Should you buy Red Cat stock now?
No, the technical signal for Red Cat is currently Strong Sell. Red Cat trades at $6.34 as of Oct 7, 2026. The technical analysis shows the following: MACD is negative (bearish trend) at -0.586 with rising momentum (signal: -0.591); RSI is at 31.5 (neutral zone); the stock is in a short-term downtrend (price below the 20-day average); the analyst price target of $16.50 points to 160.3% upside. The stock is in a broader downtrend (below SMA50/SMA200). Buying in a downtrend is generally not recommended. This is a technical observation based on current data, not investment advice.
What is the price target for Red Cat stock?
The average analyst price target for Red Cat is $16.50. The current price is $6.34, which gives an upside of 160.3%. Based on this, the stock is considered undervalued. The fair value range (±10% of the price target) is between $14.85 and $18.15.
Is Red Cat a dividend stock?
No, Red Cat does not currently pay a dividend to shareholders. The company reinvests its profits in growth instead of paying dividends.
What is the risk of Red Cat stock?
Red Cat is rated as a stock in the risk category Extremely speculative. the annual standard deviation is 108.3%, which classifies the stock as Extremely speculative.
Is Red Cat overvalued?
No, Red Cat is considered undervalued based on the analyst price target (160.3% upside). Red Cat has the following valuation ratios: a P/S ratio of 13.7, a P/B ratio of 2.2. The analyst price target suggests that the stock is undervalued by 160.3%.
Is Red Cat overbought?
No, Red Cat is not overbought. RSI is at 31.5 (neutral zone). The technical indicators show: RSI is at 31.5 (neutral zone between 30-70), which signals neither overbought nor oversold. In addition, the price is 9.2% below the 20-day average (short-term downtrend). In addition, MACD is negative, but momentum is rising (possible trend reversal).
When is the next Red Cat earnings report?
Red Cat reports its next earnings on November 12, 2026. The stock currently trades at $6.34. The RSI is at 31.5, so the report can reinforce the current technical trend.
Is Red Cat shorted?
Yes, Red Cat is shorted with 26.7% of the free float sold short. This is an extremely high level of short selling, which points to great skepticism among institutional investors. The risk of a short squeeze on positive news or earnings is very high. The figure comes from our data provider EODHD, is reported about twice a month, and we check it every trading day.
Are insiders buying Red Cat stock?
No, insiders are not buying Red Cat shares – they are net sellers. Over the last 3 months, insiders have made 0 purchases and 6 sales. On a net basis, 9,996,350 $ worth of shares were sold. Across the last 20 reported transactions, the split is 0 purchases and 20 sales, with a net 13,630,192 $ sold. Active sellers include Thompson Jeffrey M, Liuzza Nicholas Reyland JR, Moe Christopher R. and others. Insider selling can have several explanations (e.g. planned 10b5-1 sales, portfolio diversification or taxes), but sustained selling by several insiders is worth watching closely.
Is Red Cat a good stock?
Based on our total score, Red Cat is rated as a disastrous stock with a total score of 9 out of 100. The stock scores very low on value, quality and momentum – it is among the worst in our database. The score is made up of Value: 19/100, Quality: 2/100, Momentum: 6/100. In addition: analysts see 160.3% upside to the price target; technical signal: Strong Sell. Whether Red Cat is a good investment depends on your time horizon, risk profile and portfolio. This is a data-driven observation, not investment advice.
What is the outlook for Red Cat stock?
The outlook for Red Cat based on current data: the average analyst price target is $16.50 (+160.3%); the stock is in a downtrend (below SMA50 and SMA200); the next earnings report is due on Nov 12, 2026, which can move the price. Keep in mind that stock prices are affected by many factors, including earnings reports, the economy and market sentiment. Past returns are no guarantee of future returns.
Why is Red Cat stock falling?
Red Cat is falling right now. The technical indicators show: the price is 9.2% below the 20-day average; short interest is 26.7% (high – many are betting on a decline); insiders have mostly been selling the stock recently. For the latest context, see our technical analysis and insider section above.
How high can Red Cat go?
The average analyst price target for Red Cat is $16.50, which corresponds to a potential gain of 160.3% from the current price of $6.34. The stock has traded between $5.77 and $18.78 over the last 52 weeks. The price is 66.2% below the 52-week high, which can indicate potential if the underlying fundamentals are intact. Keep in mind that price targets are estimates, not guarantees. Actual price moves depend on earnings, market conditions and unexpected events.
How low can Red Cat fall?
The stock has traded as low as $5.77 over the last 52 weeks — that is 9.0% below the current price of $6.34. The biggest decline (drawdown) in the same period was 69.3% from high to low. Within a year, the price typically swings about ±108.3% (standard deviation — a measure of price swings). A difficult year could therefore mean a further decline of that size. Remember: past price swings are no guarantee for the future — a stock can fall further than the last 52 weeks suggest, especially on profit warnings, sector crises or a market crash. Use stop-loss orders and spread your portfolio to limit losses in single stocks.
What does Red Cat do?
Red Cat Holdings, Inc. makes equipment and solutions for the drone industry, mainly in the United States. The company earns money by combining hardware (physical equipment) and software (computer programs) into complete systems, which it sells for military, government and busi... The company belongs to the Industrials sector, more specifically the Aerospace & Defense industry, is headquartered in United States, and is traded on the USA Stocks. See the key figures, earnings history and price development above to evaluate Red Cat as an investment.
Did Red Cat raise or lower its guidance?
Over the last 60 days we have not registered a guidance raise or cut from Red Cat. The company can still adjust its guidance at quarterly reports or between reports — see the earnings history above.
Is Red Cat making money or losing money?
No, Red Cat is currently not making money — the company is losing money with a negative profit margin of -136.3%, a substantial loss. That means the business loses money on every dollar of revenue. For growth stocks investing in expansion this is normal — but it raises the risk if the company does not reach break-even before its capital runs out.
Can Red Cat go bankrupt?
The bankruptcy risk of Red Cat is rated as low. Altman Z2 (a model for assessing financial distress) is 10.87 — that places the company in the healthy zone. The company has a healthy balance sheet with limited debt relative to earnings and assets. The Piotroski score (financial health 0-9, higher is better) is 3 — which is weak. Debt relative to equity is 11% (low). Remember: models like Altman Z2 are statistical — unexpected shocks (fraud, a sector collapse, lawsuits) can always happen. Spread your portfolio.
Does Red Cat have a lot of debt?
No, Red Cat has low debt relative to equity. The debt-to-equity ratio (D/E — interest-bearing debt to equity) is 11%. For the industrials sector, anything below 100% counts as low debt. Industrial companies often sit at 100-200% because of heavy production assets and long order books. Note: D/E levels are highly sector-specific — a bank at 300% debt is normal, a tech stock at 300% is extremely leveraged. Always compare with similar companies in the same sector.
