Redwire (NYSE:RDW) Trading Down 7.3% – Should You Sell?

Redwire Corporation (NYSE:RDW) traded down 7.3% during mid-day trading on Wednesday . The company traded as low as $11.28 and last traded at $11.3270. Approximately 20,664,188 shares changed hands during mid-day trading, a decline of 36% from the average daily volume of 32,273,723 shares. The stock had previously closed at $12.22.

Analyst Ratings Changes

Several research analysts have commented on RDW shares. Canaccord Genuity Group lifted their price target on Redwire from $12.00 to $14.00 and gave the stock a “buy” rating in a research report on Monday, May 11th. Zacks Research raised Redwire from a “strong sell” rating to a “hold” rating in a report on Wednesday, March 11th. Truist Financial upgraded shares of Redwire to a “strong-buy” rating in a research report on Friday, May 1st. Jefferies Financial Group raised shares of Redwire to a “hold” rating in a report on Wednesday, June 10th. Finally, Weiss Ratings reiterated a “sell (d-)” rating on shares of Redwire in a research report on Tuesday, April 21st. One research analyst has rated the stock with a Strong Buy rating, six have assigned a Buy rating, three have assigned a Hold rating and two have given a Sell rating to the company’s stock. According to MarketBeat.com, Redwire presently has a consensus rating of “Moderate Buy” and a consensus price target of $15.44.

Redwire Price Performance

The stock has a market cap of $2.71 billion, a price-to-earnings ratio of -4.23 and a beta of 2.91. The company has a 50-day moving average of $14.17 and a 200-day moving average of $10.95. The company has a debt-to-equity ratio of 0.08, a quick ratio of 1.37 and a current ratio of 1.75.

Redwire (NYSE:RDW) last posted its quarterly earnings data on Wednesday, May 6th. The company reported ($0.40) earnings per share for the quarter, missing analysts’ consensus estimates of ($0.16) by ($0.24). Redwire had a negative return on equity of 11.68% and a negative net margin of 80.90%.The company had revenue of $96.97 million for the quarter, compared to analyst estimates of $105.94 million. During the same period in the previous year, the business posted ($0.09) earnings per share. The firm’s revenue was up 57.9% compared to the same quarter last year. As a group, equities research analysts predict that Redwire Corporation will post -0.76 earnings per share for the current year.

Insider Activity at Redwire

In related news, Director Ae Red Holdings, Llc sold 1,070,565 shares of the stock in a transaction on Thursday, June 11th. The stock was sold at an average price of $21.48, for a total transaction of $22,995,736.20. Following the completion of the sale, the director directly owned 1,077,419 shares of the company’s stock, valued at $23,142,960.12. This trade represents a 49.84% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Insiders sold a total of 13,211,433 shares of company stock worth $147,576,208 in the last three months. 0.79% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On Redwire

Institutional investors have recently bought and sold shares of the company. Militia Capital Management LLC purchased a new position in Redwire during the 1st quarter worth $281,000. Parallel Advisors LLC purchased a new stake in shares of Redwire in the first quarter valued at about $28,000. Bank of America Corp DE increased its stake in shares of Redwire by 7,512.5% during the first quarter. Bank of America Corp DE now owns 6,820,003 shares of the company’s stock worth $57,970,000 after acquiring an additional 6,730,414 shares during the period. Janus Henderson Group PLC increased its stake in shares of Redwire by 157.5% during the first quarter. Janus Henderson Group PLC now owns 54,600 shares of the company’s stock worth $463,000 after acquiring an additional 33,400 shares during the period. Finally, Amundi raised its holdings in Redwire by 55.4% during the first quarter. Amundi now owns 40,197 shares of the company’s stock worth $342,000 after purchasing an additional 14,337 shares in the last quarter. 8.10% of the stock is owned by institutional investors and hedge funds.

About Redwire

Redwire Corporation is a space infrastructure company specializing in the design, engineering and manufacturing of mission-critical hardware and software for the spaceflight industry. The company’s offerings include deployable structures, solar power systems, radio frequency antennas, advanced composites and transparent optics. Redwire serves a broad customer base that spans civil space agencies, national defense organizations and commercial satellite operators, helping enable missions ranging from communications and Earth observation to deep-space exploration.

Formed through the strategic combination of several specialized space technology firms, Redwire’s portfolio encompasses both flight-proven hardware and cutting-edge in-space manufacturing capabilities.