Red Cat (NASDAQ:RCAT) Coverage Initiated at Evercore

Evercore began coverage on shares of Red Cat (NASDAQ:RCAT) in a report released on Monday, MarketBeat.com reports. The brokerage set an “outperform” rating and a $15.00 price target on the stock. Evercore’s price target would suggest a potential upside of 76.68% from the stock’s current price.

Several other equities research analysts have also weighed in on RCAT. Roth Capital initiated coverage on Red Cat in a research report on Monday, June 1st. They set a “buy” rating and a $25.00 target price on the stock. LADENBURG THALM/SH SH upgraded shares of Red Cat to a “strong-buy” rating in a research note on Wednesday, May 6th. HC Wainwright reissued a “buy” rating and set a $20.00 price objective on shares of Red Cat in a report on Friday, August 7th. Wall Street Zen downgraded shares of Red Cat from a “sell” rating to a “strong sell” rating in a research report on Saturday, July 18th. Finally, Weiss Ratings restated a “sell (d-)” rating on shares of Red Cat in a report on Friday, July 17th. Two research analysts have rated the stock with a Strong Buy rating, five have assigned a Buy rating and one has given a Sell rating to the company. According to MarketBeat.com, the company has a consensus rating of “Buy” and a consensus target price of $19.50.

Red Cat Price Performance

NASDAQ:RCAT opened at $8.49 on Monday. The firm has a market capitalization of $1.04 billion, a PE ratio of -10.48 and a beta of 1.32. The business’s fifty day moving average price is $9.10 and its 200 day moving average price is $11.33. Red Cat has a 12 month low of $5.77 and a 12 month high of $18.78.

Red Cat (NASDAQ:RCAT) last announced its quarterly earnings results on Thursday, August 6th. The company reported ($0.26) earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of ($0.21) by ($0.05). The business had revenue of $20.20 million for the quarter, compared to analysts’ expectations of $22.65 million. Red Cat had a negative return on equity of 32.25% and a negative net margin of 136.26%. As a group, equities analysts anticipate that Red Cat will post -0.78 EPS for the current year.

Insider Activity

In related news, Director Christopher R. Moe sold 20,000 shares of the company’s stock in a transaction dated Tuesday, August 11th. The stock was sold at an average price of $10.51, for a total value of $210,200.00. Following the completion of the sale, the director directly owned 200,502 shares of the company’s stock, valued at $2,107,276.02. This represents a 9.07% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. Also, Director Nicholas Reyland Liuzza, Jr. sold 55,000 shares of the company’s stock in a transaction dated Tuesday, August 11th. The shares were sold at an average price of $10.63, for a total value of $584,650.00. Following the completion of the sale, the director directly owned 489,874 shares of the company’s stock, valued at approximately $5,207,360.62. This trade represents a 10.09% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. In the last three months, insiders sold 240,028 shares of company stock valued at $2,692,672. Insiders own 12.50% of the company’s stock.

Hedge Funds Weigh In On Red Cat

Hedge funds have recently modified their holdings of the business. Corient Private Wealth LP raised its position in Red Cat by 135.5% in the 2nd quarter. Corient Private Wealth LP now owns 27,310 shares of the company’s stock valued at $291,000 after purchasing an additional 15,712 shares during the last quarter. Kingsbury Capital Investment Advisors LLC grew its position in Red Cat by 22.7% during the 2nd quarter. Kingsbury Capital Investment Advisors LLC now owns 13,556 shares of the company’s stock worth $144,000 after purchasing an additional 2,512 shares during the last quarter. VIRGINIA RETIREMENT SYSTEMS ET Al acquired a new position in Red Cat in the second quarter valued at $200,000. California State Teachers Retirement System increased its stake in Red Cat by 1,038.2% in the second quarter. California State Teachers Retirement System now owns 1,585,167 shares of the company’s stock valued at $16,882,000 after purchasing an additional 1,445,899 shares during the period. Finally, Concurrent Investment Advisors LLC raised its holdings in shares of Red Cat by 114.9% in the second quarter. Concurrent Investment Advisors LLC now owns 66,384 shares of the company’s stock valued at $707,000 after buying an additional 35,499 shares during the last quarter. 37.97% of the stock is currently owned by hedge funds and other institutional investors.

About Red Cat

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.