Red Cat (NASDAQ:RCAT) Trading 14.3% Higher – Should You Buy?

Red Cat Holdings, Inc. (NASDAQ:RCAT) rose 14.3% during trading on Monday . The company traded as high as $15.68 and last traded at $15.15. Approximately 19,308,147 shares traded hands during mid-day trading, an increase of 15% from the average daily volume of 16,734,541 shares. The stock had previously closed at $13.25.

Analyst Ratings Changes

A number of equities analysts have recently commented on the company. Wall Street Zen upgraded shares of Red Cat from a “sell” rating to a “hold” rating in a report on Saturday. Weiss Ratings reissued a “sell (d-)” rating on shares of Red Cat in a research report on Thursday, January 22nd. Needham & Company LLC raised their price objective on shares of Red Cat from $16.00 to $20.00 and gave the stock a “buy” rating in a research note on Thursday. Northland Securities set a $22.00 target price on Red Cat in a research note on Tuesday, January 20th. Finally, LADENBURG THALM/SH SH increased their price target on Red Cat from $15.00 to $20.00 and gave the stock a “buy” rating in a report on Tuesday, March 3rd. Two equities research analysts have rated the stock with a Buy rating and one has issued a Sell rating to the company’s stock. According to MarketBeat.com, Red Cat presently has a consensus rating of “Hold” and a consensus target price of $20.67.

Red Cat Trading Up 14.3%

The firm’s 50-day moving average price is $13.90 and its two-hundred day moving average price is $11.19. The stock has a market cap of $1.84 billion, a PE ratio of -20.20 and a beta of 1.53.

Red Cat (NASDAQ:RCAT) last issued its quarterly earnings data on Wednesday, March 18th. The company reported ($0.17) earnings per share (EPS) for the quarter, missing the consensus estimate of ($0.14) by ($0.03). The business had revenue of $26.24 million for the quarter, compared to analysts’ expectations of $24.50 million. Red Cat had a negative net margin of 176.96% and a negative return on equity of 38.86%. On average, analysts anticipate that Red Cat Holdings, Inc. will post -0.5 earnings per share for the current year.

Institutional Investors Weigh In On Red Cat

Large investors have recently made changes to their positions in the stock. IFP Advisors Inc increased its stake in shares of Red Cat by 181.1% in the 3rd quarter. IFP Advisors Inc now owns 2,670 shares of the company’s stock valued at $28,000 after purchasing an additional 1,720 shares in the last quarter. Montag A & Associates Inc. increased its position in shares of Red Cat by 552.0% in the third quarter. Montag A & Associates Inc. now owns 3,260 shares of the company’s stock valued at $34,000 after buying an additional 2,760 shares in the last quarter. California State Teachers Retirement System acquired a new position in shares of Red Cat during the 2nd quarter worth approximately $34,000. Global Retirement Partners LLC purchased a new position in shares of Red Cat during the 3rd quarter valued at approximately $36,000. Finally, N.E.W. Advisory Services LLC grew its stake in Red Cat by 163.5% in the 4th quarter. N.E.W. Advisory Services LLC now owns 5,356 shares of the company’s stock valued at $42,000 after acquiring an additional 3,323 shares during the period. 37.97% of the stock is owned by hedge funds and other institutional investors.

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.