Redwire (NYSE:RDW) Shares Down 11.8% Following Insider Selling
by Mitch Edgeman · The Markets DailyRedwire Corporation (NYSE:RDW – Get Free Report) fell 11.8% during mid-day trading on Friday following insider selling activity. The company traded as low as $14.72 and last traded at $15.0780. 63,480,700 shares traded hands during trading, an increase of 98% from the average session volume of 32,033,848 shares. The stock had previously closed at $17.09.
Specifically, Director Ae Red Holdings, Llc sold 1,070,565 shares of the business’s stock in a transaction dated Thursday, June 11th. The stock was sold at an average price of $21.48, for a total value of $22,995,736.20. Following the transaction, the director owned 1,077,419 shares in the company, valued at approximately $23,142,960.12. The trade was a 49.84% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link.
Analyst Ratings Changes
Several research analysts recently commented on RDW shares. Jefferies Financial Group upgraded Redwire to a “hold” rating in a research note on Wednesday. Alliance Global Partners reissued a “buy” rating on shares of Redwire in a research report on Wednesday, April 22nd. Weiss Ratings reissued a “sell (d-)” rating on shares of Redwire in a research report on Tuesday, April 21st. Truist Financial raised shares of Redwire to a “strong-buy” rating in a report on Friday, May 1st. Finally, Canaccord Genuity Group raised their price objective on shares of Redwire from $12.00 to $14.00 and gave the stock a “buy” rating in a report on Monday, May 11th. One analyst has rated the stock with a Strong Buy rating, six have given a Buy rating, three have assigned a Hold rating and two have issued a Sell rating to the stock. According to data from MarketBeat.com, Redwire has an average rating of “Moderate Buy” and a consensus price target of $15.44.
Read Our Latest Report on Redwire
Key Stories Impacting Redwire
Here are the key news stories impacting Redwire this week:
- Positive Sentiment: Investor interest in space-related names is rising ahead of a potential SpaceX IPO, which is putting Redwire back in the spotlight as a “picks and shovels” supplier to the space industry. Is Redwire a Millionaire-Maker Stock?
- Positive Sentiment: Some bullish investors argue Redwire could benefit from growing demand for mission-critical spacecraft components and broader optimism around commercial space infrastructure. Is Redwire Corporation (RDW) A Good Stock To Buy Now?
- Neutral Sentiment: Jefferies upgraded Redwire to hold, which suggests the business has improved enough to warrant a less bearish stance, but not enough for a stronger buy rating. Zacks.com
- Neutral Sentiment: Commentary on Redwire’s investment story says expectations are increasingly catching up with reality, implying the stock may need more concrete execution to justify further gains. How The Investment Story Is Shifting For Redwire (RDW) As Expectations Catch Up To Reality
- Negative Sentiment: Redwire’s expanded at-the-market equity program and a separate report on a potential US$500 million ATM are raising dilution concerns, which can pressure the stock by signaling more share issuance ahead. Redwire Establishes Expanded At-The-Market Equity Program
- Negative Sentiment: Bearish articles are warning that investors may be overpaying for growth, with one piece explicitly saying it would pass on RDW at current levels. As SpaceX Prepares Its IPO, Redwire Stock Is in the Spotlight. Why I would Pass on RDW Here.
- Negative Sentiment: Coverage highlighting why RDW is down today points to the company’s $500 million equity-raising plan, reinforcing dilution fears as the main short-term overhang. The $500 Million Reason Redwire Stock Is Down Today
Redwire Price Performance
The company has a 50 day simple moving average of $13.46 and a 200-day simple moving average of $10.47. The stock has a market cap of $2.89 billion, a price-to-earnings ratio of -5.63 and a beta of 2.92. The company has a quick ratio of 1.37, a current ratio of 1.75 and a debt-to-equity ratio of 0.08.
Redwire (NYSE:RDW – Get Free Report) last announced its quarterly earnings data on Wednesday, May 6th. The company reported ($0.40) earnings per share (EPS) for the quarter, missing the consensus estimate of ($0.16) by ($0.24). Redwire had a negative net margin of 80.90% and a negative return on equity of 11.68%. The firm had revenue of $96.97 million for the quarter, compared to analyst estimates of $105.94 million. During the same quarter in the previous year, the company earned ($0.09) EPS. The company’s quarterly revenue was up 57.9% compared to the same quarter last year. As a group, research analysts anticipate that Redwire Corporation will post -0.76 EPS for the current fiscal year.
Institutional Trading of Redwire
Institutional investors and hedge funds have recently bought and sold shares of the company. Parallel Advisors LLC acquired a new stake in Redwire during the first quarter valued at approximately $28,000. KBC Group NV acquired a new stake in shares of Redwire during the 1st quarter worth approximately $29,000. Sunbelt Securities Inc. raised its position in shares of Redwire by 601.1% during the 4th quarter. Sunbelt Securities Inc. now owns 3,961 shares of the company’s stock worth $30,000 after purchasing an additional 3,396 shares during the period. CWM LLC raised its position in shares of Redwire by 1,725.0% during the 4th quarter. CWM LLC now owns 4,088 shares of the company’s stock worth $31,000 after purchasing an additional 3,864 shares during the period. Finally, Rockefeller Capital Management L.P. raised its position in shares of Redwire by 1,054.0% during the 4th quarter. Rockefeller Capital Management L.P. now owns 4,016 shares of the company’s stock worth $31,000 after purchasing an additional 3,668 shares during the period. Institutional investors and hedge funds own 8.10% of the company’s stock.
Redwire Company Profile
Redwire Corporation is a space infrastructure company specializing in the design, engineering and manufacturing of mission-critical hardware and software for the spaceflight industry. The company’s offerings include deployable structures, solar power systems, radio frequency antennas, advanced composites and transparent optics. Redwire serves a broad customer base that spans civil space agencies, national defense organizations and commercial satellite operators, helping enable missions ranging from communications and Earth observation to deep-space exploration.
Formed through the strategic combination of several specialized space technology firms, Redwire’s portfolio encompasses both flight-proven hardware and cutting-edge in-space manufacturing capabilities.