Red Cat (NASDAQ:RCAT) Trading Down 7.1% on Insider Selling

Shares of Red Cat Holdings, Inc. (NASDAQ:RCAT) dropped 7.1% during mid-day trading on Friday after an insider sold shares in the company. The company traded as low as $12.00 and last traded at $12.46. Approximately 9,302,877 shares traded hands during mid-day trading, an increase of 317% from the average daily volume of 2,232,723 shares. The stock had previously closed at $13.41.

Specifically, insider George Michael Matus sold 309,491 shares of the company’s stock in a transaction dated Thursday, December 26th. The stock was sold at an average price of $14.27, for a total value of $4,416,436.57. Following the completion of the transaction, the insider now directly owns 304,406 shares in the company, valued at approximately $4,343,873.62. This represents a 50.41 % decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, insider George Michael Matus sold 72,093 shares of the business’s stock in a transaction that occurred on Tuesday, December 24th. The stock was sold at an average price of $12.10, for a total value of $872,325.30. Following the completion of the sale, the insider now owns 613,897 shares of the company’s stock, valued at $7,428,153.70. The trade was a 10.51 % decrease in their position. The disclosure for this sale can be found here. In other Red Cat news, CRO Geoffrey Wayne Hitchcock sold 113,823 shares of the 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 transaction, the executive now directly owns 558,325 shares in the company, valued at $5,828,913. This trade represents a 16.93 % decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink.

Red Cat Trading Down 8.6 %

The stock has a market capitalization of $982.77 million, a P/E ratio of -26.65 and a beta of 1.33. The stock’s fifty day moving average price is $6.79 and its two-hundred day moving average price is $3.86.

Red Cat (NASDAQ:RCAT) last posted its quarterly earnings results on Monday, December 16th. The company reported ($0.18) earnings per share for the quarter, missing the consensus estimate of $0.09 by ($0.27). Red Cat had a negative return on equity of 66.19% and a negative net margin of 162.50%. During the same quarter in the prior year, the company earned ($0.11) earnings per share. As a group, analysts expect that Red Cat Holdings, Inc. will post -0.39 earnings per share for the current fiscal year.

Institutional Investors Weigh In On Red Cat

Several institutional investors have recently bought and sold shares of the stock. Renaissance Technologies LLC purchased a new position in Red Cat in the 2nd quarter worth approximately $267,000. Corsair Capital Management L.P. purchased a new position in shares of Red Cat in the third quarter worth $308,000. Wolverine Trading LLC bought a new stake in Red Cat during the 3rd quarter valued at $233,000. Centiva Capital LP bought a new stake in Red Cat during the 3rd quarter valued at $207,000. Finally, State Street Corp boosted its position in Red Cat by 44.9% during the 3rd quarter. State Street Corp now owns 221,958 shares of the company’s stock valued at $564,000 after buying an additional 68,800 shares during the period. 37.97% of the stock is currently owned by hedge funds and other institutional investors.

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.