RED CAT DEADLINE ALERT: Bragar Eagel & Squire, P.C. Urges Investors in Red Cat Holdings, Inc. (RCAT) to Inquire About Their Rights in Class Action Lawsuit

Core Viewpoint - A class action lawsuit has been filed against Red Cat Holdings, Inc. for allegedly making false statements regarding its production capacity and contract values, leading to significant stock price declines during the class period from March 18, 2022, to January 15, 2025 [1][3]. Company Overview - Red Cat Holdings, Inc. operates in the drone industry, providing products and solutions, including the "Teal 2" drone designed for military operations [2]. Allegations and Financial Performance - The lawsuit claims that Red Cat overstated the production capacity of its Salt Lake City facility, which was revealed to be only capable of producing 100 drones per month, with potential future capacity of 1,000 drones per month contingent on further investments [4]. - On September 23, 2024, Red Cat reported a loss per share of $0.17, missing estimates by $0.09, and revenue of $2.8 million, missing estimates by $1.07 million, which led to a stock price drop of over 25% [5]. - A report published by Kerrisdale Capital on January 16, 2025, alleged that the SRR contract was smaller and less favorable than previously indicated, resulting in a stock price decline of more than 21% over two trading sessions [6].