Red Cat (NASDAQ:RCAT) Shares Gap Up – Time to Buy?

Red Cat Holdings, Inc. (NASDAQ:RCAT) shares gapped up prior to trading on Wednesday . The stock had previously closed at $9.18, but opened at $9.50. Red Cat shares last traded at $9.52, with a volume of 666,166 shares trading hands.

Red Cat Trading Down 8.5 %

The stock has a market cap of $633.86 million, a price-to-earnings ratio of -21.54 and a beta of 1.33. The company has a 50 day simple moving average of $4.46 and a 200-day simple moving average of $2.82.

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

Institutional Inflows and Outflows

Institutional investors have recently modified their holdings of the stock. Sanctuary Advisors LLC acquired a new stake in shares of Red Cat during the third quarter worth $25,000. Sheets Smith Wealth Management bought a new stake in shares of Red Cat during the third quarter worth about $51,000. United Capital Management of KS Inc. purchased a new stake in shares of Red Cat in the third quarter worth approximately $108,000. XTX Topco Ltd boosted its holdings in Red Cat by 390.9% during the 2nd quarter. XTX Topco Ltd now owns 58,895 shares of the company’s stock worth $68,000 after acquiring an additional 46,897 shares during the last quarter. Finally, Pekin Hardy Strauss Inc. purchased a new stake in Red Cat in the 3rd quarter valued at about $138,000. 37.97% of the stock is currently owned by institutional investors and hedge funds.

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.