Red Cat (NASDAQ:RCAT) Price Target Raised to $20.00

by · The Markets Daily

Red Cat (NASDAQ:RCAT – Get Free Report) had its target price boosted by equities researchers at LADENBURG THALM/SH SH from $15.00 to $20.00 in a report issued on Tuesday,Benzinga reports. The brokerage currently has a “buy” rating on the stock. LADENBURG THALM/SH SH’s price objective suggests a potential upside of 37.08% from the company’s previous close.

Other equities research analysts also recently issued reports about the stock. Northland Securities set a $22.00 target price on shares of Red Cat in a research note on Tuesday, January 20th. Needham & Company LLC restated a “buy” rating and set a $16.00 price objective on shares of Red Cat in a research report on Monday. Finally, Weiss Ratings reaffirmed a “sell (d-)” rating on shares of Red Cat in a report on Thursday, January 22nd. One research analyst has rated the stock with a Strong Buy rating, two have issued a Buy rating and one has assigned a Sell rating to the company. According to MarketBeat, Red Cat has an average rating of “Moderate Buy” and a consensus target price of $19.33.

Get Our Latest Stock Analysis on RCAT

Red Cat Stock Performance

Red Cat stock traded up $0.92 during midday trading on Tuesday, hitting $14.59. 32,948,471 shares of the company’s stock were exchanged, compared to its average volume of 14,051,628. The company has a market cap of $1.74 billion, a P/E ratio of -33.16 and a beta of 1.50. The stock has a 50-day moving average price of $12.24 and a two-hundred day moving average price of $10.58. Red Cat has a 52-week low of $4.58 and a 52-week high of $18.02.

Hedge Funds Weigh In On Red Cat

A number of hedge funds have recently modified their holdings of RCAT. Bank of America Corp DE lifted its stake in shares of Red Cat by 407.0% in the 4th quarter. Bank of America Corp DE now owns 3,397 shares of the company’s stock valued at $44,000 after purchasing an additional 2,727 shares during the period. Royal Bank of Canada lifted its position in Red Cat by 76.4% during the first quarter. Royal Bank of Canada now owns 57,800 shares of the company’s stock valued at $340,000 after buying an additional 25,031 shares during the period. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. boosted its holdings in shares of Red Cat by 63.6% during the 1st quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 229,259 shares of the company’s stock valued at $1,348,000 after buying an additional 89,095 shares in the last quarter. Goldman Sachs Group Inc. boosted its holdings in shares of Red Cat by 28.7% during the 1st quarter. Goldman Sachs Group Inc. now owns 266,099 shares of the company’s stock valued at $1,565,000 after buying an additional 59,334 shares in the last quarter. Finally, AlphaQuest LLC bought a new position in shares of Red Cat in the 2nd quarter worth about $67,000. Hedge funds and other institutional investors own 37.97% of the company’s stock.

Key Stories Impacting Red Cat

Here are the key news stories impacting Red Cat this week:

  • Positive Sentiment: Unusually large call buying — Traders purchased 28,662 call options, roughly 31% above typical call volume, signaling short‑term bullish bets that can amplify upside and volume interest.
  • Positive Sentiment: Geopolitical demand driver — Market commentary highlights that the conflict in Iran is boosting demand for drones and related systems, which benefits Red Cat as a defense drone/robotics supplier. Why Red Cat Stock Soared Today
  • Positive Sentiment: Strategic partnership — Allen Control Systems joined Red Cat’s Red Cat Futures Initiative to integrate ACS’s Bullfrog autonomous counter‑drone/robotic weapon station into Red Cat’s ecosystem, strengthening product breadth for counter‑drone and precision defense customers. Allen Control Systems Joins Red Cat Futures Initiative
  • Positive Sentiment: Analyst support — Needham reaffirmed a “buy” rating with a $16 price target, providing institutional validation (though the target implies modest upside from recent levels). Benzinga
  • Neutral Sentiment: Market‑level analysis and volatility — Recent writeups review Red Cat’s valuation after sharp swings (big short‑term moves but strong multi‑month gains); these analyses provide context but don’t change fundamentals on their own. Assessing Red Cat Holdings (RCAT) Valuation After Recent Share Price Swings And Defense Drone Momentum
  • Neutral Sentiment: Company positioning narrative — Coverage discusses Red Cat’s pivot toward interoperable, American‑made autonomous systems via the Bullfrog integration; strategic story is constructive but execution/timelines matter. Is Red Cat (RCAT) Quietly Recasting Its Defense Role With Allen Control’s Bullfrog Integration?
  • Negative Sentiment: Sector volatility risk — A peer (AeroVironment) is seeing sharp stock declines amid program and market shifts, underscoring that defense‑sector headlines and program‑specific outcomes can drive rapid downside for supplier stocks. Drone Maker AeroVironment Stock Is Tanking. Here’s Why.

Red Cat Company Profile

(Get Free Report)

Red Cat Holdings, Inc (NASDAQ: RCAT) is a technology holding company that develops and delivers advanced robotics, autonomy, and sensing solutions for defense, national security, public safety and commercial customers. Headquartered in American Fork, Utah, the company brings together a portfolio of specialized operating businesses focused on unmanned aerial systems (UAS), mission management software, precision mapping sensors and engineering services.

Through its UAS segment, Red Cat designs and manufactures small to medium-sized fixed-wing and vertical-takeoff drones that support intelligence, surveillance and reconnaissance (ISR) missions.

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