Redwire (NYSE:RDW) Trading Up 8.7% - Should You Buy?

Key Points

• Share rally: Redwire jumped 8.7% midday to about $10.78 on Thursday, trading roughly 21.6 million shares (slightly below its ~23.45 million average session volume).
• Analyst view: Analysts hold a consensus "Moderate Buy" with an average price target of $13.89 (eight Buys, two Holds, two Sells), with recent targets in the roughly $12–$15 range.
• Fundamentals and insider activity: The company missed quarterly EPS (−$0.35 vs. −$0.16) and shows negative margins/ROE despite a revenue beat, while insiders have sold about 29.96 million shares in the last three months (insiders own ~2.6%), which may raise governance or confidence questions.

Redwire Corporation (NYSE:RDW - Get Free Report) shot up 8.7% during mid-day trading on Thursday . The company traded as high as $10.89 and last traded at $10.7750. 21,610,200 shares traded hands during trading, a decline of 8% from the average session volume of 23,454,813 shares. The stock had previously closed at $9.91.

Analysts Set New Price Targets

A number of research firms have weighed in on RDW. KeyCorp began coverage on Redwire in a research note on Thursday, December 18th. They set a "sector weight" rating for the company. Jefferies Financial Group decreased their price target on Redwire from $13.00 to $12.00 and set a "buy" rating for the company in a report on Friday, March 6th. Canaccord Genuity Group lifted their target price on shares of Redwire from $11.00 to $12.00 and gave the company a "buy" rating in a report on Friday, February 27th. Weiss Ratings reissued a "sell (d-)" rating on shares of Redwire in a report on Thursday, January 22nd. Finally, Truist Financial upgraded shares of Redwire from a "hold" rating to a "buy" rating and upped their price objective for the stock from $13.00 to $15.00 in a research report on Monday, March 9th. Eight analysts have rated the stock with a Buy rating, two have given a Hold rating and two have given a Sell rating to the company's stock. Based on data from MarketBeat, the company has an average rating of "Moderate Buy" and a consensus price target of $13.89.

Redwire Stock Up 9.0%

The firm has a market cap of $2.07 billion, a price-to-earnings ratio of -4.53 and a beta of 2.49. The business has a fifty day simple moving average of $9.11 and a 200 day simple moving average of $8.61. The company has a debt-to-equity ratio of 0.08, a current ratio of 1.62 and a quick ratio of 1.27.

Redwire (NYSE:RDW - Get Free Report) last posted its quarterly earnings data on Wednesday, February 25th. The company reported ($0.35) EPS for the quarter, missing the consensus estimate of ($0.16) by ($0.19). Redwire had a negative net margin of 67.55% and a negative return on equity of 13.04%. The firm had revenue of $108.79 million during the quarter, compared to analyst estimates of $98.78 million. As a group, equities analysts forecast that Redwire Corporation will post -0.85 EPS for the current fiscal year.

Insider Buying and Selling

In other Redwire news, Director Ae Red Holdings, Llc sold 790,393 shares of Redwire stock in a transaction dated Monday, April 13th. The stock was sold at an average price of $9.78, for a total value of $7,730,043.54. Following the completion of the transaction, the director directly owned 31,313,662 shares of the company's stock, valued at $306,247,614.36. The trade was a 2.46% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available through this link. In the last three months, insiders have sold 29,955,735 shares of company stock valued at $327,719,552. 2.60% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

Institutional investors have recently made changes to their positions in the business. Sunbelt Securities Inc. increased its stake in shares of Redwire by 601.1% during the fourth quarter. Sunbelt Securities Inc. now owns 3,961 shares of the company's stock worth $30,000 after buying an additional 3,396 shares during the period. CWM LLC boosted its holdings in shares of Redwire by 1,725.0% in the fourth quarter. CWM LLC now owns 4,088 shares of the company's stock valued at $31,000 after acquiring an additional 3,864 shares during the period. Rockefeller Capital Management L.P. increased its holdings in shares of Redwire by 1,054.0% in the 4th quarter. Rockefeller Capital Management L.P. now owns 4,016 shares of the company's stock valued at $31,000 after acquiring an additional 3,668 shares during the period. Abich Financial Wealth Management LLC purchased a new stake in Redwire in the 3rd quarter valued at $41,000. Finally, Russell Investments Group Ltd. raised its position in Redwire by 308.6% in the 3rd quarter. Russell Investments Group Ltd. now owns 4,862 shares of the company's stock valued at $44,000 after purchasing an additional 3,672 shares during the last quarter. Institutional investors and hedge funds own 8.10% of the company's stock.

About Redwire

Redwire Corporation is a space infrastructure company specializing in the design, engineering and manufacturing of mission-critical hardware and software for the spaceflight industry. The company's offerings include deployable structures, solar power systems, radio frequency antennas, advanced composites and transparent optics. Redwire serves a broad customer base that spans civil space agencies, national defense organizations and commercial satellite operators, helping enable missions ranging from communications and Earth observation to deep-space exploration.

Formed through the strategic combination of several specialized space technology firms, Redwire's portfolio encompasses both flight-proven hardware and cutting-edge in-space manufacturing capabilities.

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