Redwire (NYSE:RDW) Shares Gap Down – Here’s What Happened

Redwire Corporation (NYSE:RDW)’s share price gapped down prior to trading on Tuesday . The stock had previously closed at $11.71, but opened at $11.00. Redwire shares last traded at $11.1470, with a volume of 8,930,120 shares.

Analyst Upgrades and Downgrades

Several equities research analysts recently weighed in on the stock. Alliance Global Partners reiterated a “buy” rating on shares of Redwire in a research note on Thursday, November 6th. HC Wainwright reaffirmed a “buy” rating and set a $22.00 target price on shares of Redwire in a report on Tuesday, December 23rd. Zacks Research upgraded Redwire from a “strong sell” rating to a “hold” rating in a research report on Monday, November 10th. KeyCorp assumed coverage on Redwire in a research report on Thursday, December 18th. They issued a “sector weight” rating on the stock. Finally, Bank of America cut their target price on Redwire from $9.00 to $6.00 and set an “underperform” rating on the stock in a research note on Wednesday, November 19th. Six research analysts have rated the stock with a Buy rating, three have assigned a Hold rating and two have given a Sell rating to the company’s stock. According to MarketBeat, the company currently has an average rating of “Hold” and an average target price of $13.13.

Redwire Price Performance

The company has a debt-to-equity ratio of 0.20, a quick ratio of 1.05 and a current ratio of 1.41. The firm has a market capitalization of $1.98 billion, a P/E ratio of -3.78 and a beta of 2.44. The business has a fifty day moving average of $7.77 and a 200-day moving average of $9.45.

Redwire (NYSE:RDW) last announced its quarterly earnings results on Wednesday, November 5th. The company reported ($0.29) earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of ($0.14) by ($0.15). Redwire had a negative return on equity of 16.24% and a negative net margin of 70.32%.The business had revenue of $103.43 million for the quarter, compared to analyst estimates of $132.05 million. On average, sell-side analysts forecast that Redwire Corporation will post -0.85 EPS for the current fiscal year.

Insider Activity at Redwire

In related news, CEO Peter Anthony Cannito, Jr. purchased 32,155 shares of Redwire stock in a transaction dated Monday, November 10th. The stock was bought at an average cost of $6.21 per share, with a total value of $199,682.55. Following the purchase, the chief executive officer owned 526,728 shares in the company, valued at approximately $3,270,980.88. The trade was a 6.50% increase in their position. The acquisition was disclosed in a filing with the Securities & Exchange Commission, which is available through this link. Also, EVP Aaron Michael Futch acquired 18,410 shares of the firm’s stock in a transaction dated Friday, November 14th. The stock was bought at an average price of $5.45 per share, with a total value of $100,334.50. Following the completion of the acquisition, the executive vice president directly owned 88,704 shares of the company’s stock, valued at approximately $483,436.80. This represents a 26.19% increase in their ownership of the stock. The SEC filing for this purchase provides additional information. Over the last quarter, insiders have bought 56,065 shares of company stock worth $330,047 and have sold 23,953,093 shares worth $252,001,857. Corporate insiders own 2.60% of the company’s stock.

Institutional Investors Weigh In On Redwire

A number of institutional investors have recently added to or reduced their stakes in the company. AE Industrial Partners LP increased its position in shares of Redwire by 139.3% during the 2nd quarter. AE Industrial Partners LP now owns 85,496,745 shares of the company’s stock valued at $1,394,000 after purchasing an additional 49,765,262 shares during the period. Voya Investment Management LLC bought a new position in shares of Redwire during the 3rd quarter valued at about $20,372,000. Hood River Capital Management LLC acquired a new position in Redwire in the second quarter worth approximately $36,206,000. Cooper Creek Partners Management LLC acquired a new position in shares of Redwire in the 2nd quarter worth $32,652,000. Finally, Two Sigma Investments LP increased its stake in Redwire by 489.3% in the 3rd quarter. Two Sigma Investments LP now owns 1,049,292 shares of the company’s stock worth $9,433,000 after purchasing an additional 871,223 shares in the last quarter. 8.10% of the stock is currently owned by institutional investors and hedge funds.

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.