Red Cat (NASDAQ:RCAT) Shares Gap Up – Time to Buy?

Red Cat Holdings, Inc. (NASDAQ:RCAT) gapped up prior to trading on Thursday . The stock had previously closed at $10.45, but opened at $11.23. Red Cat shares last traded at $12.1070, with a volume of 11,367,781 shares changing hands.

Analyst Upgrades and Downgrades

A number of equities research analysts have commented on the company. Wall Street Zen cut Red Cat from a “hold” rating to a “sell” rating in a report on Saturday, October 4th. Needham & Company LLC dropped their price objective on Red Cat from $17.00 to $12.00 and set a “buy” rating for the company in a research report on Friday, November 14th. LADENBURG THALM/SH SH upgraded shares of Red Cat to a “strong-buy” rating in a report on Thursday, December 18th. Finally, Weiss Ratings reiterated a “sell (d-)” rating on shares of Red Cat in a report on Wednesday, October 8th. Two investment analysts have rated the stock with a Strong Buy rating, two have assigned a Buy rating and one has assigned a Sell rating to the stock. According to data from MarketBeat.com, Red Cat currently has a consensus rating of “Buy” and an average price target of $14.00.

Red Cat Price Performance

The company has a fifty day moving average of $8.29 and a two-hundred day moving average of $9.34. The stock has a market capitalization of $1.43 billion, a P/E ratio of -27.08 and a beta of 1.48.

Red Cat (NASDAQ:RCAT) last issued its quarterly earnings results on Thursday, November 13th. The company reported ($0.16) earnings per share for the quarter, missing analysts’ consensus estimates of ($0.07) by ($0.09). The firm had revenue of $9.65 million during the quarter, compared to analyst estimates of $8.18 million. As a group, equities research analysts predict that Red Cat Holdings, Inc. will post -0.5 EPS for the current fiscal year.

Institutional Trading of Red Cat

Hedge funds have recently made changes to their positions in the stock. Bank of America Corp DE boosted its holdings in Red Cat by 407.0% during the fourth quarter. Bank of America Corp DE now owns 3,397 shares of the company’s stock worth $44,000 after buying an additional 2,727 shares in the last quarter. Royal Bank of Canada grew its holdings in shares of Red Cat by 76.4% in the 1st quarter. Royal Bank of Canada now owns 57,800 shares of the company’s stock worth $340,000 after acquiring an additional 25,031 shares during the last quarter. Integrated Wealth Concepts LLC raised its position in shares of Red Cat by 66.0% during the first quarter. Integrated Wealth Concepts LLC now owns 195,225 shares of the company’s stock worth $1,148,000 after purchasing an additional 77,630 shares during the period. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. lifted its holdings in shares of Red Cat by 63.6% during the first quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 229,259 shares of the company’s stock valued at $1,348,000 after purchasing an additional 89,095 shares during the last quarter. Finally, Goldman Sachs Group Inc. increased its stake in Red Cat by 28.7% in the 1st quarter. Goldman Sachs Group Inc. now owns 266,099 shares of the company’s stock worth $1,565,000 after purchasing an additional 59,334 shares in the last quarter. Institutional investors own 37.97% of the company’s stock.

About Red Cat

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.