Red Cat (NASDAQ:RCAT) Stock Price Down 9.7% - Here's What Happened

Key Points

• Red Cat Holdings, Inc. (NASDAQ:RCAT) saw its stock price decrease by 9.7%, closing at $9.87, with trading volume down by 44% compared to its average.
• Analysts have mixed ratings on Red Cat, with a consensus rating of "Buy" and an average price target of $16.50, while some firms have recently downgraded the stock.
• Insider trading activity included a significant sale by Director Christopher R. Moe, who sold 30,000 shares at an average price of $10.11, decreasing his ownership by 29.11%.

Red Cat Holdings, Inc. (NASDAQ:RCAT - Get Free Report) was down 9.7% during trading on Wednesday . The company traded as low as $9.95 and last traded at $9.87. Approximately 4,860,750 shares changed hands during trading, a decline of 44% from the average daily volume of 8,688,330 shares. The stock had previously closed at $10.93.

Wall Street Analyst Weigh In

A number of research analysts have recently commented on RCAT shares. LADENBURG THALM/SH SH upgraded Red Cat to a "strong-buy" rating in a research report on Thursday, October 2nd. Wall Street Zen downgraded Red Cat from a "hold" rating to a "sell" rating in a research report on Saturday, October 4th. Northland Securities set a $16.00 price target on Red Cat in a research report on Friday, August 15th. Needham & Company LLC assumed coverage on Red Cat in a research report on Friday, October 3rd. They issued a "buy" rating and a $17.00 price target for the company. Finally, Weiss Ratings restated a "sell (d-)" rating on shares of Red Cat in a research report on Wednesday, October 8th. Two analysts have rated the stock with a Strong Buy rating, two have given a Buy rating and one has issued a Sell rating to the stock. According to data from MarketBeat, Red Cat has a consensus rating of "Buy" and an average price target of $16.50.

Red Cat Stock Down 8.3%

The stock has a market cap of $1.18 billion, a PE ratio of -18.42 and a beta of 1.45. The firm has a 50 day moving average price of $10.76 and a 200 day moving average price of $8.50.

Insider Activity at Red Cat

In other Red Cat news, Director Christopher R. Moe sold 30,000 shares of the business's stock in a transaction dated Thursday, September 11th. The shares were sold at an average price of $10.11, for a total value of $303,300.00. Following the completion of the transaction, the director directly owned 73,073 shares in the company, valued at approximately $738,768.03. The trade was a 29.11% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Insiders sold a total of 86,833 shares of company stock worth $861,560 in the last 90 days. Company insiders own 15.30% of the company's stock.

Institutional Investors Weigh In On Red Cat

A number of large investors have recently bought and sold shares of the company. Bank of America Corp DE boosted its position in Red Cat by 407.0% in the 4th quarter. Bank of America Corp DE now owns 3,397 shares of the company's stock worth $44,000 after purchasing an additional 2,727 shares in the last quarter. Western Wealth Management LLC raised its stake in Red Cat by 18.1% in the 1st quarter. Western Wealth Management LLC now owns 23,500 shares of the company's stock valued at $138,000 after purchasing an additional 3,600 shares during the last quarter. Summit Trail Advisors LLC acquired a new position in Red Cat in the 1st quarter valued at $59,000. U.S. Capital Wealth Advisors LLC raised its stake in Red Cat by 30.0% in the 1st quarter. U.S. Capital Wealth Advisors LLC now owns 14,070 shares of the company's stock valued at $83,000 after purchasing an additional 3,250 shares during the last quarter. Finally, SBI Securities Co. Ltd. raised its stake in Red Cat by 104.4% in the 1st quarter. SBI Securities Co. Ltd. now owns 9,467 shares of the company's stock valued at $56,000 after purchasing an additional 4,835 shares during the last quarter. 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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