Red Cat Holdings, Inc. (NASDAQ:RCAT) shares are trading higher on Monday after the company disclosed the successful flight test of its Black Widow drone using Palantir Technologies (NASDAQ:PLTR) Visual Navigation (VNav) Software.
Details
The test validated the ability of the Black Widow, part of the U.S. Army's SRR program of record, to navigate under GPS-denied conditions using the visual software.
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The testing successfully defined a preliminary performance envelope for VNav on the Black Widow system.
The final mission validated VNav’s ability to navigate a full ISR profile, including transit, surveillance and return with continuous GPS-denied positional awareness.
This achievement is notable as the first known commercial demonstration of VNav on a drone that the U.S. Army has already adopted.
Management Commentary
“Every battlefield is a GPS-denied environment, and this successful test shows that Red Cat and Palantir are delivering a software-driven solution the Army can rely on. It requires no new hardware, is ready to deploy today, and gives warfighters the edge in contested environments,” stated Jeff Thompson, CEO of Red Cat.
”It also signals our evolution into a full-stack defense technology platform, with expected margin expansion and strong revenue potential in 2026.”
Investors can gain exposure to the stock via SPDR S&P Kensho Future Security ETF (NYSE:FITE).
Price Action: RCAT shares are up 9.96% to $12.26 in premarket trading at the last check on Monday.
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