Redwire downgraded to Neutral from Buy at B. Riley

B. Riley analyst Mike Crawford downgraded Redwire to Neutral from Buy with a price target of $8, up from $6. The analyst cites valuation for the downgrade with the shares up 145% year-to-date. The firm is cautious on the stock heading into Q2 earnings citing uncertainty as to the magnitude of near-term upside with controlling owner AE Industrial Partners’ ongoing open-market sales. However, it believes Redwire as a business continues to execute to plan, addressing a “massive expansion” in space infrastructure and investment driven by the increasing importance of space as a warfighting domain, growth in lunar infrastructure, and proliferations of both commercial and military satellite systems.