Red Cat (NASDAQ:RCAT) Trading 4.3% Higher – Should You Buy?

Red Cat Holdings, Inc. (NASDAQ:RCAT)’s stock price was up 4.3% during mid-day trading on Tuesday . The stock traded as high as $7.28 and last traded at $7.18. Approximately 1,619,812 shares changed hands during trading, a decline of 64% from the average daily volume of 4,520,285 shares. The stock had previously closed at $6.88.

Analyst Upgrades and Downgrades

Several equities research analysts have recently commented on RCAT shares. Northland Securities assumed coverage on Red Cat in a research note on Tuesday, March 11th. They issued an “outperform” rating and a $13.00 target price for the company. Northland Capmk upgraded shares of Red Cat to a “strong-buy” rating in a research report on Monday, March 10th.

Red Cat Price Performance

The company has a 50 day moving average of $5.85 and a 200 day moving average of $7.54. The firm has a market cap of $630.68 million, a price-to-earnings ratio of -12.86 and a beta of 1.37. The company has a current ratio of 1.43, a quick ratio of 0.60 and a debt-to-equity ratio of 0.30.

Red Cat (NASDAQ:RCAT) last issued its quarterly earnings data on Wednesday, May 14th. The company reported ($0.27) EPS for the quarter, missing analysts’ consensus estimates of ($0.10) by ($0.17). Red Cat had a negative return on equity of 96.00% and a negative net margin of 232.62%. Equities research analysts predict that Red Cat Holdings, Inc. will post -0.5 EPS for the current fiscal year.

Institutional Inflows and Outflows

Institutional investors have recently made changes to their positions in the stock. Bank of Montreal Can acquired a new position in Red Cat during the fourth quarter worth approximately $166,000. Silver Oak Securities Incorporated raised its stake in Red Cat by 502.3% in the 4th quarter. Silver Oak Securities Incorporated now owns 60,755 shares of the company’s stock valued at $856,000 after acquiring an additional 50,668 shares during the period. N.E.W. Advisory Services LLC acquired a new stake in Red Cat during the 4th quarter valued at $423,000. Charles Schwab Investment Management Inc. lifted its holdings in Red Cat by 63.4% during the 4th quarter. Charles Schwab Investment Management Inc. now owns 30,059 shares of the company’s stock valued at $386,000 after purchasing an additional 11,661 shares during the last quarter. Finally, Jones Financial Companies Lllp boosted its position in Red Cat by 1,536.6% during the fourth quarter. Jones Financial Companies Lllp now owns 8,887 shares of the company’s stock worth $114,000 after purchasing an additional 8,344 shares during the period. Institutional investors and hedge funds own 37.97% of the company’s stock.

About Red Cat

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.