{
  "docId": "019dd923-622c-750b-8b98-405eb4149c5a",
  "docSlug": "d9c5fbbb51d2",
  "documentTitle": "Red Cat Holdings, Inc. (RCAT)",
  "authorId": "53_Kerrisdale_Capital",
  "authorName": "Kerrisdale Capital",
  "documentKindSlug": "research-note",
  "documentKindLabel": "Research note",
  "sourceTypeSlug": "short_seller",
  "sourceTypeLabel": "Short seller",
  "presentationDate": "2025-01-09 00:00:00",
  "orientation": "portrait",
  "aspectRatio": 0.77272725,
  "pageNumber": 6,
  "pageCount": 29,
  "prevPage": 5,
  "nextPage": 7,
  "slideType": "villain_critique",
  "function": "expose_contradiction",
  "density": "balanced",
  "nDataPoints": 10,
  "notes": "The slide functions as a 'short thesis' argument, using the departure of key personnel and insider selling as evidence of a lack of confidence in the company's future performance.",
  "elementsJson": [
    "paragraph"
  ],
  "metadataConfidence": 0.95,
  "imagePath": null,
  "slideHref": "/slides/019dd923-622c-750b-8b98-405eb4149c5a/6",
  "deckHref": "/decks/019dd923-622c-750b-8b98-405eb4149c5a",
  "deckJsonHref": "/decks/019dd923-622c-750b-8b98-405eb4149c5a.json",
  "deckAnchorHref": "/decks/019dd923-622c-750b-8b98-405eb4149c5a#slide-6",
  "components": [
    {
      "bbox": null,
      "kind": "callout",
      "text": "That seems to us like a harsh repudiation of Red Cat and its management team, and a vote of no-confidence in the ability of the company to achieve what management says it will.",
      "attrs": null,
      "subkind": null,
      "toolName": "Visual emphasis",
      "toolSlug": "visual-emphasis",
      "confidence": null,
      "componentId": "019dd953-3f41-721f-9e45-38553c30176a",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.135,
        "w": 0.764,
        "x": 0.118,
        "y": 0.548
      },
      "kind": "paragraph",
      "text": "According to Red Cat’s 2024 proxy, in May of last year, Matus negotiated a 900,000 share grant... Six days after Red Cat announced the SRR award, Matus gave 30 days’ notice of his resignation.",
      "attrs": null,
      "subkind": "paragraph",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "44a3e0bd-3da8-44e0-b28d-1aa8a6d5b91c",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.085,
        "w": 0.764,
        "x": 0.118,
        "y": 0.755
      },
      "kind": "paragraph",
      "text": "Matus wasn’t the only one at Red Cat lacking conviction. CFO Leah Lunger announced on the mid-December earnings call that she was resigning for family reasons and sold half a million shares.",
      "attrs": null,
      "subkind": "paragraph",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "4651277b-08b3-4e49-bbb5-547080cd7088",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.065,
        "w": 0.764,
        "x": 0.118,
        "y": 0.093
      },
      "kind": "paragraph",
      "text": "Here’s a different way to think about the whole of Red Cat’s 2025 guidance: Red Cat’s most successful product ever – the Teal 2 – sold about 1100 units and $17 million over 18 months of production.",
      "attrs": null,
      "subkind": "paragraph",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "c18a99c0-f70b-40b7-865f-b8d5c793f5ca",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.045,
        "w": 0.764,
        "x": 0.118,
        "y": 0.215
      },
      "kind": "paragraph",
      "text": "Teal’s wunderkind founder and brains behind the SRR, George Matus, resigned just a week after the SRR announcement, with CFO Leah Lunger resigning just 3 weeks later.",
      "attrs": null,
      "subkind": "paragraph",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "f726cc9e-c54d-4934-94e8-9fdd729fc082",
      "frameworkName": null,
      "frameworkSlug": null
    }
  ],
  "metrics": [],
  "tools": [],
  "frameworks": [
    {
      "name": "fraud-exposure",
      "slug": null,
      "matchId": "f7eb9720-0686-473b-b91d-fb8343b667f6",
      "evidence": "The slide systematically deconstructs management's credibility by linking past performance failures to current insider selling and executive departures.",
      "confidence": 0.9
    }
  ],
  "arcBeats": [
    {
      "to": 6,
      "from": 4,
      "beatId": "48625def-0778-4ea8-93c6-4147e20a81c0",
      "arcName": "Overcoming the Monster",
      "arcSlug": "overcoming-monster",
      "beatName": "Villain Critique",
      "beatSlug": null,
      "evidence": "The document critiques Red Cat's manufacturing capability and guidance.",
      "position": 0,
      "confidence": 0.8,
      "parentBeatName": null,
      "parentBeatSlug": null
    }
  ],
  "loops": [],
  "imagePathAlt": null,
  "thumbSrc": null,
  "thumbSrcAlt": null,
  "locked": true
}