Deep-Dive Due Diligence AI Generated Report on Red Cat Holdings, Inc. Common Stock (RCAT)

Welcome to ScanScor. What you're reading is not just a stock summary -- it's a real-time, AI-generated due diligence session crafted from live news, financial data, insider trading activity, SEC filings, and live market momentum.

These reports are generated using OpenAI's GPT-based analysis engine, guided by tightly structured prompts and expert-level data ingestion. Every insight below was assembled to help you understand the forces behind today's market movers.

Disclaimer: This report is for informational purposes only. It does not constitute financial advice. Always do your own research before making any investment.


RCAT_OUT_1 [2025-04-02 13:18:51 -0400] 2301 Bytes | 646 tokens | Cum: 646 tkns (8.08% of 8k)
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We're scouting for winners today. Its 1:18:50 PM on Wed Apr 02, 2025 -0400 and I'm looking at Red Cat (RCAT) up to 7.4371 from 6.39

Help me investigate to see if its got potential or just another dud. So, I pulled together a bunch of data for you to look over real fast.

--- COMPANY PROFILE ---
Company: Red Cat (RCAT)
IPO: IPO date unknown
Shares Outstanding: 85,620,000
Industry: SERVICES-PREPACKAGED SOFTWARE
Exchange: XNAS

Here's the first list of news for Red Cat:

C1 - Today 12:24PM - Red Cat: Overlooked Drone Opportunity
C2 - Apr-01-25 11:28AM - Q3 2025 Red Cat Holdings Inc Earnings Call
C3 - Mar-31-25 07:09PM - Red Cat Holdings, Inc. (RCAT) Q3 2025 Earnings Call Transcript
C4 - Mar-31-25 07:09PM 04:00PM - Red Cat Holdings Reports Financial Results for the 2024 Transition Period (as of December 31, 2024 and the eight months then ended) and Provides Corporate Update
C5 - Mar-27-25 08:45AM - Drone Manufacturers Racing to Introduce Latest Technology as Global Aerial Survey Services Market Projected to Reach $790 Billion By 2031
C6 - Mar-26-25 01:05PM - Red Cat Holdings, Inc. (RCAT) Among Best AI Penny Stocks to Buy According to This Indicator
C7 - Mar-26-25 01:05PM 08:30AM - Red Cat Holdings to Report Financial Results for the 2024 Stub Period (as of December 31, 2024 and the eight months then ended) and Provide Corporate Update on Monday, March 31, 2025
C8 - Mar-20-25 09:00PM - Bragar Eagel & Squire, P.C. Is Investigating Dave, Red Cat, Perpetua, and Voyager and Encourages Investors to Contact the Firm

ONLY 3 RULES for AI:
==============
1) I am a document retrieval system. You are the analyst-investigator.
2) You can request items from my lists to get more info on Red Cat (RCAT)
3) AFTER requesting and reading News and SEC filings you'll write a summary, set a score, high price target and headline.
Now, your response should be only 2 or 3 chars. You can say ex., C1, C2, etc., or NEX
The NEX command delivers the NEXt list of News/SEC/Metrics
There are several more lists that use our unified document retrieval system in subsequent prompts.
Your predictons will be compared to reality to rate your accuracy. Try to predict accurately. GOOD LUCK!
Please request a document, read, summarize and score. Say something like "C1".

RCAT_IN_2 [2025-04-02 13:18:51 -0400] 2 Bytes | 2 tokens | Cum: 648 tkns (8.10% of 8k)
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C1

RCAT_OUT_3 [2025-04-02 13:18:56 -0400] 1104 Bytes | 290 tokens | Cum: 938 tkns (11.72% of 8k)
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Showing C1 (chunk 1 of 4): C1:
**Red Cat: Overlooked Drone Opportunity**
Date: Today 12:24PM
Source: (Seeking Alpha)
URL: https://seekingalpha.com/article/4772557-red-cat-overlooked-drone-opportunity?utm_source=finviz.com&utm_medium=referral&feed_item_type=article

The drone market has a huge future in the military, butRed Cat Holdings, Inc.(NASDAQ:RCAT) has seen the stock slip to the recent lows. The drone technology company is guiding to a huge revenue

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--> You can ask for 1) More of this item with: MOR, 2) the NEXt section with: NEX, or 3) a different item by it's handle (ex. C3, S2) (only 3 chars don't summarize yet)

RCAT_IN_4 [2025-04-02 13:18:56 -0400] 545 Bytes | 109 tokens | Cum: 1047 tkns (13.09% of 8k)
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Seeking Alpha has highlighted Red Cat Holdings, Inc. (NASDAQ:RCAT), a drone technology company, as a potentially undervalued stock. Despite the drone market's promising future, particularly in the military sector, Red Cat's stock has recently hit a low. The company predicts a significant increase in revenue. The article encourages readers to join Out Fox The Street, a service that offers a model portfolio, daily updates, trade alerts, and real-time chat. The service aims to help investors find undervalued stocks with high growth potential.

RCAT_OUT_5 [2025-04-02 13:18:56 -0400] 977 Bytes | 295 tokens | Cum: 1342 tkns (16.78% of 8k)
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We present this news so you can catch the big movers from recently breaking news.
Here's a list of news articles you can literally read just by asking.
Usually the first item is the most important.

A1 - 2025-04-02T17:06:09Z - 12 Information Technology Stocks Moving In Wednesday's Intraday Session - Alarum Technologies (NASDA...
A2 - 2025-04-02T09:42:33Z - 50,000 Shares in Red Cat Holdings, Inc. (NASDAQ:RCAT) Acquired by Cannell & Spears LLC...
A3 - 2025-04-02T02:30:05Z - Red Cat Stock Rises Despite Market Slump After CEO Dismisses NATO Concerns, Touts Trump's Backing -...
A4 - 2025-04-01T18:36:21Z - Red Cat Stock Rises Despite Market Slump After CEO Dismisses NATO Concerns, Touts Trump's Backing --...
A5 - 2025-04-01T19:06:06Z - Red Cat (NASDAQ:RCAT) Shares Gap Down - Here's Why...

Request an article by its reference number. (Ex., "A1" gets the first item)
You may also say NEX to go to the next listing.
Response to this prompt limited to 3 chars.

RCAT_IN_6 [2025-04-02 13:18:56 -0400] 2 Bytes | 2 tokens | Cum: 1344 tkns (16.80% of 8k)
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A1

RCAT_OUT_7 [2025-04-02 13:19:02 -0400] 1098 Bytes | 333 tokens | Cum: 1677 tkns (20.96% of 8k)
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Showing A1 (chunk 1 of 4): A1:
**12 Information Technology Stocks Moving In Wednesday's Intraday Session - Alarum Technologies (NASDAQ:ALAR), Abits Group (NASDAQ:ABTS)**Date: 2025-04-02Source: {'uri': 'benzinga.com', 'dataType': 'news', 'title': 'Benzinga'}URL: https://www.benzinga.com/insights/movers/25/04/44611223/12-information-technology-stocks-moving-in-wednesdays-intraday-sessionGainers Digital Ally DGLY stock increased by 75.4% to $0.05 during Wednesday's regular session. AstroNova ALOT shares rose 22.64% to $10.94. The market value of their outstanding shares is at $82.3 million. Vishay Precision Group VPG shares moved upwards by 16.24% to $27.33. The company's market cap stands at $362.3 million. Red Cat Hldgs RCAT shares increased by 15.64% to $7.39. The company's market cap stands at $632.7 million. As per the news, the Q3 earnings report came out 2 days ago. Alarum Technologies ALAR stock moved upwards

--> You can ask for 1) More of this item with: MOR, 2) the NEXt section with: NEX, or 3) a different item by it's handle (ex. C3, S2) (only 3 chars don't summarize yet)

RCAT_IN_8 [2025-04-02 13:19:02 -0400] 506 Bytes | 144 tokens | Cum: 1821 tkns (22.76% of 8k)
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In Wednesday's intraday session, several information technology stocks are seeing significant movement. Digital Ally (DGLY) stock increased by 75.4% to $0.05, AstroNova (ALOT) shares rose by 22.64% to $10.94 with a market value of $82.3 million, Vishay Precision Group (VPG) shares moved upwards by 16.24% to $27.33 with a market cap of $362.3 million, and Red Cat Holdings (RCAT) shares increased by 15.64% to $7.39 with a market cap of $632.7 million. Alarum Technologies (ALAR) stock also moved upwards.

RCAT_OUT_9 [2025-04-02 13:19:03 -0400] 1391 Bytes | 410 tokens | Cum: 2231 tkns (27.89% of 8k)
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This is our final list of news.
News AI can literally read just by asking.
Don't miss the breaking news!

B1 - 2025-03-20T17:49:00Z - US Drone Surveying Market Expected to Realize Double-Digit Market Growth Predicted to Reach $2.54 Billion By 2033
B2 - 2025-03-12T02:45:00Z - Red Cat Holdings Investor News: If You Have Suffered Losses in Red Cat Holdings, Inc. (NASDAQ: RCAT), You Are Encouraged to Contact The Rosen Law Firm About Your Rights
B3 - 2025-03-07T17:50:00Z - Red Cat Holdings Investor News: If You Have Suffered Losses in Red Cat Holdings, Inc. (NASDAQ: RCAT), You Are Encouraged to Contact The Rosen Law Firm About Your Rights
B4 - 2025-03-01T21:53:00Z - Red Cat Holdings Announcement: If You Have Suffered Losses in Red Cat Holdings, Inc. (NASDAQ: RCAT), You Are Encouraged to Contact The Rosen Law Firm About Your Rights
B5 - 2025-02-23T16:31:00Z - Red Cat Holdings Announcement: If You Have Suffered Losses in Red Cat Holdings, Inc. (NASDAQ: RCAT), You Are Encouraged to Contact The Rosen Law Firm About Your Rights
B6 - 2025-02-19T21:56:00Z - Red Cat Holdings Investor News: If You Have Suffered Losses in Red Cat Holdings, Inc. (NASDAQ: RCAT), You Are Encouraged to Contact The Rosen Law Firm About Your Rights

Request an article by its reference number. (Ex., "B1" gets the first item)
You can say NEX to go to the next listing.
Response limited to 3 chars.

RCAT_IN_10 [2025-04-02 13:19:03 -0400] 2 Bytes | 2 tokens | Cum: 2233 tkns (27.91% of 8k)
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B1

RCAT_OUT_11 [2025-04-02 13:19:06 -0400] 751 Bytes | 206 tokens | Cum: 2439 tkns (30.49% of 8k)
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Showing B1 (chunk 1 of 1): B1:
**US Drone Surveying Market Expected to Realize Double-Digit Market Growth Predicted to Reach $2.54 Billion By 2033**Date: Unknown DateSource: Unknown SourceURL: https://www.benzinga.com/pressreleases/25/03/n44422631/us-drone-surveying-market-expected-to-realize-double-digit-market-growth-predicted-to-reach-2-54-bThe US drone surveying market is expected to witness double-digit growth and reach a valuation of $2.54 billion by 2033, driven by increasing demand for drone services across industries such as construction, mining, and agriculture.

--> You can ask for 1) More of this item with: MOR, 2) the NEXt section with: NEX, or 3) a different item by it's handle (ex. C3, S2) (only 3 chars don't summarize yet)

RCAT_IN_12 [2025-04-02 13:19:06 -0400] 298 Bytes | 58 tokens | Cum: 2497 tkns (31.21% of 8k)
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The US drone surveying market is anticipated to see significant growth, with projections suggesting it could reach a value of $2.54 billion by 2033. This growth is expected to be fueled by the increasing demand for drone services in various sectors, including construction, mining, and agriculture.

RCAT_OUT_13 [2025-04-02 13:19:07 -0400] 1089 Bytes | 317 tokens | Cum: 2814 tkns (35.17% of 8k)
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This is our list of SEC filings.
If empty, the search returned no recent filings.

S2 - 2025-02-12 8-K Item 1.01 Entry into a Material Definitive Agrmt

On February 10, 2025, we entered into a Securities Purchase Agrmt (the SPA) with Lind Global Asset Management XI LLC (Lind). Under the SPA, upon closing, we will receive $15 million in funding from Lind in exchange for ou...

S4 - 2024-12-16 10-Q PART I - FIN INFO

ITEM 1. FIN STATEMENTS

RED CAT HOLDINGS, INC.

Condensed Cons Balance Sheets

(Unaudited)

October 31, April 30, 2024 2024 ASSETS Curr assets Cash $ 4,611,092 $ 6,067,169 A/R, net 1,121,398 4,361,090 Invent...

S5 - 2024-11-27 8-K Item 1.01 Entry into a Material Definitive Agrmt

On November 26, 2024, we entered into a First Amendment to our Securities Purchase Agrmt (the SPA Amendment) with Lind Global Asset Management X LLC (Lind). The SPA Amendment amends the terms of our original Securities Pu...

Request filing by its reference number. (Ex., "S1" gets the first item)
You can say NEX to go to the next listing.
Response limited to 3 chars.

RCAT_IN_14 [2025-04-02 13:19:07 -0400] 2 Bytes | 2 tokens | Cum: 2816 tkns (35.20% of 8k)
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S2

RCAT_OUT_15 [2025-04-02 13:19:13 -0400] 1098 Bytes | 281 tokens | Cum: 3097 tkns (38.71% of 8k)
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Showing S2 (chunk 1 of 4): S2:
Item 1.01 Entry into a Material Definitive Agreement

On February 10, 2025, we entered into a Securities Purchase Agreement (the SPA) with Lind Global Asset Management XI LLC (Lind). Under the SPA, upon closing, we will receive $15 million in funding from Lind in exchange for our issuance to Lind of a Senior Secured Convertible Promissory Note in the amount of $16,500,000 (the Note) and a Common Stock Purchase Warrant for the purchase of 1,000,000 shares of our common stock at a price of $15.00 per share, exercisable for 5 years (the Warrant). As additional consideration to Lind, we have agreed to pay a commitment fee in the amount of $525,000, which may be paid by deduction from the funding to be received. Our obligations under the Note are secured by all of our assets and the assets of our subsidiaries pursuant to a Security Agreement and related ancillary documents.

The Note, wh

--> You can ask for 1) More of this item with: MOR, 2) the NEXt section with: NEX, or 3) a different item by it's handle (ex. C3, S2) (only 3 chars don't summarize yet)

RCAT_IN_16 [2025-04-02 13:19:13 -0400] 621 Bytes | 142 tokens | Cum: 3239 tkns (40.49% of 8k)
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This is a summary of a Securities Purchase Agreement (SPA) made on February 10, 2025 between the company and Lind Global Asset Management XI LLC. The company will receive $15 million in funding from Lind. This will be in exchange for a Senior Secured Convertible Promissory Note for $16.5 million and a Common Stock Purchase Warrant to buy 1,000,000 shares at $15.00 per share, valid for 5 years. The company agrees to a commitment fee of $525,000, which can be deducted from the funding to be received. The company's obligations under the Note will be secured by all of their assets and the assets of their subsidiaries.

RCAT_OUT_17 [2025-04-02 13:19:23 -0400] 4512 Bytes | 1307 tokens | Cum: 4546 tkns (56.83% of 8k)
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This is our set of metrics.
Please analyze the numbers.

+-------------------+------------------------+-------------------------+-------------------------+
| Volume: 4,997,110 | Perf Month: 36.35% | Option/Short: Yes / Yes | Sales Y/Y TTM: 49.84% |
+-------------------+------------------------+-------------------------+-------------------------+
| Avg Volume: 7.01M | Perf Quarter: -47.55% | Short Float: 11.92% | ROE: -100.48% |
+-------------------+------------------------+-------------------------+-------------------------+
| Rel Volume: 1.25 | Index: - | Short Ratio: 1.15 | ROI: -105.20% |
+-------------------+------------------------+-------------------------+-------------------------+
| RSI (14): 61.89 | Market Cap: 632.94M | Short Interest: 8.04M | Sales Surprise: -62.81% |
+-------------------+------------------------+-------------------------+-------------------------+
| ATR (14): 0.69 | Shs Outstand: 78.03M | Beta: 0.61 | EPS Surprise: -94.44% |
+-------------------+------------------------+-------------------------+-------------------------+
| SMA20: 31.44% | Shs Float: 67.44M | Sales Q/Q: -60.96% | P/E: - |
+-------------------+------------------------+-------------------------+-------------------------+
| SMA50: 1.64% | Inst Own: 35.29% | Sales past 5Y: 356.04% | Earnings: Mar 31 AMC |
+-------------------+------------------------+-------------------------+-------------------------+
| SMA200: 40.96% | Insider Own: 21.23% | Employees: 89 | |
+-------------------+------------------------+-------------------------+-------------------------+
| Perf Week: 27.09% | Insider Trans: -12.73% | Debt/Eq: 0.51 | |
+-------------------+------------------------+-------------------------+-------------------------+

The next section covers any insider trading.
If this section may be blank due to no recent filings.

No transactions recorded.

Inside Trans: Red Cat Holdings, Inc. (RCAT) by Lunger Leah (Chief Financial Officer) on 2025-01-03
- Common Stock: 7083 shares at $1.27 (D)
- Common Stock: 677 shares at $13.3 (D)
- Employee Stock Option (right to buy): 7083 shares at $0 (D)

[Company Financial Summary]
[Company Details]
Name: N/A
Market Cap: N/A
Shares Outstanding: N/A
Sector: N/A

[Financial Statements - Latest Quarter]
Total Assets: N/A
Total Liabilities: N/A
Total Equity: N/A
Revenue (Quarter): {'value': 1534727.0, 'unit': 'USD', 'label': 'Revenues', 'order': 100}
Net Income: {'value': -13334618.0, 'unit': 'USD', 'label': 'Net Income/Loss', 'order': 3200}
Earnings Per Share (EPS): N/A

[Price Metrics - Last 30 Days]
Latest Close: 7.43
Average Volume: 4157981.48
30-Day High: 7.43
30-Day Low: 4.815

[Detailed Financials: Q2 2025]
- Total Assets: $51,092,388.0
- Total Liabilities: $24,064,363.0
- Total Equity: $27,028,025.0
- Current Assets: $20,913,163.0
- Current Liabilities: $14,672,706.0

[Income Statement: Q2 2025]
- Revenue: $1,534,727.00
- Net Income: N/A
- Gross Profit: N/A
- Operating Income: N/A
- Earnings Per Share (EPS): N/A

[Cash Flow Statement: Q2 2025]
- Net Cash Flow: $-3,121,671.0

[Detailed Financials: Q1 2025]
- Total Assets: $37,955,231.0
- Total Liabilities: $-32,455,534.0
- Total Equity: $32,455,534.0
- Current Assets: $21,470,151.0
- Current Liabilities: $4,230,512.0

[Income Statement: Q1 2025]
- Revenue: $2,776,535.00
- Net Income: N/A
- Gross Profit: N/A
- Operating Income: N/A
- Earnings Per Share (EPS): N/A

[Cash Flow Statement: Q1 2025]
- Net Cash Flow: $1,665,594.0
==== END OF FINANCIAL REPORT ====

You are now requested to make a summary analysis.
Save explaining why you didn't have enough information for the final survey.

Now, complete this report with the following:

1) Brief Summary: explain your findings in succinct wording.
2) MARKET_SCORE: If you calculate a 92% likelihood of an upward moves, say: MARKET_SCORE[92]
3) PRICE_TARGET: If you think the high today will be 50% higher, add to the price.
Eg., If the current price is $5.00, add 50%. Thus, PRICE_TARGET[$7.50] -- It should be at or above the current price.
4) Provide a thought-provoking take, 6-10 words, to use for the headline of this news story.
Like this: AI_RPT_HEADLINE: [6-12 words headline for news story, distilled from summary]

1) Brief Summary, 2) MARKET_SCORE, 3) PRICE_TARGET, and 4) AI_RPT_HEADLINE

RCAT_IN_18 [2025-04-02 13:19:23 -0400] 1193 Bytes | 265 tokens | Cum: 4811 tkns (60.14% of 8k)
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1) Brief Summary: The company had a volatile performance over the last month with a significant increase of 36.35%. However, the quarterly performance was down by 47.55%. Sales have grown significantly over the past 5 years with a 356.04% increase, yet recent sales Q/Q shows a decline of 60.96%. There is a considerable short interest in the stock at 11.92%, suggesting some investors are betting against it. The Return on Investment (ROI) and Return on Equity (ROE) are both negative, indicating poor efficiency. Insider transactions show a decrease, which may signal a lack of confidence from the management. The company's debt to equity ratio is relatively low, suggesting a sound financial structure.

2) MARKET_SCORE[62]: Based on the mixed performance metrics, there is about a 62% probability of an upward move in the short term, considering the recent monthly performance and sales growth over the past 5 years.

3) PRICE_TARGET[$9.80]: Given the volatility and recent performance, I would anticipate a moderate increase from the current price of $7.43, leading to a target price of $9.80.

4) AI_RPT_HEADLINE: "Volatile Performer Sees Hope Amidst Challenges, Targets Moderate Growth"

RCAT_OUT_19 [2025-04-02 13:19:25 -0400] 676 Bytes | 167 tokens | Cum: 4978 tkns (62.22% of 8k)
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Finally, if more data could have improved your confidence which would you have chosen? **Choose one option:**
-> X0 <- Nothing more would have helped my analysis
-> X1 <- More stock-specific news
-> X2 <- More SEC filings (10-K, 10-Q, 8-K) Financials, risk disclosures, and business changes
-> X3 <- More SEC Insider Trading (Form 3, 4, 5) Direct buys/sells from executives and institutions
-> X4 <- Broader sector & market news
-> X5 <- Your past analysis on similar companies (specify metrics)
-> X6 <- More financial metrics
-> X7 <- Your past analysis on this exact company
-> X8 <- Something altogether different (explain...)

RCAT_IN_20 [2025-04-02 13:19:25 -0400] 94 Bytes | 28 tokens | Cum: 5006 tkns (62.58% of 8k)
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-> X2 <- More SEC filings (10-K, 10-Q, 8-K) Financials, risk disclosures, and business changes

RCAT_IN_21 [2025-04-02 13:19:26 -0400] 126 Bytes | 29 tokens | Cum: 5035 tkns (62.94% of 8k)
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====================================
[2025-04-02 13:19:26] # Analysis Completed
Elapsed Time: 35.19 seconds




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