Red Cat Holdings IncFind Ratings Reports
RED CAT HOLDINGS INC's gross profit margin for the first quarter of its fiscal year 2021 has significantly decreased when compared to the same period a year ago. Even though sales increased, the net income has decreased, representing a decrease to the bottom line. RED CAT HOLDINGS INC is extremely liquid. Currently, the Quick Ratio is 14.57 which clearly shows the ability to cover any short-term cash needs. The company's liquidity has increased from the same period last year.
At the same time, stockholders' equity ("net worth") has greatly increased by 6,062.88% from the same quarter last year. Overall, the key liquidity measurements indicate that the company is very unlikely to face financial difficulties in the near future.
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|Income Statement||Q1 FY21||Q1 FY20|
|Net Sales ($mil)||1.4||0.55|
|Net Income ($mil)||-1.56||-0.38|
|Balance Sheet||Q1 FY21||Q1 FY20|
|Cash & Equiv. ($mil)||66.12||0.06|
|Total Assets ($mil)||83.4||2.68|
|Total Debt ($mil)||2.02||0.95|
|Profitability||Q1 FY21||Q1 FY20|
|Gross Profit Margin||8.45||18.61|
|Return on Assets||-17.27||-62.07|
|Return on Equity||-18.66||-132.72|
|Debt||Q1 FY21||Q1 FY20|
|Share Data||Q1 FY21||Q1 FY20|
|Shares outstanding (mil)||48.49||20.01|
|Div / share||0.0||0.0|
|Book value / share||1.59||0.06|
|Institutional Own %||n/a||n/a|
|Avg Daily Volume||3334289.0||262681.0|
SELL. This stock’s P/E ratio is negative, making its value useless in the assessment of premium or discount valuation, only displaying that the company has negative earnings per share. For additional comparison, its price-to-book ratio of 1.41 indicates a significant discount versus the S&P 500 average of 4.62 and a significant discount versus the subsector average of 7.08. The price-to-sales ratio is well above both the S&P 500 average and the subsector average, indicating a premium. The valuation analysis reveals that, RED CAT HOLDINGS INC seems to be trading at a premium to investment alternatives.
|RCAT NM||Peers 37.22||RCAT NM||Peers 25.71|
Neutral. The absence of a valid P/E ratio happens when a stock can not be valued on the basis of a negative stream of earnings.
RCAT's P/E is negative making this valuation measure meaningless.
Neutral. The P/CF ratio, a stock’s price divided by the company's cash flow from operations, is useful for comparing companies with different capital requirements or financing structures.
RCAT's P/CF is negative making the measure meaningless.
|RCAT 7.23||Peers 27.39||RCAT NA||Peers 0.53|
Neutral. The absence of a valid price-to-projected earnings ratio happens when a stock can not be valued on the basis of a negative expected future earnings.
RCAT's ratio is negative making this valuation measure meaningless.
Neutral. The PEG ratio is the stock’s P/E divided by the consensus estimate of long-term earnings growth. Faster growth can justify higher price multiples.
Ratio not available.
|RCAT 1.41||Peers 7.08||RCAT -575.00||Peers 369.29|
Discount. A lower price-to-book ratio makes a stock more attractive to investors seeking stocks with lower market values per dollar of equity on the balance sheet.
RCAT is trading at a significant discount to its peers.
Lower. Elevated earnings growth rates can lead to capital appreciation and justify higher price-to-earnings ratios.
However, RCAT is expected to significantly trail its peers on the basis of its earnings growth rate.
|RCAT 18.57||Peers 9.53||RCAT 514.39||Peers 18.65|
Premium. In the absence of P/E and P/B multiples, the price-to-sales ratio can display the value investors are placing on each dollar of sales.
RCAT is trading at a significant premium to its subsector.
Higher. A sales growth rate that exceeds the subsector implies that a company is gaining market share.
RCAT has a sales growth rate that significantly exceeds its peers.