Bragar Eagel & Squire, P.C. Reminds Investors That Class Action Lawsuits Have Been Filed Against Red Cat and Fortrea and Encourages Investors to Contact the Firm

Red Cat Holdings, Inc. (NASDAQ: RCAT) - Class action lawsuit initiated for stockholders covering the period from March 18, 2022, to January 15, 2025, with a lead plaintiff deadline of July 22, 2025 [2] - Allegations include misleading statements regarding the production capacity of Red Cat's Salt Lake City facility and the value of the Short Range Reconnaissance Program contract [3][4] - On July 27, 2023, Red Cat disclosed that its facility could only produce 100 drones per month, leading to a nearly 9% drop in stock price [4] - Financial results for Q1 FY2025 revealed losses per share of $0.17, missing estimates by $0.09, and revenue of $2.8 million, missing by $1.07 million, causing a more than 25% decline in stock price [5] - A report from Kerrisdale Capital on January 16, 2025, claimed the SRR contract was less favorable than previously indicated, resulting in a stock price drop of over 21% [6] Fortrea Holdings Inc. (NASDAQ: FTRE) - Class action lawsuit initiated for stockholders covering the period from July 3, 2023, to February 28, 2025, with a lead plaintiff deadline of August 1, 2025 [7] - Fortrea was spun off from Labcorp Holdings Inc. in June 2023, and entered into transition services agreements with Labcorp [7] - On March 3, 2025, Fortrea announced that its revenue and adjusted EBITDA expectations for 2025 were not aligned with prior forecasts, leading to a stock price drop of 25.05% [8] - Allegations include overestimating revenue from Pre-Spin projects and overstating cost savings from exiting TSAs, which inflated EBITDA targets and overstated the viability of the post-Spin-Off business model [9]