Red Cat (NASDAQ:RCAT) Trading Up 4.5% – Should You Buy?

Red Cat Holdings, Inc. (NASDAQ:RCAT)’s stock price shot up 4.5% during trading on Wednesday . The stock traded as high as $16.71 and last traded at $16.38. 18,114,723 shares changed hands during mid-day trading, an increase of 6% from the average session volume of 17,012,988 shares. The stock had previously closed at $15.67.

Analyst Ratings Changes

A number of brokerages recently issued reports on RCAT. Needham & Company LLC lifted their price objective on shares of Red Cat from $12.00 to $16.00 and gave the company a “buy” rating in a research note on Tuesday, January 13th. Weiss Ratings reissued a “sell (d-)” rating on shares of Red Cat in a report on Thursday, January 22nd. Wall Street Zen lowered Red Cat from a “hold” rating to a “sell” rating in a research note on Saturday, October 4th. LADENBURG THALM/SH SH raised Red Cat to a “strong-buy” rating in a research note on Thursday, December 18th. Finally, Northland Securities set a $22.00 price target on shares of Red Cat in a research note on Tuesday, January 20th. Two investment analysts have rated the stock with a Strong Buy rating, one has issued a Buy rating and one has assigned a Sell rating to the company. Based on data from MarketBeat, the stock has an average rating of “Buy” and a consensus target price of $19.00.

Red Cat Price Performance

The firm has a 50-day simple moving average of $9.74 and a 200 day simple moving average of $10.04. The stock has a market capitalization of $1.96 billion, a P/E ratio of -37.23 and a beta of 1.48.

Red Cat (NASDAQ:RCAT) last released its quarterly earnings results on Thursday, November 13th. The company reported ($0.16) earnings per share for the quarter, missing the consensus estimate of ($0.07) by ($0.09). The firm had revenue of $9.65 million during the quarter, compared to the consensus estimate of $8.18 million. Sell-side analysts anticipate that Red Cat Holdings, Inc. will post -0.5 earnings per share for the current fiscal year.

Hedge Funds Weigh In On Red Cat

Several large investors have recently modified their holdings of the business. IFP Advisors Inc lifted its holdings in shares of Red Cat by 181.1% during the third quarter. IFP Advisors Inc now owns 2,670 shares of the company’s stock worth $28,000 after purchasing an additional 1,720 shares during the period. Montag A & Associates Inc. raised its position in Red Cat by 552.0% during the 3rd quarter. Montag A & Associates Inc. now owns 3,260 shares of the company’s stock worth $34,000 after purchasing an additional 2,760 shares during the last quarter. California State Teachers Retirement System acquired a new position in Red Cat during the 2nd quarter worth about $34,000. Global Retirement Partners LLC bought a new stake in shares of Red Cat in the 3rd quarter valued at about $36,000. Finally, Caitong International Asset Management Co. Ltd increased its stake in shares of Red Cat by 28,681.0% in the second quarter. Caitong International Asset Management Co. Ltd now owns 6,044 shares of the company’s stock valued at $44,000 after buying an additional 6,023 shares during the period. Institutional investors own 37.97% of the company’s stock.

Red Cat Company Profile

Red Cat Holdings, Inc (NASDAQ: RCAT) is a technology holding company that develops and delivers advanced robotics, autonomy, and sensing solutions for defense, national security, public safety and commercial customers. Headquartered in American Fork, Utah, the company brings together a portfolio of specialized operating businesses focused on unmanned aerial systems (UAS), mission management software, precision mapping sensors and engineering services.

Through its UAS segment, Red Cat designs and manufactures small to medium-sized fixed-wing and vertical-takeoff drones that support intelligence, surveillance and reconnaissance (ISR) missions.