Unusual Machines (NYSEAMERICAN:UMAC) Shares Gap Up - What's Next?

Key Points

• Unusual Machines shares gapped up at the open, rising from a previous close of $18.68 to $19.60 before trading around $19.28 on heavy volume of nearly 1.0 million shares.
• Wall Street remains bullish overall on the stock, with several firms raising price targets to as high as $42 and the consensus rating sitting at Buy with an average target of $34.80.
• The company recently posted mixed quarterly results, missing EPS estimates but beating revenue expectations, while insiders have sold shares recently and analysts still expect a loss for the current fiscal year.

Shares of Unusual Machines, Inc. (NYSEAMERICAN:UMAC - Get Free Report) gapped up before the market opened on Wednesday . The stock had previously closed at $18.68, but opened at $19.60. Unusual Machines shares last traded at $19.28, with a volume of 983,259 shares trading hands.

Wall Street Analyst Weigh In

A number of research firms have recently commented on UMAC. National Bank Financial set a $42.00 price target on shares of Unusual Machines in a research report on Wednesday. Needham & Company LLC upped their price objective on shares of Unusual Machines from $22.00 to $30.00 and gave the stock a "buy" rating in a report on Thursday, June 11th. HC Wainwright began coverage on shares of Unusual Machines in a research note on Wednesday. They issued a "buy" rating and a $42.00 target price on the stock. Finally, Roth Capital lifted their target price on shares of Unusual Machines to $40.00 and gave the stock a "buy" rating in a report on Tuesday, June 2nd. One investment analyst has rated the stock with a Strong Buy rating, four have given a Buy rating and one has given a Hold rating to the company. According to data from MarketBeat.com, the company has an average rating of "Buy" and an average price target of $34.80.

Unusual Machines Stock Up 1.4%

The firm has a market cap of $905.62 million, a P/E ratio of -45.12 and a beta of 14.84. The stock's 50-day moving average is $21.05 and its 200-day moving average is $17.00.

Unusual Machines (NYSEAMERICAN:UMAC - Get Free Report) last issued its quarterly earnings results on Thursday, May 14th. The company reported $0.21 earnings per share for the quarter, missing analysts' consensus estimates of $0.36 by ($0.15). The company had revenue of $8.10 million during the quarter, compared to the consensus estimate of $5.54 million. Unusual Machines had a negative net margin of 32.71% and a negative return on equity of 11.83%. As a group, analysts expect that Unusual Machines, Inc. will post -0.72 EPS for the current fiscal year.

Insider Activity at Unusual Machines

In related news, CFO Brian Joseph Hoff sold 150,000 shares of the business's stock in a transaction dated Wednesday, May 27th. The stock was sold at an average price of $17.71, for a total transaction of $2,656,500.00. Following the transaction, the chief financial officer directly owned 352,650 shares in the company, valued at $6,245,431.50. The trade was a 29.84% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, President Andrew Ross Camden sold 100,000 shares of the business's stock in a transaction dated Thursday, June 4th. The shares were sold at an average price of $30.05, for a total value of $3,005,000.00. Following the transaction, the president owned 246,750 shares in the company, valued at $7,414,837.50. This represents a 28.84% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Over the last 90 days, insiders sold 280,000 shares of company stock worth $6,477,200. Company insiders own 7.50% of the company's stock.

Institutional Trading of Unusual Machines

A number of hedge funds have recently modified their holdings of UMAC. NFSG Corp bought a new stake in shares of Unusual Machines during the first quarter valued at approximately $37,000. Wexford Capital LP acquired a new stake in Unusual Machines during the third quarter worth $40,000. Bank of America Corp DE boosted its stake in Unusual Machines by 7,372.6% during the second quarter. Bank of America Corp DE now owns 7,099 shares of the company's stock worth $61,000 after buying an additional 7,004 shares in the last quarter. Ankerstar Wealth LLC acquired a new stake in Unusual Machines during the fourth quarter worth $64,000. Finally, Rockefeller Capital Management L.P. increased its holdings in Unusual Machines by 54.2% in the 4th quarter. Rockefeller Capital Management L.P. now owns 6,169 shares of the company's stock valued at $79,000 after buying an additional 2,169 shares during the period.

Unusual Machines Company Profile

Unusual Machines, Inc designs, manufactures, and sells ultra-low latency video goggles for drone pilots. It operates a drone-focused e-commerce marketplace. The company serves drone pilots, hobbyists, and recreational services. The company was formerly known as AerocarveUS Corporation and changed its name to Unusual Machines, Inc in July 2022. Unusual Machines, Inc was incorporated in 2019 and is based in Orlando, Florida.

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