Red Cat (NASDAQ:RCAT) Trading Down 9.4% – Here’s What Happened

Red Cat Holdings, Inc. (NASDAQ:RCAT)’s stock price fell 9.4% on Thursday . The stock traded as low as $11.35 and last traded at $11.83. 9,811,347 shares were traded during mid-day trading, a decline of 17% from the average session volume of 11,806,563 shares. The stock had previously closed at $13.06.

Red Cat Stock Performance

The firm has a market cap of $948.30 million, a PE ratio of -25.72 and a beta of 1.32. The firm’s 50 day moving average price is $8.40 and its two-hundred day moving average price is $4.55.

Red Cat (NASDAQ:RCAT) last posted its earnings results on Monday, December 16th. The company reported ($0.18) earnings per share (EPS) for the quarter, missing the consensus estimate of $0.09 by ($0.27). Red Cat had a negative return on equity of 66.19% and a negative net margin of 162.50%. During the same period last year, the firm posted ($0.11) EPS. On average, analysts forecast that Red Cat Holdings, Inc. will post -0.39 earnings per share for the current year.

Insiders Place Their Bets

In other news, Director Nicholas Reyland Liuzza, Jr. sold 328,928 shares of Red Cat stock in a transaction on Wednesday, December 18th. The stock was sold at an average price of $8.29, for a total value of $2,726,813.12. Following the completion of the sale, the director now directly owns 681,072 shares of the company’s stock, valued at approximately $5,646,086.88. The trade was a 32.57 % decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which can be accessed through this hyperlink. Also, CEO Jeffrey M. Thompson sold 392,551 shares of the stock in a transaction dated Monday, December 23rd. The stock was sold at an average price of $11.34, for a total value of $4,451,528.34. Following the transaction, the chief executive officer now directly owns 13,121,898 shares in the company, valued at approximately $148,802,323.32. The trade was a 2.90 % decrease in their position. The disclosure for this sale can be found here. Insiders sold a total of 1,930,441 shares of company stock valued at $21,099,751 over the last 90 days. 21.50% of the stock is owned by company insiders.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently bought and sold shares of the stock. Sanctuary Advisors LLC purchased a new position in shares of Red Cat in the 3rd quarter valued at about $25,000. Wolverine Trading LLC acquired a new stake in Red Cat in the third quarter valued at approximately $233,000. State Street Corp lifted its stake in Red Cat by 44.9% in the third quarter. State Street Corp now owns 221,958 shares of the company’s stock worth $564,000 after acquiring an additional 68,800 shares during the last quarter. Centiva Capital LP acquired a new position in Red Cat during the 3rd quarter worth approximately $207,000. Finally, Corsair Capital Management L.P. purchased a new stake in shares of Red Cat in the 3rd quarter valued at approximately $308,000. 37.97% of the stock is currently owned by hedge funds and other institutional investors.

Red Cat Company Profile

Red Cat Holdings, Inc engages in the provision of various products, services, and solutions to the drone industry. The company operates through two segments: Enterprise and Consumer. It built infrastructure to manages drone fleets and fly, and provide services remotely, navigate confined industrial interior spaces and dangerous military environment.