Red Cat Holdings Inc (RCAT)

[Samshalom1]

Lol. So true - I wonder if Read is still on the board.

[investor2004]

I have learned over many years, as long as something does not go bankrupt or seriously decline, eventually it will come back. Like this. Who would have thunk Terraforge would end up being where it is now? We are on the cusp of something amazing here and we have waited a long time to get it! GLTY and see you on the other side my friend.

[Lfrye]

Long for a day trader but not so long for an investment. I did finally figure out why I can’t understand the shorts lol! They look at the daily and weekly charts and I reside in the 3 year chart. They need to back their charts up a few years to see my argument…it’s all about perspective. God bless and good luck!

[Lfrye]

You beat me with .76! I was still pouting over the split back then. These shorts are nuts! RCAT is the biggest winner in my portfolio and has been for over a year. See you on Mars lol!

[investor2004]

Ya, at that point I think I got some around .76! Definitely helps the average down after the years of John Read screwing us in the kiester and the huge reverse split.

[investor2004]

Hey! Sorry for the long response. Just do not follow much here...well, because of everything I posted in the message. Anyway, we have been here a VERY long time. Hope it comes to fruition here soon. And that post about buying around .86, I hear you! I bought a good chunk around there also. Thanks shorts!

[Lfrye]

Well, it wasn’t a scam when I bought them a couple years ago. In fact, I paid top dollar at the time as I slap the ask in all my buys (can’t let the shorties see me coming). I just held them and last I looked I have a 170% unrealized gain. I am very careful, not to buy more in that account so I don’t mess up my average :) When I buy now it’s just a little in a smaller account. No one can complain. I paid top dollar for what the shorts wanted at the time. Over a 50% return a year. None of the shorts arguments make sense to me and they haven’t for awhile now.

[nickmerck]

I guess we can both laugh at whoever shorted at $0.86. Since this is obviously a scam, there will be a lot of resistance close to $1 as that is the barrier to delisting and would spell the end of passive inflows which is what the owners are selling into.

[Lfrye]

Hi Investor,
I gave Stocktwits another try! I also learned to block the vulgar videos lol! I have owned horses and I am completely familiar with the way a large animal goes to the bathroom, I guess I never saw the value of it as a stock argument. Who knew? Someone must actually think it will make people sell. Anyhow, my experience has been a lot better since I found the block button! God bless to all us longs! You too, Nick :)

[Lfrye]

Nick,
I am not laughing at shorts. I am forever grateful to them lol! One of them sold me thousands of RCAT shares for .86 cents years ago….this stock hasn’t been a loser for me, for a couple years. If you bring RCAT down that low again, I’ll just buy more lol!

[nickmerck]

15 drones! I hope they built a second factory next to their new one to build such. a. massive. order.

+30% on 120M market cap for an order that will net them $100k. And people are laughing at shorts...

[Lfrye]

So much for mine as well!

[Chartmaster]

Make them attack drones and wipe out Putin!!!!

[Samshalom1]

Well so much for my volume prediction. Lol

[Chartmaster]

Teal Drones Secures Purchase Order for Golden Eagle Drone Units from NATO Member Country for Deployment in Ukraine

SAN JUAN, Puerto Rico, April 04, 2022 (GLOBE NEWSWIRE) -- Red Cat Holdings, Inc. (Nasdaq: RCAT) ("Red Cat'' or the "Company"), a hardware-enabled software provider to the drone industry, announces that its subsidiary Teal Drones (Teal) has secured an order for 15 Golden Eagle drone units, plus spares and training, from a NATO (North Atlantic Treaty Organization) member country that has committed them to deployment in the Ukraine.

“Drones in the category of the Golden Eagle can be among the most impactful technologies during a war, and there is significant need for drones in Ukraine to be used for reconnaissance purposes. We are now seeing small drones like the Golden Eagle helping to define the outcomes of wars such as what we’re experiencing now,” commented George Matus, founder and CEO of Teal. “Teal is one of the only drone companies in the world able to provide these types of drones at scale, utilizing our own proprietary technology, manufacturing and resources, despite the supply chain issues that have plagued the industry at large.”

“Red Cat Holdings stands by Ukraine, and we will continue to support its needs to the greatest extent possible using Teal’s Golden Eagle platform,” added Jeff Thompson, Red Cat’s CEO. “Since the war in Ukraine began, we have seen strong interest in the Teal drone platform from numerous European countries. Defense budgets within Europe have risen seemingly overnight due to the need to support this current invasion, as well as the desire to be prepared for future geopolitical conflicts. Many countries and military units are recognizing the strategic benefit of having an adequate baseline inventory of drone units that can be invaluable in reconnaissance and surveillance on the front lines. We believe this is the first of many relationships and purchases in the region.”

About Red Cat Holdings, Inc.
Red Cat provides drone-based products, services, and solutions through its five subsidiaries and services the enterprise, military, and consumer markets. Teal Drones is a leader in unmanned aircraft systems (UAS), and its Golden Eagle is one of only five drones approved by the Department of Defense for reconnaissance, public safety, and inspection applications. Skypersonic’s technology enables drones to complete inspection services in locations where GPS is not available, yet still record and transmit data even while being operated from thousands of miles away. Fat Shark is a leading provider of First Person View (FPV) video goggles. Rotor Riot, LLC is a reseller of FPV drones and equipment, primarily to the consumer marketplace. Learn more at https://www.redcatholdings.com/.

Forward Looking Statements
This press release contains "forward-looking statements" that are subject to substantial risks and uncertainties. All statements, other than statements of historical fact, contained in this press release are forward-looking statements. Forward-looking statements contained in this press release may be identified by the use of words such as "anticipate," "believe," "contemplate," "could," "estimate," "expect," "intend," "seek," "may," "might," "plan," "potential," "predict," "project," "target," "aim," "should," "will" "would," or the negative of these words or other similar expressions, although not all forward-looking statements contain these words. Forward-looking statements are based on Red Cat Holdings, Inc.'s current expectations and are subject to inherent uncertainties, risks and assumptions that are difficult to predict. Further, certain forward-looking statements are based on assumptions as to future events that may not prove to be accurate. These and other risks and uncertainties are described more fully in the section titled "Risk Factors" in the final prospectus related to the public offering filed with the Securities and Exchange Commission. Forward-looking statements contained in this announcement are made as of this date, and Red Cat Holdings, Inc. undertakes no duty to update such information except as required under applicable law.

Contact:
INVESTORS:
CORE IR
Phone: [phone]
E-mail: [e-mail]
Website: https://www.redcatholdings.com/
https://www.globenewswire.com/newsroom/ti?nf=ODUxNTQ1MyM0ODMyMjc0IzUwMDEwMjY5OA==
https://ml.globenewswire.com/media/ODg4NmQyNWUtZGUwOS00NmUyLWIxNDktYWJmZTI2ZGY0ZTdiLTUwMDEwMjY5OA==/tiny/Red-Cat-Holdings-Inc-.png

Source: Red Cat Holdings, Inc.

© 2022 GlobeNewswire, Inc.
https://www.otcmarkets.com/stock/RCAT/news/story?e&id=2173504

[Samshalom1]

No - that was what was posted. I’m hoping that we see a number of contracts in the near future. We shall see what the price action is as a result.

[PStockPickz]

Estimate it to be roughly $250k order. Maybe I'm wrong. Was hoping to see a pump here at least

[Samshalom1]

Not enough of an order - I think it settles down to around 10-15 million in volume and ends the day around $2.50. If we get a large contract, we will do better. The bears will push it down on its order size - thus your poop memes. I mean 15 drones is not much when the Confrence call suggested that we shall angle for production of 2000 per month. So I’m hoping that this is the first of many much larger order. Hope I’m wrong and it’s much higher. GLTY

[Lfrye]

How do you handle all the posts with animals defecating? I don’t know lol, maybe it’s just my stocks but that’s what Stocktwits offers me. Here, people are real…most of them. So, what do you think? I bet we see a 200 million volume day. Bet, lol? God bless to all!

[Nelson2]

Oh boy! Here we go!!! $$$$$$$

GLTA

[Samshalom1]

Meant Stocktwits

[Samshalom1]

I occasionally follow IHub now. Most of my interactions have been on IHub for quite some time now. Just not enough followers here

[investor2004]

On Another Note...

On another note, IHUB is being ridiculous in not changing their ways. Because of it, they are seriously going to become obsolete I am guessing. Most people get free level 2...so not a factor anymore....and of course, they do WAY to much babysitting of posters here and are to strict similar to big tech social media. Thus, they are going broke I am guessing. They really need to move forward into 2022 and come up with some ideas of how they are going to offer something here that is really worth anything of value. Maybe outside of the penny discussion boards which are questionable as far as their usefulness for investors as well. Just my opinion, but you can just see it with the "silence" on many boards here and the slow mo over the cliff! It would also be interesting to find out how much % wise revenue they have lost in the last few years. I am guessing it is massive. At least here, which is one benefit, unlike Stocktwits, you can still lurk without an account. But that small thing is not going to save them when Stocktwits basically treats posters and people like adults rather then children who need to be reprimanded. Not to mention, they also have a highly superior board and chat forum.

Also noticed they are now doing pop up ads on the site now. That is another warning sign people are leaving....

[nickmerck]

I'm counting on the press covering RCAT. That's always a good shorting opportunity. As for the rug pull; I am not going to move the stock either way. The rug pull will be performed by the owners of the stock. Like they did with TWER. Coincidentally that finally hit zero this month!

[nickmerck]

Because it may never happen again. Only the owners know when the rug-pull is going to happen, and with every pump it is more likely to happen soon. Why risk getting caught on the wrong side of it? No need to be greedy, this is free money and pigs get slaughtered.

[chupon]

Why not jump in then for the next pump. You can ride her up and down - both ways is twice the fun!

[Lfrye]

Oh Nick,
Actually, pretty soon, the press will run out of reasons NOT to cover Redcat lol! As for the rug pull…Mr. Matus is flying. I don’t think he’ll be bothered by your old rug trick ;) Best wishes!

[nickmerck]

Please don't mistake my lack of a position to be a long. I'm simply waiting for the pump to take another short position. I have no illusions that this will go anywhere except zero. Eventually they will run out of excuses for press releases. And I think we're fairly close to shares from the first few exits unlocking, right? Poor Mr. Matus will learn what a proper rugpull looks like.

[tai12345]

RNWK vision technology to be incorporated in DRONES!! IMHO hopefully

[tai12345]

RNWK vision technology to be incorporated in DRONES!! IMHO hopefully

[Chartmaster]

Red Cat Holdings Selected by U.S. Army for Short Range Reconnaissance Tranche 2 Drone Program

HUMACAO, Puerto Rico, March 14, 2022 /PRNewswire/ -- Red Cat Holdings, Inc. (Nasdaq: RCAT) ("Red Cat'' or the "Company"), a hardware-enabled software provider to the drone industry, announces that its subsidiary Teal Drones (Teal) has been selected by the Department of Defense's (DoD) Defense Innovation Unit (DIU) and U.S. Army to compete in the Short Range Reconnaissance Tranche 2 (SRR T2) Program of Record.

Teal was selected to develop a next-generation small unmanned aerial system (sUAS) designed for surveillance and reconnaissance (S&R) duties, with a focus on autonomous capability, for the U.S. Army. The ultimate goal of the SRR T2 program is to provide a small, rucksack portable sUAS that gives all Army platoons (20-50 soldiers) with situational awareness beyond the next terrain feature.

Following a successful demonstration in September 2021, Teal was notified by the U.S. Army's Short Range Reconnaissance Product Office that it would advance to the prototype phase of the SRR T2 program and was awarded a $1.5M prototype contract. Teal will develop a next-generation drone that meets or exceeds the Army's technical system requirements of SRR T2 and competes for the SRR T2 production contract.

"The rigorous technical requirements and program objectives of SRR T2 dramatically narrowed the field from over three dozen drone manufacturers to just a handful that were selected by the Army to move forward with the program. We believe this puts us among the most elite drone manufacturers in the world and, consequently, is a significant recognition of our capabilities," commented George Matus, founder and Chief Executive Officer of Teal. "The $1.5 million prototype contract we were awarded for SRR T2 reinforces the sophistication and technical expertise of our entire Teal Team. We look forward to developing the Army's next-generation sUAS to improve the safety and lethality of our warfighters."

The SRR Tranche 1 program began in 2020, and Teal was similarly selected for that program with a prototype contract award as part of its selection. The five drones (including Teal's Golden Eagle) developed for SRR Tranche 1 became the five drones named to the Blue sUAS list in August 2020 and were subsequently approved by the Department of Defense (DoD) and other U.S. Federal Departments. The Blue sUAS list was originally developed by the Defense Innovation Unit (DIU), an organization within the DoD organization, that is focused on integrating leading commercial technologies into the Government.

About Red Cat Holdings, Inc.
Red Cat provides drone-based products, services, and solutions through its five subsidiaries and services the enterprise, military, and consumer markets. Teal Drones is a leader in unmanned aircraft systems (UAS), and its Golden Eagle is one of only five drones approved by the Department of Defense for reconnaissance, public safety, and inspection applications. Skypersonic's technology enables drones to complete inspection services in locations where GPS is not available, yet still record and transmit data even while being operated from thousands of miles away. Fat Shark is a leading provider of First Person View (FPV) video goggles. Rotor Riot, LLC is a reseller of FPV drones and equipment, primarily to the consumer marketplace. Red Cat Propware is developing a Software-as-a-Solution ("SaaS") platform to provide drone flight data analytics and storage, as well as diagnostic products and services. Learn more at https://www.redcatholdings.com/.

Forward Looking Statements
This press release contains "forward-looking statements" that are subject to substantial risks and uncertainties. All statements, other than statements of historical fact, contained in this press release are forward-looking statements. Forward-looking statements contained in this press release may be identified by the use of words such as "anticipate," "believe," "contemplate," "could," "estimate," "expect," "intend," "seek," "may," "might," "plan," "potential," "predict," "project," "target," "aim," "should," "will" "would," or the negative of these words or other similar expressions, although not all forward-looking statements contain these words. Forward-looking statements are based on Red Cat Holdings, Inc.'s current expectations and are subject to inherent uncertainties, risks and assumptions that are difficult to predict. Further, certain forward-looking statements are based on assumptions as to future events that may not prove to be accurate. These and other risks and uncertainties are described more fully in the section titled "Risk Factors" in the final prospectus related to the public offering filed with the Securities and Exchange Commission. Forward-looking statements contained in this announcement are made as of this date, and Red Cat Holdings, Inc. undertakes no duty to update such information except as required under applicable law.

Contact:
INVESTORS:
CORE IR
Phone: [phone]
E-mail: [e-mail]
Website: https://www.redcatholdings.com/

https://c212.net/c/img/favicon.png?sn=CL90098&sd=2022-03-14 View original content to download multimedia:https://www.prnewswire.com/news-releases/red-cat-holdings-selected-by-us-army-for-short-range-reconnaissance-tranche-2-drone-program-301501405.html

SOURCE Red Cat Holdings, Inc.

https://www.otcmarkets.com/stock/RCAT/news/story?e&id=2155766

[Chartmaster]

Red Cat Holdings Reports Financial Results for Fiscal Third Quarter 2022 and Provides Corporate Update

HUMACAO, Puerto Rico, March 17, 2022 /PRNewswire/ -- Red Cat Holdings, Inc. (Nasdaq: RCAT) ("Red Cat" or "Company"), a hardware-enabled software provider to the drone industry, reports its financial results for the fiscal third quarter ended January 31, 2022 and provides a business update.

Recent Corporate Highlights:

Teal Drones ("Teal") Selected by U.S. Army for Short Range Reconnaissance Tranche 2 Drone Program
Teal Awarded Customs and Border Protection Contract Worth up to $90 Million over Five Years
Teal Manufacturing Facility Doubled in Size
Skypersonic collaborating with NASA to deploy remotely piloted drones in a variety of vehicles and environments
Appointed Venture Capitalist and Cargo Drone Entrepreneur Christopher R. Moe to Board of Directors

Third Quarter 2022 Financial Highlights:

Revenue for the fiscal third quarter ended January 31, 2022 decreased 13% compared to the same period in fiscal 2021 as the Company focused its efforts on doubling the manufacturing capacity for its Teal subsidiary. Revenue for the nine months ended January 31, 2022 increased 64% compared to the nine months ended January 31, 2021
Operating Expenses for the quarter ended January 31, 2022 increased to $3.2 million compared to $1.1 million for the same period in fiscal 2021, reflecting the acquisitions of Skypersonic and Teal. Headcount at Teal has doubled with the addition of skilled engineering talent required to design an expanded manufacturing facility and incorporate technical product enhancements requested by customers
Cash and marketable securities were approximately $56 million as of January 31, 2022

"All our business divisions are well-positioned to benefit from current tailwinds in the drone industry. The current conflict in Ukraine is leading to many inquiries for Teal's Golden Eagle drone and we are optimistic that many of these will be converted into material contracts," commented Red Cat CEO Jeff Thompson. "Over the longer term, our selection as one of just two companies awarded the Short Range Reconnaissance Tranche 2 $1.5 million prototype contract, which may lead to a production contract award. The production award for Tranche 1 was $100 million. Ultimately, there is the Tranche 3 prototype and production awards that Teal will also be competing for. We are committed to increasing Teal's production capacity to meet the strong demand we see from current contracts and in our pipeline.

"Skypersonic and its unique drone inspection service platform is ideally positioned to benefit from the federal Infrastructure Bill that was passed in 2021. We would expect increased commercial activity related to this opportunity later in 2022 and into 2023.

"With our strong balance sheet and numerous opportunities ahead, we look forward to keeping investors informed of our commercial progress and thank investors for their continued support," concluded Mr. Thompson.

"We invested significantly in hiring the engineering talent required to support our expanded manufacturing facility at Teal including the technical enhancements that our military customers are seeking," stated Joseph Hernon, Chief Financial Officer. "Our financial position remains strong with almost $56 million of cash and marketable securities and debt obligations less than $3 million."



RED CAT HOLDINGS

Condensed Consolidated Balance Sheets

(Unaudited)




January 31,



April 30,



2022



2021

ASSETS




Cash and marketable securities


$ 55,557,829



$ 277,347

Inventory, including deposits


3,879,159



841,011

Intangible assets, including goodwill


28,012,942



10,049,502

Other


2,934,752



525,505

TOTAL ASSETS


90,384,682



11,693,365









LIABILITIES AND STOCKHOLDERS' EQUITY




Accounts payable and accrued expenses


2,351,451



1,202,049

Debt obligations


2,466,728



269,045

Warrant derivative liability


1,350,099



2,812,767

Other


876,156



2,143,209

Total Liabilities


7,044,434



6,427,070





Stockholders' Equity




Stockholders' capital


106,011,208



21,076,223

Accumulated deficit


(22,670,960)



(15,809,928)

Total Stockholders' Equity


83,340,248



5,266,295

TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY


$ 90,384,682



$ 11,693,365



RED CAT HOLDINGS

Condensed Consolidated Statements of Operations

(Unaudited)





Three months ended January 31,



Nine months ended January 31,




2022



2021



2022



2021










Revenues



$ 1,856,751



$ 2,145,988



$ 5,116,741



$ 3,122,077










Cost of goods sold



1,516,970



1,576,265



4,521,974



2,351,153










Gross Margin



339,781



569,723



594,767



770,924










Operating Expenses









Operations



334,278



146,539



794,390



353,295

Research and development



811,288



167,968



1,548,983



341,892

Sales and marketing



238,624



48,719



524,642



97,534

General and administrative



1,337,183



499,155



3,264,071



929,874

Stock based compensation



782,123



854,195



2,066,146



1,068,317

Total operating expenses



3,503,496



1,716,576



8,198,232



2,790,912

Operating loss



(3,163,715)



(1,146,853)



(7,603,465)



(2,019,988)










Other Expense (Income)



(598,898)



7,837,407



(740,275)



8,069,797










Net loss



($2,564,817)



($8,984,260)



($6,863,190)



($10,089,785)










Loss per share - basic and diluted



$ (0.05)



$ (0.34)



$ (0.15)



$ (0.46)










Weighted average shares outstanding - basic and diluted



53,592,927



26,232,755



46,604,898



22,161,745



RED CAT HOLDINGS

Condensed Consolidated Cash Flows Statements

(Unaudited)




Nine months ended January 31,



2022



2021

Cash Flows from Operating Activities




Net loss


$ (6,863,190)



$ (10,089,785)

Non-cash expenses


1,083,885



9,217,301

Changes in operating assets and liabilities


(6,259,810)



(44,532)

Net cash used in operating activities


(12,039,115)



(917,016)





Cash Flows from Investing Activities




Purchases of marketable securities, net


(48,446,302)



-

Other, net


(67,715)



(48,368)

Net cash used in investing activities


(48,514,017)



(48,368)





Cash Flows from Financing Activities




(Payments) proceeds of debt obligations


(2,663,931)



1,200,368

Proceeds from issuance of equity, net


70,051,243



-

Net cash provided by financing activities


67,387,312



1,200,368





Net increase in cash and cash equivalents


6,834,180



234,984

Cash and cash equivalents, beginning of period


277,347



236,668

Cash and cash equivalents, end of period


7,111,527



471,652

Marketable securities


48,446,302



-

Cash and marketable securities


$ 55,557,829



$ 471,652



Conference Call Today
Jeff Thompson, CEO and Joseph Hernon, CFO will also host a conference call at 5:00 p.m. ET on Thursday, March 17 to review financial results and provide an update on corporate developments. Following management's formal remarks, there will be a question-and-answer session.

To listen to the conference call, interested parties within the U.S. should dial 1-866-777-2509 (domestic) or 1-412-317-5413 (international). All callers should dial in approximately 10 minutes prior to the scheduled start time and ask to be joined into the Red Cat Holdings, Inc. conference call. Participants can also pre-register for this event using the following link: https://dpregister.com/sreg/10164315/f1ca1b35e3.

The conference call will also be available through a live webcast that can be accessed at https://dpregister.com/sreg/10164315/f1ca1b35e3.

The webcast replay will be available until June 17, 2022 and can be accessed through the above link or on the Company's website. A telephonic replay will be available until March 31, 2022, by calling 1-877-344-7529 (domestic) or 1-412-317-0088 (international) and using access code 5639695.

About Red Cat Holdings, Inc.
Red Cat provides drone-based products, services, and solutions through its five subsidiaries and services the enterprise, military, and consumer markets. Teal Drones is a leader in unmanned aircraft systems (UAS), and its Golden Eagle is one of only five drones approved by the Department of Defense for reconnaissance, public safety, and inspection applications. Skypersonic's technology enables drones to complete inspection services in locations where GPS is not available, yet still record and transmit data even while being operated from thousands of miles away. Fat Shark is a leading provider of First Person View (FPV) video goggles. Rotor Riot, LLC is a reseller of FPV drones and equipment, primarily to the consumer marketplace. Learn more at https://www.redcatholdings.com/.

Forward Looking Statements
This press release contains "forward-looking statements" that are subject to substantial risks and uncertainties. All statements, other than statements of historical fact, contained in this press release are forward-looking statements. Forward-looking statements contained in this press release may be identified by the use of words such as "anticipate," "believe," "contemplate," "could," "estimate," "expect," "intend," "seek," "may," "might," "plan," "potential," "predict," "project," "target," "aim," "should," "will" "would," or the negative of these words or other similar expressions, although not all forward-looking statements contain these words. Forward-looking statements are based on Red Cat Holdings, Inc.'s current expectations and are subject to inherent uncertainties, risks and assumptions that are difficult to predict. Further, certain forward-looking statements are based on assumptions as to future events that may not prove to be accurate. These and other risks and uncertainties are described more fully in the section titled "Risk Factors" in the final prospectus related to the public offering filed with the Securities and Exchange Commission. Forward-looking statements contained in this announcement are made as of this date, and Red Cat Holdings, Inc. undertakes no duty to update such information except as required under applicable law.

For Investor Relations Inquiries:

CORE IR
Phone: [phone]
E-mail: [e-mail]
Website: https://www.redcatholdings.com/

https://c212.net/c/img/favicon.png?sn=CL95961&sd=2022-03-17 View original content to download multimedia:https://www.prnewswire.com/news-releases/red-cat-holdings-reports-financial-results-for-fiscal-third-quarter-2022-and-provides-corporate-update-301505387.html

SOURCE Red Cat Holdings, Inc.

https://www.otcmarkets.com/stock/RCAT/news/story?e&id=2160267

[Chartmaster]

This looks ready to pop to 2.50 any day now imo

[SlamDunk89]

Rcat biggest dilution company I ever been in…. Of course the massssssive reverse split makes them look good temporary…. Until they dwindle back down to under a .01 I feel…. Be careful with this con job of a company!

[Lfrye]

Well, Nick,
I have always wanted to win you over :) Your a long here even if your on the other side and I wish you well. Just remember, lol. Smarter and wealthier people than both you and I have great interest in the Titanic and smarter people than you and I don’t lend these shares cheap. Best wishes always!

[nickmerck]

Fatshark is 15 years old. Rotor Riot is 7 years old. Teal is 8 years old. They are not building out, or setting up. Teal and Rotor Riot have never been profitable. Fatshark is very profitable, but RCAT didn't really buy fatshark, they just bought the boring part of it.

[nickmerck]

I'm not short, I covered at $2.50 (I announced this trade and my exit way back). Currently I don't have any position as a $2 stock is just not that interesting to short even when it goes to zero (not if).

I do have open sell orders at $4.00 and $4.50. And I will close them once again at $2.50 and $2.00 respectively. Those trades usually take a month. Unfortunately not even the last PR, which was pretty well done despite being borderline lies, didn't do much more than a short bump to $3.

Why don't I short any other company? Because I know everything there is to know about this one. It's obviously an exit-vehicle for the founders. The people involved have pulled this before, several times. So, it's easy money. $10-15k per trade, almost guaranteed, with very limited upside risk, because you know that eventually it will go to zero.

And before you ask, why am I posting about it here and not just reeking in the profits? As I have posted before, there is additional joy in telling people what is going to happen, them refusing to believe you, and then exactly that happening. Consider it the proverbial cherry on top.

[Lfrye]

Hey Nick,
Why are the costs so high, to short this stock? Truly, there are much better and cheaper companies to short lol! Just like there are better ship wrecks to short than the Titanic. Well I’m done. See you on Mars! Hope you cover soon :)

[chupon]

Appreciate your thoughts and concerns.

I still believe for the last year and a half - they’ve been building out - and setting up. Can’t do these things over night. I also believe a lot of luck has come this companies way in the last 6 months. I hope everyone in this play can reap the risk / rewards in due time. I’m in no rush to flip my position. I’m hopeful for a big PPS push in the coming weeks (not months). Things are going to rapidly speed up. Plus - once this thing gets above $5 PPS - that’s when the real big players will start to take notice.

Time will tell I guess. You’ve been around here for years so we’ll find out together!

Good luck to you!

[Chartmaster]

Careful Homer! LMAO!!!

[TrendTrade2016]

nice call again...1.98

[TrendTrade2016]

Yeah we do look alike. Let’s see your pic

[Chartmaster]

Thanks Homer!!! LMFAO!!! Profile pic made my day! ROTFLMFAO!!!

[Reyeton]

Drones are becoming the new iPhone with unimaginable capabilities, IMO.

https://kutv.com/news/eye-on-utah/utah-drone-company-supply-ukrainians-with-secure-life-saving-technology

[TrendTrade2016]

nice call

[nickmerck]

The post-PR pumps are getting less (and thus there is a lack of PRs). Swing trading this is difficult, because a long position requires a PR-pump to be successful. The only sure thing is a short trade after a pump.

In regards to their potential, let's take off the rose-colored glasses for a minute: The US military isn't going to buy drones from a company that couldn't even penetrate the consumer market. Compare the Skydio offering to the Teal offering. Or Anduril. It's not even close. Teal has zero actual technology, it's all just a hotchpotch of available things with a plastic shell. If the US military truly purchases any of their drones, the US military will be embarrassing themselves. Any civilian will have a more capable drone, at a fraction of the price.

And opening a new manufacturing facility is just spitting in the face of investors. If they can't be profitable in their current facility, having a new one isn't going to change this for the better. Want to know why it sucks? Fatshark isn't moving any of their manufacturing there. So, paying rent on an old facility is better than using a paid-for new facility. That's all you need to know.

And this guy has 6 figures riding on this. What a risky (pro)position.

[Chartmaster]

It's at 2.11 dude! Geez! SMH, and your Mug Shot looks like Homer Simpson on Steroids! Dope! LMAO!

[TrendTrade2016]

went down right after your fake call

[BooDog]

Good call Nick. They're banking on the future of course. And potential grants (deals) to get them there. Certainly possible. Getting their new facility up and running is key. I do agree costs, and part availability is also a challenge. The friction with China is barely even scratching the surface now. We need everything "Made in America". I thought we were going to see a raise on this last surge but maybe they were waiting till after earnings.

I'll likely continue swinging this. Currently have no position.

[nickmerck]

Oh dear. I know my role here is to play the devil's advocate, but seriously, how can you throw 6 figures out the window like this.

- Q1 revenue down 30% YoY. COGS flat. That means sales profits down 50% YoY.
- Q2-Q4 revenue doubled, yet sales profits down 20%.
- Investment income is more than profits
- net loss higher than revenues, while revenues are declining
- Admin fees and stock-compensations equalizing revenue

... and that's with them having chip inventory (apparently) until end of 2022. What happens if sales increase, or their inventory goes low? Their costs will skyrocket (chips cost anywhere between 300% to 1500% more than what they used to).

I don't have any net position, at this level the stock price could go either way short term. But there is absolutely no way that this would go anywhere except zero: They have 50M in the bank, and they will blow through it in ~2 years, and then dilute your position some more. If this had much room to run, they wouldn't be pulling cash out at such a rate.