RideNow Group (NASDAQ:RDNW) Shares Up 3.1% - Still a Buy?

Key Points

• RideNow Group shares rose 3.1% to $5.73 in mid-day trading, though volume was 17% below the average session level.
• Analyst sentiment remains cautious: the stock has an average “Reduce” rating, with two Holds and one Sell, despite a consensus price target of $8.50.
• The company reported quarterly revenue of $296.8 million and earnings per share of $0.16, but continues to show a negative net margin and negative return on equity. Institutional investors and hedge funds own 66.14% of the shares.

Shares of RideNow Group, Inc. (NASDAQ:RDNW - Get Free Report) traded up 3.1% on Wednesday . The stock traded as high as $5.83 and last traded at $5.73. Approximately 66,012 shares changed hands during mid-day trading, a decline of 17% from the average session volume of 79,376 shares. The stock had previously closed at $5.56.

Analysts Set New Price Targets

Several equities analysts have commented on RDNW shares. Wall Street Zen cut shares of RideNow Group from a "buy" rating to a "hold" rating in a research note on Saturday, May 16th. Robert W. Baird upped their price target on shares of RideNow Group from $7.00 to $9.00 and gave the stock a "neutral" rating in a research note on Friday, May 15th. DA Davidson decreased their price objective on shares of RideNow Group from $9.00 to $8.00 and set a "neutral" rating for the company in a report on Wednesday, August 12th. Finally, Weiss Ratings reiterated a "sell (d-)" rating on shares of RideNow Group in a report on Friday, July 17th. Two equities research analysts have rated the stock with a Hold rating and one has given a Sell rating to the company's stock. Based on data from MarketBeat, the company has an average rating of "Reduce" and a consensus target price of $8.50.

RideNow Group Stock Performance

The company has a market cap of $223.53 million, a P/E ratio of -24.91 and a beta of 1.19. The stock has a 50 day moving average price of $6.24 and a 200 day moving average price of $6.72.

RideNow Group (NASDAQ:RDNW - Get Free Report) last announced its earnings results on Tuesday, August 11th. The company reported $0.16 earnings per share for the quarter. The business had revenue of $296.80 million during the quarter. RideNow Group had a negative return on equity of 2,628.57% and a negative net margin of 0.76%.

Hedge Funds Weigh In On RideNow Group

Several hedge funds have recently made changes to their positions in the business. Dimensional Fund Advisors LP acquired a new stake in RideNow Group during the fourth quarter valued at approximately $64,000. Balyasny Asset Management L.P. bought a new position in shares of RideNow Group in the fourth quarter valued at $66,000. OMERS ADMINISTRATION Corp bought a new position in shares of RideNow Group in the fourth quarter valued at $69,000. Barclays PLC acquired a new stake in shares of RideNow Group during the 4th quarter valued at $94,000. Finally, Hudson Bay Capital Management LP acquired a new stake in shares of RideNow Group during the 4th quarter valued at $118,000. Institutional investors and hedge funds own 66.14% of the company's stock.

RideNow Group Company Profile

RideNow Group, Inc NASDAQ: RDNW is a leading U.S. retailer of powersports vehicles, offering both new and pre-owned inventory to enthusiasts and recreational riders. The company's dealerships carry a diverse lineup of motorcycles, all-terrain vehicles (ATVs), side-by-sides, personal watercraft and snowmobiles from major manufacturers. In addition to vehicle sales, RideNow Group provides comprehensive service and maintenance, aftermarket parts and accessories and a range of financing and protection plans tailored to powersports customers.

Founded in 2004 and headquartered in Houston, Texas, RideNow Group has grown through a combination of organic expansion and strategic acquisitions.

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