Red Cat Holdings, Inc. (RCAT) is experiencing a decline in its stock price today, which appears to be influenced by recent insider selling activity. On December 30th, a director of the company, Joseph David Freedman, sold 15,000 shares at an average price of $14.24, totaling $213,600. This transaction reduced his ownership by 2.50%, which may have raised concerns among investors about the insider's confidence in the company's future performance.
Additionally, the stock has seen a significant increase in options trading activity, with investors acquiring 33,080 call options, a 215% increase compared to the average volume. This heightened activity could indicate market speculation or hedging strategies in response to the insider selling.
As of 11:15 am on January 2nd, Red Cat's stock is down 6.93% to $11.96, compared to its previous close of $12.85, and has dropped 7.22% from its opening price of $12.89.