transaction of $1,105,500.00. Following the transaction, the director owned 165,260 shares of the company's stock, valued at $1,217,966.20. This trade represents a 47.58% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, Director Christopher R. Moe sold 16,833 shares of Red Cat stock in a transaction dated Thursday, August 21st. The shares were sold at an average price of $9.58, for a total transaction of $161,260.14. Following the completion of the transaction, the director directly owned 113,073 shares of the company's stock, valued at $1,083,239.34. This trade represents a 12.96% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold a total of 276,833 shares of company stock worth $2,214,060 over the last 90 days. 15.30% of the stock is currently owned by corporate insiders.

Institutional Trading of Red Cat

Several large investors have recently modified their holdings of the stock. Bank of America Corp DE raised its stake in shares of Red Cat by 407.0% in the fourth quarter. Bank of America Corp DE now owns 3,397 shares of the company's stock worth $44,000 after buying an additional 2,727 shares during the period. California State Teachers Retirement System acquired a new position in Red Cat in the 2nd quarter worth about $34,000. Caitong International Asset Management Co. Ltd increased its holdings in shares of Red Cat by 28,681.0% in the second quarter. Caitong International Asset Management Co. Ltd now owns 6,044 shares of the company's stock valued at $44,000 after purchasing an additional 6,023 shares during the last quarter. BNP Paribas Financial Markets raised its stake in shares of Red Cat by 1,537.2% in the second quarter. BNP Paribas Financial Markets now owns 7,220 shares of the company's stock valued at $53,000 after acquiring an additional 6,779 shares in the last quarter. Finally, Ameritas Investment Partners Inc. acquired a new stake in shares of Red Cat during the second quarter worth about $56,000. Institutional investors and hedge funds 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.

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