📊 RDW Key Takeaways
Is Redwire Corp (RDW) a Good Investment?
Redwire exhibits fundamental profitability failure with a -78.9% net margin and -71.9% operating margin, alongside negative operating cash flow (-$6.7M), indicating the business model cannot sustain itself despite 10.3% revenue growth. While the balance sheet is fortress-like with minimal debt and adequate liquidity, the company is burning capital with no clear path to profitability, and losses must improve substantially before investment viability.
Despite double-digit revenue growth and a modestly leveraged balance sheet, Redwire’s core operations are deeply unprofitable with extremely low gross margins and significant operating losses. Until the company demonstrates sustained margin expansion and a clear path to positive operating cash flow, the ongoing cash burn poses a material financing and execution risk.
Why Buy Redwire Corp Stock? RDW Key Strengths
- Strong balance sheet with minimal leverage (0.08x debt-to-equity) and $144.5M cash buffer providing operational runway
- Adequate liquidity ratios (1.75x current, 1.37x quick) indicating near-term solvency
- Revenue growth of 10.3% YoY and improving loss trajectory (net loss improved 16.8% year-over-year)
- Double-digit revenue growth (+10.3% YoY)
- Low leverage with debt/equity of 0.08x
- Adequate near-term liquidity (current 1.62x, quick 1.27x)
RDW Stock Risks: Redwire Corp Investment Risks
- Severe operating leverage problem: $69.7M operating loss on $97M revenue indicates broken unit economics and cost structure misalignment
- Negative free cash flow (-$11.4M) and operating cash flow (-$6.7M) unsustainable with finite $144.5M cash; current burn rate threatens balance sheet within 12-15 years
- Gross margin of 26.6% insufficient to cover operating expenses, signaling either pricing pressure, cost inflation, or revenue mix deterioration in aerospace/defense sector
- Persistently negative margins (gross 5.2%, operating -68.5%)
- Heavy cash burn (OCF -$177M, FCF -$191M) relative to $94M cash
- Negative interest coverage indicating structurally unprofitable operations
Key Metrics to Watch
- Operating cash flow inflection point and timeline to positive FCF sustainability
- Operating margin improvement trajectory and break-even timeline
- Cash depletion rate and whether revenue growth reaches sufficient scale to achieve positive unit economics
- Gross margin %
- Operating cash flow (TTM)
Redwire Corp (RDW) Financial Metrics & Key Ratios
💡 AI Analyst Insight
Redwire Corp presents a mixed fundamental picture. Review the detailed metrics above to form your own investment thesis.
RDW Profit Margin, ROE & Profitability Analysis
RDW vs Market Sector: How Redwire Corp Compares
How Redwire Corp compares to Market sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Redwire Corp Stock Overvalued? RDW Valuation Analysis 2026
Based on fundamental analysis, Redwire Corp has mixed fundamental signals relative to the Market sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
Redwire Corp Balance Sheet: RDW Debt, Cash & Liquidity
RDW Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Redwire Corp's revenue has grown significantly by 144% over the 5-year period, indicating strong business expansion. The most recent EPS of $-0.73 indicates the company is currently unprofitable.
RDW Revenue Growth, EPS Growth & YoY Performance
RDW Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q1 2026 | $61.4M | -$2.9M | $-0.09 |
| Q3 2025 | $68.6M | -$21.0M | $-0.29 |
| Q2 2025 | $61.8M | -$18.1M | $-0.42 |
| Q1 2025 | $61.4M | -$2.9M | $-0.09 |
| Q3 2024 | $62.6M | -$6.3M | $-0.14 |
| Q2 2024 | $60.1M | -$5.5M | $-0.16 |
| Q1 2024 | $57.6M | -$7.3M | $-0.17 |
| Q3 2023 | $37.2M | -$6.3M | $-0.14 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Redwire Corp Dividends, Buybacks & Capital Allocation
RDW SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Redwire Corp (CIK: 0001819810)
📋 Recent SEC Filings
❓ Frequently Asked Questions about RDW
What is the AI rating for RDW?
Redwire Corp (RDW) has a Combined AI Rating of SELL from Claude (SELL) and ChatGPT (SELL) with 74% combined confidence, based on fundamental analysis of SEC EDGAR filings.
What are RDW's key strengths?
Claude: Strong balance sheet with minimal leverage (0.08x debt-to-equity) and $144.5M cash buffer providing operational runway. Adequate liquidity ratios (1.75x current, 1.37x quick) indicating near-term solvency. ChatGPT: Double-digit revenue growth (+10.3% YoY). Low leverage with debt/equity of 0.08x.
What are the risks of investing in RDW?
Claude: Severe operating leverage problem: $69.7M operating loss on $97M revenue indicates broken unit economics and cost structure misalignment. Negative free cash flow (-$11.4M) and operating cash flow (-$6.7M) unsustainable with finite $144.5M cash; current burn rate threatens balance sheet within 12-15 years. ChatGPT: Persistently negative margins (gross 5.2%, operating -68.5%). Heavy cash burn (OCF -$177M, FCF -$191M) relative to $94M cash.
What is RDW's revenue and growth?
Redwire Corp reported revenue of $97.0M.
Does RDW pay dividends?
Redwire Corp does not currently pay dividends.
Where can I find RDW SEC filings?
Official SEC filings for Redwire Corp (CIK: 0001819810) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is RDW's EPS?
Redwire Corp has a diluted EPS of $-0.40.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined rating reflects both perspectives for balanced insights.
Is RDW a good stock to buy right now?
Based on our AI fundamental analysis in May 2026, Redwire Corp has a SELL rating with 74% confidence. Review the strengths and risks sections above before making a decision. This is not investment advice.
Is RDW stock overvalued or undervalued?
Valuation metrics for RDW: ROE of -7.0% (sector avg: 15%), net margin of -78.9% (sector avg: 12%). Compare these metrics with sector averages to assess valuation.
Should I buy RDW stock in 2026?
Our dual AI analysis gives Redwire Corp a combined SELL rating for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is RDW's free cash flow?
Redwire Corp's operating cash flow is $-6.7M, with capital expenditures of $4.8M. FCF margin is -11.8%.
How does RDW compare to other Market stocks?
Vs Default sector averages: Net margin -78.9% (avg: 12%), ROE -7.0% (avg: 15%), current ratio 1.75 (avg: 1.8).