Red Cat (NASDAQ:RCAT) Shares Gap Down – What’s Next?

Red Cat Holdings, Inc. (NASDAQ:RCAT)’s stock price gapped down before the market opened on Tuesday . The stock had previously closed at $9.61, but opened at $8.97. Red Cat shares last traded at $9.23, with a volume of 1,803,598 shares.

Red Cat Stock Down 11.7 %

The stock’s 50-day simple moving average is $3.64 and its two-hundred day simple moving average is $2.45. The company has a market capitalization of $640.66 million, a price-to-earnings ratio of -19.61 and a beta of -0.07.

Red Cat (NASDAQ:RCAT) last issued its earnings results on Monday, September 23rd. The company reported ($0.17) EPS for the quarter. The business had revenue of $2.78 million during the quarter. Red Cat had a negative net margin of 162.50% and a negative return on equity of 66.19%. On average, sell-side analysts forecast that Red Cat Holdings, Inc. will post -0.39 EPS for the current year.

Institutional Inflows and Outflows

Several hedge funds have recently bought and sold shares of the stock. Sanctuary Advisors LLC purchased a new position in shares of Red Cat in the third quarter valued at approximately $25,000. Wolverine Trading LLC purchased a new position in Red Cat in the third quarter worth approximately $233,000. State Street Corp lifted its stake in Red Cat by 44.9% in the third quarter. State Street Corp now owns 221,958 shares of the company’s stock worth $564,000 after acquiring an additional 68,800 shares during the last quarter. Centiva Capital LP purchased a new position in Red Cat in the third quarter worth approximately $207,000. Finally, Corsair Capital Management L.P. purchased a new position in Red Cat in the third quarter worth approximately $308,000. Hedge funds and other institutional investors 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.