Redwire (NYSE:RDW) Shares Down 15% – Here’s Why

Redwire Corporation (NYSE:RDW)’s share price fell 15% during trading on Thursday. The stock traded as low as $6.62 and last traded at $6.5630. Approximately 4,815,208 shares changed hands during mid-day trading, a decline of 80% from the average daily volume of 24,599,844 shares. The stock had previously closed at $7.72.

Trending Headlines about Redwire

Here are the key news stories impacting Redwire this week:

• Positive Sentiment: Redwire reported record backlog of $619.7 million, up nearly 75% year over year, and a book-to-bill ratio of 1.73. The company also said it achieved record gross margins, pointing to strong demand and a growing pipeline of work. Redwire Q3 2026 results
• Positive Sentiment: The company won a $20 million contract for additional Otter very-low-Earth-orbit testing and experimentation, adding to its near-term business opportunities. Otter VLEO contract announcement
• Positive Sentiment: Quarterly loss per share of $0.06 was narrower than analysts’ expected $0.10 loss, and the loss improved from a year earlier. Redwire earnings results
• Negative Sentiment: Revenue of about $109 million fell short of the roughly $127 million consensus estimate. That top-line miss appears to be the main near-term concern, offsetting the EPS beat and strong backlog growth. Redwire’s mixed quarterly results

Analyst Upgrades and Downgrades

A number of research firms recently commented on RDW. Bank of America increased their target price on shares of Redwire from $7.00 to $8.00 and gave the company an “underperform” rating in a research report on Monday, August 31st. Canaccord Genuity Group upped their price objective on shares of Redwire from $14.00 to $15.00 and gave the company a “buy” rating in a research note on Monday, August 10th. Alliance Global Partners restated a “buy” rating on shares of Redwire in a research note on Thursday, August 6th. Cantor Fitzgerald raised their price objective on Redwire from $9.00 to $13.50 and gave the stock an “overweight” rating in a report on Wednesday, August 5th. Finally, Piper Sandler began coverage on Redwire in a report on Thursday, October 15th. They issued a “neutral” rating and a $11.00 target price for the company. One equities research analyst has rated the stock with a Strong Buy rating, five have assigned a Buy rating, five have given a Hold rating and two have issued a Sell rating to the company. According to MarketBeat.com, the company currently has a consensus rating of “Hold” and a consensus target price of $14.28.

Redwire Stock Down 19.7%

The company has a debt-to-equity ratio of 0.03, a quick ratio of 3.48 and a current ratio of 3.92. The firm has a market capitalization of $1.55 billion, a price-to-earnings ratio of -4.22 and a beta of 3.15. The firm has a fifty day moving average price of $9.98 and a 200 day moving average price of $11.05.

Redwire (NYSE:RDW) last announced its quarterly earnings results on Wednesday, November 4th. The company reported ($0.06) earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of ($0.10) by $0.04. The business had revenue of $109.03 million during the quarter, compared to the consensus estimate of $126.75 million. Redwire had a negative net margin of 57.26% and a negative return on equity of 11.02%. As a group, sell-side analysts expect that Redwire Corporation will post -0.73 EPS for the current fiscal year.

Insiders Place Their Bets

In other Redwire news, Director Ae Red Holdings, Llc sold 929,435 shares of the business’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 transaction of $10,539,792.90. Following the completion of the sale, the director directly owned 147,984 shares in the company, valued at $1,678,138.56. The trade was a 86.26% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. Insiders own 0.79% of the company’s stock.

Hedge Funds Weigh In On Redwire

A number of institutional investors have recently made changes to their positions in RDW. Deutsche Bank AG acquired a new position in Redwire in the second quarter worth about $2,529,000. Tidal Investments LLC acquired a new stake in Redwire during the second quarter valued at approximately $7,717,000. Van ECK Associates Corp raised its stake in Redwire by 173.0% during the second quarter. Van ECK Associates Corp now owns 6,851,228 shares of the company’s stock valued at $83,791,000 after buying an additional 4,341,424 shares in the last quarter. Bank of America Corp DE bought a new position in Redwire during the 2nd quarter worth approximately $13,124,000. Finally, Bank of New York Mellon Corp bought a new position in Redwire during the 2nd quarter worth approximately $6,770,000. 8.10% of the stock is owned by institutional investors and hedge funds.

About Redwire

Redwire Corporation (NYSE: RDW) is a space infrastructure and defense technology company that develops products and services for government and commercial customers. Its capabilities support spacecraft, space stations, national security missions, and other applications across the space economy.

The company’s offerings include deployable solar arrays, spacecraft platforms, avionics, sensors, communications systems, digital engineering and mission-support services. Redwire also develops robotic systems, in-space manufacturing technologies, payloads, and other solutions designed to enable spacecraft operations and the production of materials in orbit.

Redwire was formed in 2020 through the combination of several space technology businesses backed by AE Industrial Partners and became a publicly traded company in 2021.