Redwire (NYSE:RDW) Shares Down 4.8% Following Analyst Downgrade

Key Points

• Redwire Corporation's shares fell by 4.8% following a downgrade from Bank of America, which lowered its price target from $10.00 to $9.00 and issued an "underperform" rating.
• Despite the downgrade, several analysts maintain a "buy" rating on Redwire, with the stock receiving an average "Moderate Buy" rating and a consensus price target of $17.93.
• Redwire reported a significant earnings miss in its last quarterly results, with a loss of ($0.39) EPS compared to analysts' expectation of ($0.11) EPS, and a revenue of $61.76 million, below the $80.48 million estimate.

Redwire Corporation (NYSE:RDW - Get Free Report) shares were down 4.8% during trading on Friday after Bank of America lowered their price target on the stock from $10.00 to $9.00. Bank of America currently has an underperform rating on the stock. Redwire traded as low as $9.23 and last traded at $9.19. Approximately 2,995,292 shares traded hands during trading, a decline of 15% from the average daily volume of 3,536,556 shares. The stock had previously closed at $9.65.

Other research analysts also recently issued reports about the stock. Roth Capital restated a "buy" rating on shares of Redwire in a research report on Tuesday, June 24th. B. Riley lowered their price objective on shares of Redwire from $25.00 to $20.00 and set a "buy" rating for the company in a research report on Friday, August 8th. Canaccord Genuity Group decreased their target price on shares of Redwire from $21.00 to $17.50 and set a "buy" rating on the stock in a research note on Monday, August 11th. Truist Financial set a $16.00 target price on shares of Redwire and gave the stock a "hold" rating in a research note on Thursday, June 26th. Finally, HC Wainwright reaffirmed a "buy" rating and set a $22.00 target price (down previously from $26.00) on shares of Redwire in a research note on Friday, August 8th. Seven research analysts have rated the stock with a Buy rating, one has issued a Hold rating and two have issued a Sell rating to the company. According to data from MarketBeat, the stock has an average rating of "Moderate Buy" and a consensus price target of $17.93.

Insider Buying and Selling at Redwire

In related news, major shareholder Bain Capital Credit Member, Ll sold 11,000,000 shares of the business's stock in a transaction on Wednesday, September 17th. The shares were sold at an average price of $7.83, for a total value of $86,130,000.00. The sale was disclosed in a legal filing with the SEC, which is accessible through this link. 2.60% of the stock is currently owned by corporate insiders.

Institutional Trading of Redwire

Several institutional investors have recently modified their holdings of the business. Gabelli Funds LLC grew its stake in shares of Redwire by 7.4% in the first quarter. Gabelli Funds LLC now owns 18,871 shares of the company's stock worth $156,000 after purchasing an additional 1,300 shares during the last quarter. Tower Research Capital LLC TRC grew its stake in shares of Redwire by 32.3% in the second quarter. Tower Research Capital LLC TRC now owns 6,279 shares of the company's stock worth $102,000 after purchasing an additional 1,533 shares during the last quarter. Vontobel Holding Ltd. grew its stake in shares of Redwire by 10.4% in the second quarter. Vontobel Holding Ltd. now owns 18,507 shares of the company's stock worth $302,000 after purchasing an additional 1,751 shares during the last quarter. Police & Firemen s Retirement System of New Jersey boosted its position in Redwire by 71.2% during the second quarter. Police & Firemen s Retirement System of New Jersey now owns 7,724 shares of the company's stock valued at $126,000 after acquiring an additional 3,213 shares during the last quarter. Finally, BNP Paribas Financial Markets boosted its position in Redwire by 12.0% during the second quarter. BNP Paribas Financial Markets now owns 30,396 shares of the company's stock valued at $495,000 after acquiring an additional 3,248 shares during the last quarter. Institutional investors own 8.10% of the company's stock.

Redwire Stock Down 4.1%

The company has a quick ratio of 1.11, a current ratio of 1.46 and a debt-to-equity ratio of 0.21. The firm has a market cap of $1.33 billion, a P/E ratio of -2.83 and a beta of 2.47. The stock's 50-day simple moving average is $9.44 and its 200 day simple moving average is $12.14.

Redwire (NYSE:RDW - Get Free Report) last issued its quarterly earnings results on Wednesday, August 6th. The company reported ($0.39) EPS for the quarter, missing analysts' consensus estimates of ($0.11) by ($0.28). The firm had revenue of $61.76 million for the quarter, compared to the consensus estimate of $80.48 million. Redwire had a negative net margin of 71.95% and a negative return on equity of 32.67%. As a group, research analysts forecast that Redwire Corporation will post -0.85 EPS for the current fiscal year.

About Redwire

Redwire Corporation provides critical space solutions and space infrastructure for government and commercial customers in the United States, Europe, and internationally. The company provides avionics and sensors including star trackers, sun sensors, critical for navigation, and control of spacecraft; camera systems; solar array solutions for spacecraft spanning the spectrum of size, power needs, and orbital location; and strain composite booms, coilable booms, truss structures, telescope baffles, and deployable booms to position sensors or solar arrays away from the spacecraft.

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