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Redwire Corporation (RDW) Stock Analysis

SellVALUE-TRAP 1/5Moderate Confidence

Industrials · Aerospace & Defense

Sell if holding. Engine safety override at $14.04: Quality below floor (1.8 < 4.0) triggers a hard block regardless of the otherwise-positive setup — overall score 4.9/10. Specifically: High short interest: 17%; Below-average business quality; Rich valuation.

Redwire is an integrated space and defense technology company with two segments: Space (spacecraft platforms, solar arrays, docking systems, microgravity payloads for NASA/ESA/commercial) and Defense Tech (Stalker/Penguin UAS platforms, Octopus gimbal payloads for military ISR).... Read more

$14.04+11.4% A.UpsideScore 4.9/10#36 of 47 Aerospace & Defense
QualityF-score4 / 9FCF yield-2.58%
Stop $12.94Target $15.50(resistance)A.R:R -0.7:1
Analyst target$14.33+2.1%9 analysts
$15.50our TP
$14.04price
$14.33mean
$7
$22

Sell if holding. Engine safety override at $14.04: Quality below floor (1.8 < 4.0) triggers a hard block regardless of the otherwise-positive setup — overall score 4.9/10. Specifically: High short interest: 17%; Below-average business quality; Rich valuation. Chart setup: No recognized chart pattern (not a breakout, bounce, continuation, recovery, falling knife, or range) — technicals mixed. Score 4.9/10, moderate confidence.

Passes 6/7 gates (positive momentum, clean insider activity, no SEC red flags, earnings proximity 77d clear, semi cycle peak clear, materials cycle peak clear). Fails on favorable risk/reward ratio. Suitability: aggressive.

Recent Developments — Redwire Corporation

Generated 2026-05-20T21:06:21Z.

Thesis

Rewards
No bull case signals
Risks
Target reached (-10.4% upside)
Quality below floor (1.8 < 4.0)

Key Metrics

P/E (TTM)
P/E (Fwd)-33.9
Mkt Cap$2.8B
EV/EBITDA-15.8
Profit Mgn-80.9%
ROE-48.7%
Rev Growth57.9%
Beta2.42
DividendNone
Rating analysts14

Quality Signals

Piotroski F4/9MoatNarrow

Options Flow

P/C0.68bullish
IV141%elevated
Max Pain$3-78.6% vs spot

Concentration Risks(10-K Item 1A)

  • MEDIUMCustomernational security customers47%
    10-K Item 1: 'During our fiscal year ended December 31, 2025, we generated 46.9% of our revenue from national security customers, 21.6% of our revenue from civil customers, and 31.5% of our revenue from commercial customers.'
  • MEDIUMGeographicinternational customers42%
    10-K Item 1: 'For the same period, revenues from customers located outside of the United States accounted for 41.6%.'

Model-generated analysis — not investment advice. Not a registered investment advisor. Past performance does not guarantee future results. Full disclaimer

Rating Breakdown

5 floor-breakers·1 ceiling hit

Unprofitable operations — net margin -80.9%. Quality floor flags this regardless of sector context.static

Roe
0.0
Roa
0.0
Gross Margin
0.0
Operating Margin
0.0
Net Margin
0.0
Fcf Quality
0.0
Piotroski F
4.4
Moat
5.8
Current Ratio
6.3
Cash-burning: FCF -19% of revenueQuality concerns

Ranks in the bottom of its industry peers on the composite signal. Better names in the same sector exist.static

Quality Rank
0.6
Value Rank
2.9
Growth Rank
8.7
Industry growth leader

Technicals below the gate floor. Component breakdown shows what dragged the score down.static

Bollinger
1.0
Support Resistance
2.5
52w Position
2.5
Gap
6.0

No near-term catalyst priced in. Thesis progression will come from fundamentals grinding, not event reaction.static

Earnings History
0.0
Surprise Avg
0.0
Erm
5.0
Earnings Timing
5.0
News Activity
8.0
Earnings concerns: 0B/4M

Priced at a premium — multiples above sector norms. Needs delivery on growth + margins to justify.static

Analyst Target
3.0
Ps
5.2
Low model confidence on this dimension (33%).
GatesA.R:R -0.7=NEGATIVEMomentum 5.8>=5.5Insider activity: OKNo SEC red flagsEARNINGS PROXIMITY 77d clearSEMI CYCLE PEAK CLEARMATERIALS CYCLE PEAK CLEARSuitability: Aggressive
RSI
79 · Overbought
20D MA 50D MA 200D MAGOLDEN CROSSSupport $8.30Resistance $15.82

Price Targets

$13
$16
A.Upside+10.4%
A.R:R-0.7:1

Position Sizing

ConvictionNone
Suggested %0.5%
Max %1%
RegimeSteady

Risk Alerts

! Target reached (-10.4% upside)
! Quality below floor (1.8 < 4.0)
! Negative risk/reward — downside exceeds upside

Earnings

M
M
M
M
0/4 beats
Next Earnings2026-08-05 (77d)

Verdict History

reverse chrono — latest first
Loading history...
Verdicts are recorded on every nightly pipeline run. Rows capture transitions (verdict flips, score deltas ≥0.3, entry/TP/SL changes). Rows with a ▶ can be expanded to see the change reason. Aggregate cohort performance is tracked in the recommendation ledger.
Frequently Asked Questions
Is RDW stock a buy right now?

Sell if holding. Engine safety override at $14.04: Quality below floor (1.8 < 4.0) triggers a hard block regardless of the otherwise-positive setup — overall score 4.9/10. Specifically: High short interest: 17%; Below-average business quality; Rich valuation. Chart setup: No recognized chart pattern (not a breakout, bounce, continuation, recovery, falling knife, or range) — technicals mixed. Prior stop was $12.94. Score 4.9/10, moderate confidence.

What is the RDW stock price target?

Take-profit target: $15.50 (+11.4% upside). Prior stop was $12.94. Stop-loss: $12.94.

What are the risks of investing in RDW?

Target reached (-10.4% upside); Quality below floor (1.8 < 4.0).

Is RDW overvalued or undervalued?

Redwire Corporation trades at a P/E of N/A (forward -33.9). TrendMatrix value score: 3.9/10. Verdict: Sell.

What do analysts say about RDW?

14 analysts cover RDW with a consensus score of 3.9/5. Average price target: $14.

What does Redwire Corporation do?Redwire is an integrated space and defense technology company with two segments: Space (spacecraft platforms, solar...

Redwire is an integrated space and defense technology company with two segments: Space (spacecraft platforms, solar arrays, docking systems, microgravity payloads for NASA/ESA/commercial) and Defense Tech (Stalker/Penguin UAS platforms, Octopus gimbal payloads for military ISR). It operates 28 locations in North America and Europe, with a contracted backlog of $411.2M as of December 31, 2025. In fiscal 2025, national security customers accounted for 46.9% of revenue, commercial 31.5%, and civil 21.6%, with 41.6% from international customers.

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