Red Cat Holdings Future Growth

Future criteria checks 2/6

Red Cat Holdings is forecast to grow earnings and revenue by 2.3% and 46.8% per annum respectively while EPS is expected to grow by 7.7% per annum.

Key information

2.3%

Earnings growth rate

7.67%

EPS growth rate

Aerospace & Defense earnings growth	18.9%
Revenue growth rate	46.8%
Future return on equity	n/a
Analyst coverage	Low
Last updated	11 May 2026

Recent future growth updates

Recent updates

Seeking Alpha • Apr 08

Red Cat Holdings: The Setup Just Got Better

Summary Red Cat Holdings, Inc. remains my top drone stock pick, and I think the risk-reward is favorable at current levels. My investment thesis is backed by RCAT's explosive revenue growth, international military contracts, and expansion into maritime systems via Blue Ops. Despite a high cash burn and negative margins, RCAT's $167.9M cash position and accelerating contract wins support more upside ahead in FY26. RCAT is not cheap at 8.8x forward EV/Sales, but hard catalysts, including international deliveries, Blue Ops prototypes, and upcoming earnings, make it attractive at these levels. I hereon share my sentiment on RCAT and why I see more upside ahead in FY26. Read the full article on Seeking Alpha

New Narrative • Mar 17

Red Cat Holdings (RCAT): The Small-Drone Contender Post-Earnings Pivot

Red Cat (RCAT) released its fiscal Q4 2025 and full-year results today, March 18, 2026 , delivering a performance that can only be described as a high-velocity scaling event. The stock experienced a slight 1.2% pull-back in after-hours trading to $16.76 USD , despite reporting a record revenue surge of 1,985% year-over-year.

New Narrative • Jan 22

Autonomous Defense Systems And Maritime Expansion Will Support A Stable Long Term Outlook

Catalysts About Red Cat Holdings Red Cat Holdings provides drone and unmanned surface vessel solutions primarily to defense and national security customers. What are the underlying business or industry changes driving this perspective?

Analysis Article • Mar 20

With A 39% Price Drop For Red Cat Holdings, Inc. (NASDAQ:RCAT) You'll Still Get What You Pay For

The Red Cat Holdings, Inc. ( NASDAQ:RCAT ) share price has fared very poorly over the last month, falling by a...

Analysis Article • Jan 30

Why We're Not Concerned Yet About Red Cat Holdings, Inc.'s (NASDAQ:RCAT) 34% Share Price Plunge

Red Cat Holdings, Inc. ( NASDAQ:RCAT ) shares have retraced a considerable 34% in the last month, reversing a fair...

Analysis Article • Dec 16

Red Cat Holdings, Inc.'s (NASDAQ:RCAT) P/S Is Still On The Mark Following 75% Share Price Bounce

Red Cat Holdings, Inc. ( NASDAQ:RCAT ) shares have continued their recent momentum with a 75% gain in the last month...

Analysis Article • Jul 01

Red Cat Holdings, Inc.'s (NASDAQ:RCAT) Price In Tune With Revenues

Red Cat Holdings, Inc.'s ( NASDAQ:RCAT ) price-to-sales (or "P/S") ratio of 4.8x may look like a poor investment...

Earnings and Revenue Growth Forecasts

NasdaqCM:RCAT - Analysts future estimates and past financials data (USD Millions)
Date	Revenue	Earnings	Free Cash Flow	Cash from Op	Avg. No. Analysts
12/31/2028	246	-77	N/A	-66	1
12/31/2027	229	-74	-37	-27	3
12/31/2026	157	-93	-175	-143	4
3/31/2026	55	-76	-118	-105	N/A
12/31/2025	41	-72	-96	-89	N/A
9/30/2025	7	-92	-70	-69	N/A
6/30/2025	-1	-88	-54	-53	N/A
3/31/2025	2	-83	-43	-42	N/A
12/31/2024	7	-65	-31	-31	N/A
10/31/2024	16	-36	-20	-19	N/A
7/31/2024	19	-28	-14	-14	N/A
4/30/2024	18	-22	-19	-19	N/A
1/31/2024	13	-27	-25	-24	N/A
10/31/2023	8	-28	-29	-27	N/A
7/31/2023	5	-28	-34	-32	N/A
4/30/2023	5	-26	-32	-30	N/A
1/31/2023	5	-20	-27	-25	N/A
10/31/2022	5	-17	-23	-21	N/A
7/31/2022	6	-14	-18	-17	N/A
4/30/2022	6	-12	-16	-16	N/A
1/31/2022	7	-10	-13	-13	N/A
10/31/2021	7	-16	-9	-9	N/A
7/31/2021	6	-14	-5	-5	N/A
4/30/2021	5	-13	-1	-1	N/A
1/31/2021	3	-11	-1	-1	N/A
10/31/2020	1	-2	-1	-1	N/A
7/31/2020	1	-2	-1	-1	N/A
4/30/2020	0	-2	-1	-1	N/A
1/31/2020	0	-1	N/A	-1	N/A
10/31/2019	N/A	-1	N/A	-1	N/A
7/31/2019	N/A	-1	N/A	-1	N/A
4/30/2019	N/A	-1	N/A	-1	N/A

Analyst Future Growth Forecasts

Earnings vs Savings Rate: RCAT is forecast to remain unprofitable over the next 3 years.

Earnings vs Market: RCAT is forecast to remain unprofitable over the next 3 years.

High Growth Earnings: RCAT is forecast to remain unprofitable over the next 3 years.

Revenue vs Market: RCAT's revenue (46.8% per year) is forecast to grow faster than the US market (11.7% per year).

High Growth Revenue: RCAT's revenue (46.8% per year) is forecast to grow faster than 20% per year.

Earnings per Share Growth Forecasts

Future Return on Equity

Future ROE: Insufficient data to determine if RCAT's Return on Equity is forecast to be high in 3 years time

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Company Analysis and Financial Data Status

Data	Last Updated (UTC time)
Company Analysis	2026/05/21 09:57
End of Day Share Price	2026/05/21 00:00
Earnings	2026/03/31
Annual Earnings	2025/12/31

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

Package	Data	Timeframe	Example US Source ^*
Company Financials	10 years	Income statement Cash flow statement Balance sheet	SEC Form 10-K SEC Form 10-Q
Analyst Consensus Estimates	+3 years	Forecast financials Analyst price targets	Analyst Research Reports Blue Matrix
Market Prices	30 years	Stock prices Dividends, Splits and Actions	ICE Market Data SEC Form S-1
Ownership	10 years	Top shareholders Insider trading	SEC Form 4 SEC Form 13D
Management	10 years	Leadership team Board of directors	SEC Form 10-K SEC Form DEF 14A
Key Developments	10 years	Company announcements	SEC Form 8-K

^* Example for US securities, for non-US equivalent regulatory forms and sources are used.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on Github.

Analyst Sources

Red Cat Holdings, Inc. is covered by 6 analysts. 4 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

Analyst	Institution
Jon Hickman	Ladenburg Thalmann & Company
Glenn Mattson	Ladenburg Thalmann & Company
Michael Legg	Ladenburg Thalmann & Company

Red Cat Holdings Future Growth

Future criteria checks 2/6

Key information

Recent future growth updates

Consensus EPS estimates fall by 111%, revenue upgraded

Consensus estimates of losses per share improve by 13%

Price target increased by 12% to US$21.75

Consensus revenue estimates decrease by 20%

Price target increased by 22% to US$19.50

Price target increased by 13% to US$17.00

Recent updates

Red Cat Holdings, Inc. (NasdaqCM:RCAT) completed the acquisition of Quaze Technologies Inc for $27 million.

Red Cat Holdings Advances AI Drones and Wireless Power With Defense Focus and New Acquisition

Red Cat Holdings, Inc. has completed a Follow-on Equity Offering in the amount of $225.000007 million.

Red Cat Holdings, Inc. has filed a Follow-on Equity Offering in the amount of $200 million.

New major risk - Financial position

First quarter 2026 earnings: EPS and revenues miss analyst expectations

Consensus EPS estimates fall by 111%, revenue upgraded

Red Cat Holdings, Inc., Annual General Meeting, Jun 18, 2026

Red Cat Holdings, Inc. to Report Q1, 2026 Results on May 07, 2026

Red Cat Holdings: The Setup Just Got Better

Red Cat Holdings, Inc. (NasdaqCM:RCAT) entered into a Share Purchase Agreement to acquire Quaze Technologies Inc for $30 million.

Red Cat Holdings, Inc. (NasdaqCM:RCAT) acquired Apium Swarm Robotics, Inc.

Consensus estimates of losses per share improve by 13%

Full year 2025 earnings: Revenues exceed analysts expectations while EPS lags behind

Price target increased by 12% to US$21.75

Red Cat Holdings (RCAT): The Small-Drone Contender Post-Earnings Pivot

Red Cat Holdings, Inc. to Report Q4, 2025 Results on Mar 18, 2026

Consensus revenue estimates decrease by 20%

Price target increased by 22% to US$19.50

Autonomous Defense Systems And Maritime Expansion Will Support A Stable Long Term Outlook

Price target increased by 13% to US$17.00

Red Cat Holdings, Inc. Provides Earnings Guidance for the Fourth Quarter and Full Year Ended December 31, 2025

Founder notifies of intention to sell stock

New major risk - Share price stability

Red Cat Holdings, Inc. Announces Chief Financial Officer Changes

No longer forecast to breakeven

Third quarter 2025 earnings: Revenues exceed analysts expectations while EPS lags behind

Red Cat Holdings, Inc. Updates Earnings Guidance for the Full Year 2025

Red Cat Holdings, Inc. to Report Q3, 2025 Results on Nov 13, 2025

Red Cat’s FANG FPV Drone for Defense and Security Operations Receives Blue UAS Cleared List Certification

Red Cat Holdings, Inc. Successfully Completes Flight Testing of Palantir's VNav Software on Black Widow™? Drone

Red Cat Holdings, Inc. Introduces Fang™? - A Low-Cost, Ndaa-Compliant Line of Fpv Drones for Defense and Security Operations

Chief Revenue Officer exercised options and sold US$941k worth of stock

Red Cat Holdings, Inc. has completed a Follow-on Equity Offering in the amount of $150 million.

Independent Director recently sold US$502k worth of stock

Independent Director notifies of intention to sell stock

Independent Director recently sold US$251k worth of stock

Independent Director notifies of intention to sell stock

Consensus EPS estimates fall by 21%

New major risk - Revenue size

Founder exercised options and sold US$468k worth of stock

New major risk - Share price stability

Lead Independent Director exercised options and sold US$729k worth of stock

New major risk - Shareholder dilution

Red Cat Holdings, Inc. has completed a Follow-on Equity Offering in the amount of $46.750001 million.

Red Cat Holdings, Inc. has filed a Follow-on Equity Offering in the amount of $46.750001 million.

Pomerantz Law Firm Announces the Filing of a Class Action Against Red Cat Holdings, Inc. and Certain Officers

New major risk - Revenue and earnings growth

First quarter 2025 earnings: EPS and revenues miss analyst expectations

Red Cat Holdings, Inc. Expands Maritime Domain Capabilities with Battle-Tested Unmanned Surface Vessels

Red Cat Holdings, Inc. to Report Q1, 2025 Results on May 14, 2025

Red Cat Holdings, Inc., Annual General Meeting, Jun 18, 2025

Red Cat Holdings, Inc. has completed a Follow-on Equity Offering in the amount of $30.000016 million.

Red Cat Holdings, Inc. has filed a Follow-on Equity Offering in the amount of $30 million.

Red Cat Holdings, Inc. Provides Revenue Guidance for the Year 2025

New minor risk - Shareholder dilution

Red Cat Holdings, Inc. to Report Q3, 2025 Results on Mar 31, 2025

New minor risk - Profitability

Forecast to breakeven in 2026

With A 39% Price Drop For Red Cat Holdings, Inc. (NASDAQ:RCAT) You'll Still Get What You Pay For

Red Cat Holdings, Inc. Announces Appointment of Jeffrey Thompson as Interim Chief Financial Officer

Red Cat Holdings, Inc. Appoints Christian Koji Ericson as Chief Financial Officer, Effective March 17, 2025

Red Cat Holdings, Inc. announced that it expects to receive $20 million in funding from The Lind Partners, LLC

Why We're Not Concerned Yet About Red Cat Holdings, Inc.'s (NASDAQ:RCAT) 34% Share Price Plunge

Insider recently sold US$1.0m worth of stock

Key Executive exercised options to buy US$1.7m worth of stock.

Second quarter 2025 earnings: EPS and revenues miss analyst expectations

New major risk - Revenue and earnings growth

Red Cat Holdings, Inc.'s (NASDAQ:RCAT) P/S Is Still On The Mark Following 75% Share Price Bounce