Red Cat (NASDAQ:RCAT) Shares Gap Down – Time to Sell?

Red Cat Holdings, Inc. (NASDAQ:RCAT) shares gapped down before the market opened on Friday . The stock had previously closed at $9.43, but opened at $9.18. Red Cat shares last traded at $9.10, with a volume of 2,191,402 shares changing hands.

Red Cat Stock Down 5.8 %

The company has a debt-to-equity ratio of 0.30, a current ratio of 1.43 and a quick ratio of 0.60. The company has a market cap of $712.30 million, a PE ratio of -16.56 and a beta of 1.24. The company has a fifty day moving average price of $10.10 and a 200 day moving average price of $5.96.

Red Cat (NASDAQ:RCAT) last issued its quarterly earnings data on Monday, December 16th. The company reported ($0.18) EPS for the quarter, missing the consensus estimate of $0.09 by ($0.27). Red Cat had a negative return on equity of 96.00% and a negative net margin of 232.62%. During the same period in the previous year, the business posted ($0.11) EPS. As a group, analysts anticipate that Red Cat Holdings, Inc. will post -0.5 EPS for the current year.

Insiders Place Their Bets

In other news, Director Nicholas Reyland Liuzza, Jr. sold 328,928 shares of the stock in a transaction that occurred on Wednesday, December 18th. The stock was sold at an average price of $8.29, for a total transaction of $2,726,813.12. Following the completion of the sale, the director now owns 681,072 shares of the company’s stock, valued at approximately $5,646,086.88. This represents a 32.57 % decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, insider George Michael Matus sold 112,686 shares of the company’s stock in a transaction that occurred on Wednesday, December 18th. The shares were sold at an average price of $9.20, for a total value of $1,036,711.20. Following the transaction, the insider now owns 973,103 shares of the company’s stock, valued at approximately $8,952,547.60. This represents a 10.38 % 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 quarter. 21.50% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On Red Cat

A number of institutional investors have recently added to or reduced their stakes in the company. Integrated Wealth Concepts LLC bought a new position in Red Cat in the fourth quarter worth $1,511,000. Barclays PLC raised its holdings in Red Cat by 1,090.4% in the fourth quarter. Barclays PLC now owns 104,632 shares of the company’s stock worth $1,345,000 after purchasing an additional 95,842 shares in the last quarter. Rockefeller Capital Management L.P. bought a new position in Red Cat in the fourth quarter worth $6,628,000. Waddell & Associates LLC bought a new position in Red Cat in the fourth quarter worth $159,643,000. Finally, Raymond James Financial Inc. bought a new position in Red Cat in the fourth quarter worth $478,000. Institutional investors own 37.97% of the company’s stock.

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.