Redwire (NYSE:RDW) Stock Falls 5.9% – Should You Sell?

Redwire Corporation (NYSE:RDW) shares were down 5.9% during mid-day trading on Wednesday. The stock traded as low as $8.47 and last traded at $8.6190. Approximately 12,168,088 shares changed hands during trading, a decline of 53% from the average daily volume of 25,683,480 shares. The stock had previously closed at $9.16.

Wall Street Analyst Weigh In

A number of research analysts recently commented on the company. Cantor Fitzgerald boosted their price target on Redwire from $9.00 to $13.50 and gave the company an “overweight” rating in a research note on Wednesday, August 5th. Canaccord Genuity Group increased their price objective on shares of Redwire from $14.00 to $15.00 and gave the stock a “buy” rating in a research note on Monday, August 10th. Weiss Ratings reiterated a “sell (d-)” rating on shares of Redwire in a research note on Friday, July 17th. Bank of America raised their target price on shares of Redwire from $7.00 to $8.00 and gave the company an “underperform” rating in a report on Monday, August 31st. Finally, Guggenheim initiated coverage on shares of Redwire in a report on Monday, September 14th. They issued a “neutral” rating on the stock. One equities research analyst has rated the stock with a Strong Buy rating, five have assigned a Buy rating, four have assigned a Hold rating and two have assigned a Sell rating to the company’s stock. According to data from MarketBeat.com, Redwire presently has an average rating of “Hold” and a consensus price target of $14.69.

Redwire Stock Down 5.9%

The company has a quick ratio of 3.48, a current ratio of 3.92 and a debt-to-equity ratio of 0.03. The firm has a 50 day moving average of $11.26 and a two-hundred day moving average of $11.82. The firm has a market capitalization of $2.15 billion, a price-to-earnings ratio of -5.90 and a beta of 3.12.

Redwire (NYSE:RDW) last issued its earnings results on Wednesday, August 5th. The company reported ($0.09) EPS for the quarter, topping the consensus estimate of ($0.16) by $0.07. The firm had revenue of $117.07 million during the quarter, compared to the consensus estimate of $107.10 million. Redwire had a negative return on equity of 11.02% and a negative net margin of 57.26%. As a group, sell-side analysts anticipate that Redwire Corporation will post -0.70 EPS for the current fiscal year.

Insider Buying and Selling at Redwire

In other news, Director Ae Red Holdings, Llc sold 929,435 shares of the firm’s stock in a transaction that occurred on Wednesday, September 23rd. The shares were sold at an average price of $11.34, for a total value of $10,539,792.90. Following the sale, the director directly owned 147,984 shares in the company, valued at approximately $1,678,138.56. This trade represents a 86.26% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Insiders own 0.79% of the company’s stock.

Hedge Funds Weigh In On Redwire

Several institutional investors and hedge funds have recently added to or reduced their stakes in RDW. BlackRock Inc. bought a new position in shares of Redwire in the 2nd quarter valued at $196,514,000. Bank of America Corp DE boosted its holdings in shares of Redwire by 7,512.5% during the 1st quarter. Bank of America Corp DE now owns 6,820,003 shares of the company’s stock valued at $57,970,000 after acquiring an additional 6,730,414 shares in the last quarter. Van ECK Associates Corp grew its position in Redwire by 173.0% during the 2nd quarter. Van ECK Associates Corp now owns 6,851,228 shares of the company’s stock worth $83,791,000 after acquiring an additional 4,341,424 shares during the last quarter. Mitsubishi UFJ Asset Management Co. Ltd. bought a new stake in Redwire during the 2nd quarter worth $16,583,000. Finally, Alyeska Investment Group L.P. bought a new stake in Redwire during the 2nd quarter worth $11,186,000. Institutional investors own 8.10% of the company’s stock.

About Redwire

Redwire Corporation is a space infrastructure and defense technology company that develops products and services for government and commercial customers. Its work supports space exploration, national security, civil space programs and the growing commercial space economy.

The company’s offerings include spacecraft platforms, avionics, sensors, deployable structures, solar arrays, in-space manufacturing systems, robotic technologies and components designed for satellite and space station applications.