Red Cat Holdings, Inc. (RCAT) Stock

Red Cat Holdings, Inc. (RCAT) is a Technology stock trading at $9.64 (as of 2026-08-21), with a market capitalization of $1.18B. Figures are sourced from first-party U.S. SEC EDGAR filings and market data.

Red Cat Holdings, Inc., through its subsidiaries, supplies products and services for the drone industry, including unmanned aerial vehicle technology for uses such as reconnaissance, public safety, and inspection. It also provides FPV video goggles and inspection solutions for environments where GPS is unavailable, serving commercial and government customers as well as consumer drone equipment buyers.

Understand Red Cat Holdings, Inc.: how it makes money

Red Cat Holdings provides drone technology and solutions for reconnaissance, public safety, and inspection, including FPV video goggles and inspection-enabling software and hardware, and it sells drones and equipment to consumer and government customers.

The profit engine depends on turning limited production inputs (chipset inventory and production capacity) into delivered drone systems for specific programs, while consumer sales proceeds add a smaller, separate revenue stream.

Business quality (Weak): Investor signal is mostly operational (deliveries, production capacity, chipset inventory), but the latest period shows very weak profitability (operating margin far below zero), and the available revenue breakdown is not cleanly mapped to official reportable segments.

Bull case

  • Production and delivery momentum are measurable: Systems Delivered for Initial Operational Tests and Evaluation was 40 (count), alongside stated production capacity of 100 systems per month.
  • Program-based build planning is observable: The company cites Golden Eagle chipsets to build of 4,000 (count), and Golden Eagles to build of 4,000 (count), which can provide a clearer path from inputs to outputs.

Bear case

  • Profitability is currently very poor: Latest reported operating margin is -176.5%, indicating operating losses that can overwhelm gross profit.
  • Execution risk tied to constrained inputs: Chipset inventory is cited as 3,700 (count) at the time of comment, and multiple delivery estimates are linked to that inventory, creating risk if supply or conversion to deliveries underperforms.
  • Revenue visibility looks limited in the presented data: Total revenue is shown as 0.0B, while only small, specific revenue candidates are listed, which may make it harder to assess sustainable run-rate performance.
Valuation — source: SEC EDGAR (first-party)
Price$9.64
Market Cap$1.18B
Price / Book4.96
Price / Sales39.49
FCF Yield-4.6%
Profitability & Growth — source: SEC EDGAR
Revenue (TTM)$40.73M
Net Margin-177.0%
Revenue Growth (YoY)739.7%
EPS Growth (YoY)28.1%
Financial Health — source: SEC EDGAR
Altman Z-Score24.43 (safe)
Valuation vs Sector & Industry
Sector P/E (Technology)34.0
Industry P/E (Business Services)30.2
Smart-Money Activity — SEC Form 4 / 13F / Congressional disclosures
Top Institutional HolderBlackRock, Inc. ($152.85M)
Institutional Holders Tracked10
Company
SectorTechnology
IndustryBusiness Services
CEOJeffrey Thompson
Employees115
CountryUS
IPO Date2002-01-16

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RCAT earnings history · RCAT institutional & insider holders · RCAT KPIs & operating metrics · RCAT financials · RCAT investor presentations & press releases · RCAT SEC filings · RCAT peers · Congress trades · Insider trades · Short interest · Stock screener

Data as of 2026-08-21.

Figures sourced from U.S. Securities and Exchange Commission (SEC EDGAR) filings and market data. Not personalized investment advice.