Red Cat (NASDAQ:RCAT) Shares Down 5.8% - Here's What Happened

Red Cat Holdings, Inc. (NASDAQ:RCAT - Get Free Report) dropped 5.8% during mid-day trading on Thursday . The stock traded as low as $11.44 and last traded at $12.10. Approximately 3,359,620 shares changed hands during mid-day trading, an increase of 43% from the average daily volume of 2,351,939 shares. The stock had previously closed at $12.85.

Red Cat Trading Down 7.2 %

The business has a fifty day moving average of $7.41 and a 200-day moving average of $4.14. The company has a market cap of $956.32 million, a PE ratio of -25.93 and a beta of 1.33.

Red Cat (NASDAQ:RCAT - Get Free Report) last announced its earnings results on Monday, December 16th. The company reported ($0.18) EPS for the quarter, missing analysts' consensus estimates of $0.09 by ($0.27). Red Cat had a negative net margin of 162.50% and a negative return on equity of 66.19%. During the same period in the prior year, the company posted ($0.11) EPS. As a group, research analysts predict that Red Cat Holdings, Inc. will post -0.39 EPS for the current year.

Insider Activity at Red Cat

In other Red Cat news, CRO Geoffrey Wayne Hitchcock sold 113,823 shares of the firm's stock in a transaction that occurred on Friday, December 20th. The shares were sold at an average price of $10.44, for a total transaction of $1,188,312.12. Following the completion of the transaction, the executive now owns 558,325 shares of the company's stock, valued at approximately $5,828,913. This trade represents a 16.93 % decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, Director Nicholas Reyland Liuzza, Jr. sold 328,928 shares of the business's stock in a transaction that occurred on Wednesday, December 18th. The stock was sold at an average price of $8.29, for a total value of $2,726,813.12. Following the completion of the sale, the director now directly owns 681,072 shares in the company, valued at approximately $5,646,086.88. This represents a 32.57 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold 1,930,441 shares of company stock worth $21,099,751 over the last 90 days. 21.50% of the stock is owned by company insiders.

Institutional Inflows and Outflows

A number of large investors have recently added to or reduced their stakes in the stock. Sanctuary Advisors LLC purchased a new stake in shares of Red Cat during the third quarter valued at approximately $25,000. Sheets Smith Wealth Management bought a new stake in shares of Red Cat in the 3rd quarter worth $51,000. United Capital Management of KS Inc. purchased a new position in shares of Red Cat in the third quarter worth $108,000. Pekin Hardy Strauss Inc. bought a new position in shares of Red Cat during the third quarter valued at $138,000. Finally, PVG Asset Management Corp purchased a new stake in shares of Red Cat during the second quarter valued at $63,000. Hedge funds and other 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.