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RDWRedwire CorporationSell5.4·$11.26-5.93%
SellModerate Confidence
Investment thesis

Redwire is a small-cap aerospace and defense company with 58% revenue growth and institutional accumulation, but a quality score of 1.8 out of 10, three earnings misses in the last four quarters including a negative 840% miss, a short interest of 22%, and negative price momentum collectively make the fundamental risk profile deeply unfavorable despite surface-level growth metrics.

Thesis pillars

  • Quality Below Floor Cash BurnStable
  • Persistent Earnings Miss PatternStable
  • High Short Interest And Implied VolatilityStable
  • +1 more pillar — see the Why tab for full reasoning

Full reasoning →

Open full analysis

Redwire Corporation (RDW) Stock Analysis

SellVALUE-TRAP 1/5Moderate Confidence

Industrials · Aerospace & Defense

Sell if holding. Engine safety override at $11.26: Quality below floor (1.8 < 4.0) triggers a hard block regardless of the otherwise-positive setup — overall score 5.4/10. Specifically: High short interest: 23%; Below-average business quality.

Redwire is a space and defense technology company with two segments: Space (spacecraft, solar arrays, microgravity payloads) and Defense Tech (UAS, sensors). Its contracted backlog was $411.2 million at December 31, 2025; revenue split across national security (46.9%),... Read more

$11.26+20.5% A.UpsideScore 5.4/10#36 of 64 Aerospace & Defense
QualityF-score4 / 9FCF yield-3.17%
Stop $10.52Target $13.63(analyst − 13%)A.R:R 1.4:1
Analyst target$15.67+39.1%9 analysts
$13.63our TP
$11.26price
$15.67mean
$7
$24

Sell if holding. Engine safety override at $11.26: Quality below floor (1.8 < 4.0) triggers a hard block regardless of the otherwise-positive setup — overall score 5.4/10. Specifically: High short interest: 23%; Below-average business quality. Chart setup: No clear chart pattern; technical signals are mixed. Score 5.4/10, moderate confidence.

Passes 4/8 gates (positive momentum, earnings proximity 32d clear, semi cycle peak clear, materials cycle peak clear). Fails on favorable risk/reward ratio and clean insider activity. Suitability: speculative.

10-K grounded · weekly refresh

About Redwire Corporation

About Redwire Corporation

Redwire's contracted backlog of $411.2 million at December 31, 2025 — $299.8 million in the Space segment and $111.4 million in the Defense Tech segment — provided near-term revenue visibility for an integrated space and defense technology company operating out of 28 locations in North America and Europe. In fiscal 2025, national security customers contributed 46.9% of revenue, commercial customers 31.5%, and civil customers 21.6%, while 41.6% of revenue came from customers outside the United States.

Redwire earns revenue through fixed-price, cost-plus, and time-and-material contracts across two segments. The Space segment delivers next-generation spacecraft platforms (SabreSat, Phantom, Hammerhead, Thresher, and Mako), patented Roll-Out Solar Array power generation systems, 11 active microgravity payload facilities on the International Space Station, and digital engineering software. The Defense Tech segment — built around the 2025 acquisition of Edge Autonomy — offers the Stalker UAS (granted an Authority to Operate by the Defense Innovation Unit in July 2025 and added to its Blue UAS List), the Penguin C series, and the Octopus line of optical gimbal ISR payloads deployed in approximately 80 countries. The company competes against AeroVironment, Insitu (a Boeing company), Shield AI, and Anduril Industries for UAS contracts, and against Airbus, Sodern, and Rocket Lab USA for space components. Research and development expenses totaled $19.8 million in fiscal 2025.

Show full overview

Redwire's dependence on U.S. government and allied nation contracts exposes the company to program termination and funding risk: the 10-K discloses that government contracts are often only partially funded and subject to immediate termination, and that national security customers accounted for 46.9% of fiscal 2025 revenue. Budget pressures driven by federal deficit dynamics or shifts in DoD spending priorities could reduce contract awards, and the filing also identifies material weaknesses in internal control over financial reporting that, if unresolved, could affect the accuracy and timeliness of reported results. The company's exposure to tariff-related supply chain cost increases — particularly for components sourced from European manufacturing facilities — adds further uncertainty to cost forecasting.

See also: Industrials · Aerospace & Defense

From Redwire Corporation's most recent 10-K filing, extracted June 11, 2026.

news + 30-day 8-K events · 5-min refresh

Recent developments

updated 2026-07-06

Recent Developments — Redwire Corporation

Generated 2026-07-06T03:20:33Z.

TrendMatrix Research · upcoming catalyst calendar

Upcoming dated catalysts

Wed, Aug 5, 202632d to earnings· next earnings call

Thesis

Rewards
No bull case signals
Risks
Quality below floor (1.8 < 4.0)

Key Metrics

P/E (TTM)
P/E (Fwd)-27.6
Mkt Cap$2.2B
EV/EBITDA-12.9
Profit Mgn-80.9%
ROE-48.7%
Rev Growth57.9%
Beta3.02
DividendNone
Rating analysts14

Quality Signals

Piotroski F4/9MoatNarrow

Options Flow

P/C1.08bearish
IV122%elevated

Concentration Risks(10-K Item 1A)

  • MEDIUMCustomernational security customers47%
    10-K Item 1: 'we generated 46.9% of our revenue from national security customers'
  • MEDIUMGeographicinternational customers42%
    10-K Item 1: 'revenues from customers located outside of the United States accounted for 41.6%'

Material Events(8-K, last 90d)

  • 2026-03-17Item 5.02LOW
    Frank Calvelli appointed to Redwire Corporation Board of Directors effective March 12, 2026, filling a vacancy from previously announced resignations. Named Class III director with term expiring at 2027 Annual Meeting. Board determined Calvelli is independent under NYSE listing standards.
    SEC filing →

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

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About TrendMatrix. TrendMatrix is a publisher of general securities research and market commentary. We publish on a regular schedule. All content is the same for every subscriber in a tier — we do not provide personalized investment advice and we do not take into account any individual subscriber's financial situation, investment objectives, risk tolerance, tax situation, or holdings.

Not investment advice. TrendMatrix is not a registered investment adviser. Our content is for informational and educational purposes only. Consult your own licensed investment adviser, broker, or tax professional before making any investment decision.

Conflicts and positions. The TrendMatrix editorial team frequently holds personal long-term positions in securities discussed. We disclose positions held at the time of publication on each piece. We maintain a trading-window policy: we do not initiate or close positions in the same direction as a TrendMatrix publication within 24 hours before or 72 hours after publication.

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Performance. Past performance is not indicative of future results. Performance figures reflect the published model only and do not reflect any individual subscriber's actual results.

Methodology · Editorial policy & full disclaimer

Rating Breakdown

3 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
0.5
Value Rank
4.3
Growth Rank
8.5
Industry growth leader

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: 1B/3M
GatesA.R:R 1.4 < 1.5@spotINSIDER 26.18%=EXTREMEMomentum 4.5<5.5 (soft — BUY_NOW allowed but watch)Executive change: officer departure/appointmentMomentum 4.5>=4.5EARNINGS PROXIMITY 32d clearSEMI CYCLE PEAK CLEARMATERIALS CYCLE PEAK CLEARSuitability: Speculative
RSI
22 · Oversold
20D MA 50D MA 200D MAGOLDEN CROSSSupport $10.11Resistance $22.75

Price Targets

$11
$14
A.Upside+21.0%
A.R:R1.4:1

Position Sizing

ConvictionNone
Suggested %0.5%
Max %1%
RegimeSteady

Risk Alerts

! Quality below floor (1.8 < 4.0)
! asymmetry at 1.4 (below the engine's 1.5 threshold)@spot
! Insider activity: 26.18%=extreme

Earnings

B
M
M
M
1/4 beats
Next Earnings2026-08-05 (32d)

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 $11.26: Quality below floor (1.8 < 4.0) triggers a hard block regardless of the otherwise-positive setup — overall score 5.4/10. Specifically: High short interest: 23%; Below-average business quality. Chart setup: No clear chart pattern; technical signals are mixed. Prior stop was $10.52. Score 5.4/10, moderate confidence.

What is the RDW stock price target?

Take-profit target: $13.63 (+20.5% upside). Prior stop was $10.52. Stop-loss: $10.52.

What are the risks of investing in RDW?

Quality below floor (1.8 < 4.0).

Is RDW overvalued or undervalued?

Redwire Corporation trades at a P/E of N/A (forward -27.6). TrendMatrix value score: 7.0/10. Verdict: Sell.

What do analysts say about RDW?

14 analysts cover RDW with a consensus score of 3.9/5. Average price target: $16.

What does Redwire Corporation do?Redwire is a space and defense technology company with two segments: Space (spacecraft, solar arrays, microgravity...

Redwire is a space and defense technology company with two segments: Space (spacecraft, solar arrays, microgravity payloads) and Defense Tech (UAS, sensors). Its contracted backlog was $411.2 million at December 31, 2025; revenue split across national security (46.9%), commercial (31.5%), and civil (21.6%) customers, with 41.6% sourced internationally.

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