Red Cat (NASDAQ:RCAT) Upgraded by Wall Street Zen to Sell Rating

Red Cat (NASDAQ:RCAT) was upgraded by stock analysts at Wall Street Zen from a “strong sell” rating to a “sell” rating in a note issued to investors on Saturday.

RCAT has been the subject of a number of other reports. UBS Group began coverage on Red Cat in a research note on Wednesday, May 27th. They set a “buy” rating for the company. Roth Mkm began coverage on Red Cat in a research note on Monday, June 1st. They issued a “buy” rating and a $25.00 target price on the stock. LADENBURG THALM/SH SH raised shares of Red Cat to a “strong-buy” rating in a report on Wednesday, May 6th. HC Wainwright initiated coverage on shares of Red Cat in a research report on Wednesday, May 27th. They set a “buy” rating and a $20.00 price target for the company. Finally, Clear Str raised shares of Red Cat to a “strong-buy” rating in a report on Wednesday, April 29th. Two analysts have rated the stock with a Strong Buy rating, four have given a Buy rating and one has issued a Sell rating to the company. According to MarketBeat.com, the stock currently has a consensus rating of “Buy” and a consensus target price of $21.40.

Red Cat Trading Up 4.2%

NASDAQ:RCAT opened at $9.28 on Friday. The firm has a market capitalization of $1.14 billion, a PE ratio of -13.26 and a beta of 1.23. The stock has a 50 day moving average of $11.31 and a 200-day moving average of $12.02. Red Cat has a 52 week low of $5.77 and a 52 week high of $18.78.

Red Cat (NASDAQ:RCAT) last announced its quarterly earnings results on Thursday, May 7th. The company reported ($0.22) earnings per share for the quarter, missing analysts’ consensus estimates of ($0.12) by ($0.10). The company had revenue of $15.47 million for the quarter, compared to analyst estimates of $17.63 million. Red Cat had a negative return on equity of 35.86% and a negative net margin of 138.36%.The company’s revenue for the quarter was up 849.1% on a year-over-year basis. As a group, analysts predict that Red Cat will post -0.68 EPS for the current fiscal year.

Insider Activity

In other news, Director Paul Funk II sold 165,028 shares of the business’s stock in a transaction that occurred on Thursday, June 11th. The stock was sold at an average price of $11.50, for a total transaction of $1,897,822.00. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this link. Corporate insiders own 12.50% of the company’s stock.

Institutional Trading of Red Cat

Several large investors have recently added to or reduced their stakes in the business. State Street Corp raised its stake in Red Cat by 136.4% during the 4th quarter. State Street Corp now owns 6,612,153 shares of the company’s stock valued at $52,434,000 after acquiring an additional 3,815,310 shares in the last quarter. Vanguard Group Inc. grew its stake in shares of Red Cat by 9.0% in the fourth quarter. Vanguard Group Inc. now owns 6,000,037 shares of the company’s stock worth $47,580,000 after purchasing an additional 493,660 shares in the last quarter. Geode Capital Management LLC grew its stake in shares of Red Cat by 13.4% in the fourth quarter. Geode Capital Management LLC now owns 2,520,524 shares of the company’s stock worth $19,991,000 after purchasing an additional 297,967 shares in the last quarter. Brevan Howard Capital Management LP acquired a new position in shares of Red Cat during the third quarter valued at $19,739,000. Finally, Davidson Kempner Capital Management LP acquired a new position in shares of Red Cat during the third quarter valued at $17,286,000. 37.97% of the stock is currently owned by institutional investors and hedge funds.

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.