Christopher Moe Sells 10,000 Shares of Red Cat (NASDAQ:RCAT) Stock

Red Cat Holdings, Inc. (NASDAQ:RCAT) Director Christopher Moe sold 10,000 shares of Red Cat stock in a transaction on Monday, August 25th. The shares were sold at an average price of $10.04, for a total value of $100,400.00. Following the completion of the sale, the director directly owned 220,502 shares of the company’s stock, valued at $2,213,840.08. The trade was a 4.34% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available at this hyperlink.

Red Cat Trading Up 8.8%

RCAT stock opened at $11.13 on Friday. The business’s fifty day moving average price is $9.51 and its 200 day moving average price is $11.66. Red Cat Holdings, Inc. has a 12-month low of $5.77 and a 12-month high of $18.78. The company has a market capitalization of $1.37 billion, a PE ratio of -13.74 and a beta of 1.31.

Red Cat (NASDAQ:RCAT) last announced its earnings results on Thursday, August 6th. The company reported ($0.26) EPS for the quarter, missing analysts’ consensus estimates of ($0.21) by ($0.05). The firm had revenue of $20.20 million for the quarter, compared to analysts’ expectations of $22.65 million. Red Cat had a negative net margin of 136.26% and a negative return on equity of 32.25%. Research analysts predict that Red Cat Holdings, Inc. will post -0.78 EPS for the current fiscal year.

Analysts Set New Price Targets

Several brokerages recently weighed in on RCAT. UBS Group assumed coverage on shares of Red Cat in a research note on Wednesday, May 27th. They set a “buy” rating on the stock. Needham & Company LLC decreased their price target on shares of Red Cat from $20.00 to $15.00 and set a “buy” rating for the company in a research report on Friday, August 7th. Clear Str upgraded shares of Red Cat to a “strong-buy” rating in a research note on Wednesday, April 29th. Weiss Ratings reaffirmed a “sell (d-)” rating on shares of Red Cat in a research report on Friday, July 17th. Finally, Roth Capital began coverage on Red Cat in a report on Monday, June 1st. They issued a “buy” rating and a $25.00 target price for the company. Two research analysts have rated the stock with a Strong Buy rating, four have assigned a Buy rating and one has assigned a Sell rating to the company. According to MarketBeat, the company has an average rating of “Buy” and a consensus price target of $20.40.

Institutional Trading of Red Cat

Large investors have recently made changes to their positions in the company. Sei Investments Co. acquired a new position in shares of Red Cat during the first quarter worth $2,328,000. EVR Research LP acquired a new stake in Red Cat in the fourth quarter valued at $1,705,000. Janus Henderson Group PLC lifted its holdings in Red Cat by 733.7% during the 1st quarter. Janus Henderson Group PLC now owns 392,808 shares of the company’s stock worth $5,141,000 after buying an additional 345,693 shares during the last quarter. Empowered Funds LLC purchased a new stake in Red Cat during the 1st quarter worth about $2,232,000. Finally, Caitong International Asset Management Co. Ltd boosted its position in shares of Red Cat by 1,825.1% during the 4th quarter. Caitong International Asset Management Co. Ltd now owns 54,152 shares of the company’s stock worth $429,000 after acquiring an additional 51,339 shares in the last quarter. 37.97% of the stock is currently owned by hedge funds and other institutional investors.

Key Red Cat News

Here are the key news stories impacting Red Cat this week:

• Positive Sentiment: Red Cat is gaining alongside other domestic drone companies after reports that President Trump plans a 100% tariff on drones. Investors appear to view the measure as a potential boost for U.S.-based suppliers serving defense and government customers. Unusual Machines Soars, Red Cat Climbs and Ondas Gains on Trump’s Drone Tariff
• Positive Sentiment: The company promoted Mitch McDonald to divisional CEO of its unmanned aerial systems operations, bringing Teal Drones and FlightWave Aerospace under unified leadership. The move is intended to improve coordination, manufacturing scale and execution as defense demand grows. Red Cat Promotes Mitch McDonald to Divisional CEO of its UAS Operations
• Neutral Sentiment: Weakness in drone peer Ondas Holdings after its earnings report may create sector-wide volatility. However, Ondas’ Israeli defense tender win reinforces investor interest in the broader autonomous-defense market without providing direct revenue to RCAT. Ondas Drops After Earnings
• Negative Sentiment: Recent SEC-reported insider sales could temper enthusiasm. Director Christopher R. Moe sold a combined 30,000 shares, while Director Nicholas Reyland Liuzza Jr. sold 55,000 shares. The transactions reduced their reported holdings and may raise concerns about insider conviction, even though both directors retained substantial positions. Red Cat Director Stock Sale
• Negative Sentiment: Analysts reportedly reduced their third-quarter EPS expectations. That follows Red Cat’s latest quarterly miss, when it reported a loss of $0.26 per share versus an expected loss of $0.21 and revenue of $20.2 million versus $22.65 million expected. The company remains unprofitable, making execution and future defense orders important to the valuation.

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.