Red Cat (NASDAQ:RCAT) Shares Gap Down – Here’s Why

Red Cat Holdings, Inc. (NASDAQ:RCAT)’s stock price gapped down before the market opened on Thursday . The stock had previously closed at $7.45, but opened at $6.62. Red Cat shares last traded at $6.12, with a volume of 3,765,069 shares traded.

Wall Street Analysts Forecast Growth

A number of brokerages have commented on RCAT. Northland Capmk upgraded Red Cat to a “strong-buy” rating in a research note on Monday, March 10th. Northland Securities started coverage on Red Cat in a research note on Tuesday, March 11th. They issued an “outperform” rating and a $13.00 price target for the company.

Red Cat Stock Down 27.6 %

The firm has a market cap of $462.24 million, a P/E ratio of -10.21 and a beta of 1.34. The business’s fifty day moving average price is $7.00 and its two-hundred day moving average price is $7.01. The company has a current ratio of 1.43, a quick ratio of 0.60 and a debt-to-equity ratio of 0.30.

Institutional Trading of Red Cat

A number of institutional investors and hedge funds have recently made changes to their positions in RCAT. Sanctuary Advisors LLC bought a new position in shares of Red Cat in the 3rd quarter valued at approximately $25,000. Twin Tree Management LP bought a new position in shares of Red Cat in the fourth quarter valued at approximately $28,000. Bank of America Corp DE lifted its stake in shares of Red Cat by 407.0% in 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 during the last quarter. Mark Sheptoff Financial Planning LLC acquired a new stake in shares of Red Cat in the fourth quarter worth $48,000. Finally, SBI Securities Co. Ltd. bought a new stake in shares of Red Cat during the 4th quarter worth $60,000. 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.