Red Cat (NASDAQ:RCAT) Stock Price Down 3.9% - Here's Why

Key Points

• Red Cat Holdings, Inc. (NASDAQ:RCAT) shares fell by 3.9%, trading at $8.83 after reaching a low of $8.86 on a volume that decreased by 66% compared to its average daily trading volume.
• Wall Street analysts maintain a positive outlook for Red Cat, with an average rating of "Strong Buy" and a price target of $16.00.
• Insider trading activity revealed significant stock sales by directors, with one director reducing their ownership by 47.58% and another by 20.52% recently.

Red Cat Holdings, Inc. (NASDAQ:RCAT - Get Free Report) dropped 3.9% on Tuesday . The company traded as low as $8.86 and last traded at $8.83. Approximately 2,572,906 shares changed hands during mid-day trading, a decline of 66% from the average daily volume of 7,622,305 shares. The stock had previously closed at $9.19.

Wall Street Analysts Forecast Growth

Several equities analysts recently issued reports on the company. Northland Securities set a $16.00 price target on Red Cat in a research report on Friday. Wall Street Zen upgraded Red Cat from a "sell" rating to a "hold" rating in a research note on Saturday, July 26th. One research analyst has rated the stock with a Strong Buy rating and one has given a Buy rating to the company's stock. According to MarketBeat, the stock presently has an average rating of "Strong Buy" and an average price target of $16.00.

Red Cat Stock Performance

The firm has a market cap of $818.25 million, a P/E ratio of -16.40 and a beta of 1.44. The stock has a fifty day simple moving average of $8.53 and a 200 day simple moving average of $7.26.

Insider Buying and Selling at Red Cat

In other Red Cat news, Director Joseph David Freedman sold 150,000 shares of the business's stock in a transaction dated Monday, June 30th. The stock was sold at an average price of $7.37, for a total transaction of $1,105,500.00. Following the completion of the sale, the director owned 165,260 shares of the company's stock, valued at approximately $1,217,966.20. The trade was 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 the SEC website. Also, Director Nicholas Reyland Liuzza, Jr. sold 100,000 shares of the business's stock in a transaction dated Tuesday, June 10th. The shares were 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 represents a 20.52% decrease in their position. The disclosure for this sale can be found here. Insiders sold 350,309 shares of company stock valued at $2,635,570 in the last ninety days. 15.30% of the stock is currently owned by corporate insiders.

Institutional Trading of Red Cat

Hedge funds have recently bought and sold shares of the stock. California State Teachers Retirement System purchased a new stake in shares of Red Cat during the 2nd quarter valued at $34,000. Caitong International Asset Management Co. Ltd increased its position in shares of Red Cat by 28,681.0% in the 2nd quarter. Caitong International Asset Management Co. Ltd now owns 6,044 shares of the company's stock valued at $44,000 after acquiring an additional 6,023 shares during the period. Bank of America Corp DE increased its position in shares of Red Cat by 407.0% in the 4th quarter. Bank of America Corp DE now owns 3,397 shares of the company's stock valued at $44,000 after acquiring an additional 2,727 shares during the period. BNP Paribas Financial Markets grew its position in Red Cat by 1,537.2% during the 2nd quarter. BNP Paribas Financial Markets now owns 7,220 shares of the company's stock worth $53,000 after purchasing an additional 6,779 shares during the period. Finally, SBI Securities Co. Ltd. grew its position in Red Cat by 104.4% during the 1st quarter. SBI Securities Co. Ltd. now owns 9,467 shares of the company's stock worth $56,000 after purchasing an additional 4,835 shares during the period. 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.

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