What is HC Wainwright’s Estimate for Red Cat Q3 Earnings?

Red Cat Holdings, Inc. (NASDAQ:RCAT) – Equities researchers at HC Wainwright reduced their Q3 2026 earnings estimates for shares of Red Cat in a research report issued on Friday, August 7th. HC Wainwright analyst A. Dayal now expects that the company will post earnings per share of ($0.22) for the quarter, down from their previous estimate of ($0.19). HC Wainwright currently has a “Buy” rating and a $20.00 target price on the stock. The consensus estimate for Red Cat’s current full-year earnings is ($0.68) per share. HC Wainwright also issued estimates for Red Cat’s Q4 2026 earnings at ($0.19) EPS, FY2026 earnings at ($0.89) EPS, FY2027 earnings at ($0.90) EPS, FY2028 earnings at ($0.84) EPS, FY2029 earnings at ($0.31) EPS and FY2030 earnings at $0.33 EPS.

RCAT has been the subject of a number of other reports. Needham & Company LLC lowered their price target on shares of Red Cat from $20.00 to $15.00 and set a “buy” rating for the company in a research report on Friday. Roth Capital started coverage on shares of Red Cat in a research report on Monday, June 1st. They set a “buy” rating and a $25.00 price objective on the stock. Clear Str upgraded shares of Red Cat to a “strong-buy” rating in a research note on Wednesday, April 29th. Wall Street Zen cut Red Cat from a “sell” rating to a “strong sell” rating in a research report on Saturday, July 18th. Finally, LADENBURG THALM/SH SH upgraded shares of Red Cat to a “strong-buy” rating in a research report on Wednesday, May 6th. Two research analysts have rated the stock with a Strong Buy rating, four have assigned a Buy rating and one has given a Sell rating to the stock. According to MarketBeat, the company currently has an average rating of “Buy” and an average target price of $20.40.

Red Cat Price Performance

Shares of RCAT opened at $10.00 on Tuesday. The company has a 50-day simple moving average of $9.79 and a two-hundred day simple moving average of $11.79. The firm has a market capitalization of $1.23 billion, a PE ratio of -12.35 and a beta of 1.32. Red Cat has a one year low of $5.77 and a one year high of $18.78.

Red Cat (NASDAQ:RCAT) last announced its quarterly earnings results on Thursday, August 6th. The company reported ($0.26) earnings per share (EPS) for the quarter, missing the consensus estimate of ($0.21) by ($0.05). Red Cat had a negative net margin of 136.26% and a negative return on equity of 39.64%. The company had revenue of $20.20 million for the quarter, compared to analysts’ expectations of $22.65 million.

Institutional Trading of Red Cat

Several institutional investors and hedge funds have recently made changes to their positions in RCAT. IFP Advisors Inc lifted its stake in Red Cat by 181.1% in the third quarter. IFP Advisors Inc now owns 2,670 shares of the company’s stock worth $28,000 after acquiring an additional 1,720 shares during the period. Fifth Third Bancorp purchased a new position in Red Cat during the 1st quarter valued at about $33,000. California State Teachers Retirement System bought a new stake in shares of Red Cat in the 2nd quarter valued at about $34,000. NFSG Corp raised its holdings in shares of Red Cat by 200.0% in the 1st quarter. NFSG Corp now owns 3,000 shares of the company’s stock valued at $39,000 after purchasing an additional 2,000 shares in the last quarter. Finally, PNC Financial Services Group Inc. raised its stake in Red Cat by 294.6% in the first quarter. PNC Financial Services Group Inc. now owns 3,042 shares of the company’s stock worth $40,000 after buying an additional 2,271 shares in the last quarter. 37.97% of the stock is currently owned by institutional investors.

Insiders Place Their Bets

In other Red Cat news, Director Paul Funk II sold 165,028 shares of Red Cat stock in a transaction on Thursday, June 11th. The stock was sold at an average price of $11.50, for a total transaction of $1,897,822.00. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. 12.50% of the stock is currently owned by company insiders.

Key Headlines Impacting Red Cat

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

• Positive Sentiment: Red Cat announced a multiyear partnership with the Washington Commanders focused on military appreciation initiatives, community events and NFL-season marketing. The agreement could improve brand awareness and reinforce Red Cat’s defense-oriented identity, although it does not include disclosed financial terms. Red Cat Announces Multiyear Partnership with Washington Commanders
• Positive Sentiment: Analyst sentiment remains favorable: Red Cat received an average “Buy” rating, while HC Wainwright reiterated its “Buy” recommendation. Previously reported analyst price targets were materially above the stock’s recent trading level, supporting the rebound narrative. Red Cat Receives Average Rating of Buy Red Cat Buy Rating Reiterated at HC Wainwright
• Positive Sentiment: Unusually high options activity may be adding speculative buying pressure. Traders purchased 52,096 call options, roughly 92% above typical daily call volume, signaling increased bullish interest but not guaranteed future gains.
• Neutral Sentiment: Strength in peer Unusual Machines and broader drone-stock momentum suggests RCAT is benefiting from a sector-wide trade rather than company-specific fundamentals alone. Unusual Machines Stock Is Climbing
• Negative Sentiment: Recent earnings remain a fundamental risk. Red Cat missed quarterly EPS and revenue expectations, with a negative net margin and analysts forecasting a full-year loss, making the rally vulnerable if growth or defense bookings disappoint. Red Cat Stock May Stay Stretched Despite Strong Revenue Growth
• Negative Sentiment: The stock may remain stretched after its post-earnings rebound, while reported insider activity showed sales and no purchases during the past six months—signals that could temper investor confidence.

About Red Cat

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.