RadNet (NASDAQ:RDNT) Raised to Strong-Buy at Zacks Research

Key Points

• RadNet's stock rating has been upgraded to strong-buy by Zacks Research, highlighting increasing confidence among analysts about the company's outlook.
• The company's recent quarterly earnings showed higher-than-expected EPS of $0.31, surpassing estimates of $0.17, and a revenue increase of 8.4% compared to the same quarter last year.
• Despite the upgrade, opinions on RadNet are mixed, with a total of three analysts rating it as a strong buy, while others maintain sell or hold ratings.

RadNet (NASDAQ:RDNT - Get Free Report) was upgraded by stock analysts at Zacks Research from a "hold" rating to a "strong-buy" rating in a research report issued to clients and investors on Tuesday,Zacks.com reports.

RDNT has been the topic of several other research reports. Weiss Ratings reaffirmed a "sell (d)" rating on shares of RadNet in a research note on Wednesday, October 8th. Morgan Stanley raised RadNet to an "overweight" rating in a research note on Monday, August 11th. Truist Financial upped their price target on RadNet from $74.00 to $81.00 and gave the company a "buy" rating in a research note on Wednesday, September 3rd. Barclays increased their target price on RadNet from $60.00 to $79.00 and gave the company an "overweight" rating in a research note on Wednesday, September 3rd. Finally, Wall Street Zen raised RadNet from a "sell" rating to a "hold" rating in a research note on Saturday, August 16th. Three analysts have rated the stock with a Strong Buy rating, four have assigned a Buy rating and one has issued a Sell rating to the company's stock. Based on data from MarketBeat.com, the company currently has an average rating of "Buy" and a consensus target price of $76.80.

RadNet Trading Up 4.0%

Shares of RDNT opened at $76.78 on Tuesday. The company has a quick ratio of 2.00, a current ratio of 2.00 and a debt-to-equity ratio of 0.91. RadNet has a 12-month low of $45.00 and a 12-month high of $93.65. The firm has a market capitalization of $5.91 billion, a PE ratio of -383.88 and a beta of 1.59. The stock's fifty day simple moving average is $71.87 and its 200-day simple moving average is $60.94.

RadNet (NASDAQ:RDNT - Get Free Report) last issued its quarterly earnings results on Sunday, August 10th. The medical research company reported $0.31 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.17 by $0.14. RadNet had a positive return on equity of 2.41% and a negative net margin of 0.78%.The business had revenue of $498.23 million for the quarter, compared to analyst estimates of $488.06 million. During the same quarter in the prior year, the firm posted $0.16 earnings per share. The firm's revenue for the quarter was up 8.4% compared to the same quarter last year. As a group, research analysts predict that RadNet will post 0.56 earnings per share for the current year.

Insider Activity at RadNet

In other news, insider Ranjan Jayanathan sold 65,598 shares of the firm's stock in a transaction dated Tuesday, August 19th. The stock was sold at an average price of $67.50, for a total transaction of $4,427,865.00. Following the sale, the insider owned 138,198 shares of the company's stock, valued at $9,328,365. This trade represents a 32.19% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, EVP David Jeffrey Katz sold 17,000 shares of the firm's stock in a transaction dated Wednesday, August 13th. The stock was sold at an average price of $68.31, for a total value of $1,161,270.00. Following the sale, the executive vice president directly owned 86,774 shares in the company, valued at approximately $5,927,531.94. This represents a 16.38% decrease in their position. The disclosure for this sale can be found here. Insiders have sold a total of 135,098 shares of company stock valued at $9,430,715 over the last 90 days. Insiders own 5.60% of the company's stock.

Institutional Investors Weigh In On RadNet

A number of hedge funds have recently modified their holdings of RDNT. GAMMA Investing LLC raised its position in shares of RadNet by 22.3% during the first quarter. GAMMA Investing LLC now owns 1,644 shares of the medical research company's stock worth $82,000 after purchasing an additional 300 shares during the period. SG Americas Securities LLC raised its position in shares of RadNet by 239.5% during the first quarter. SG Americas Securities LLC now owns 13,337 shares of the medical research company's stock worth $663,000 after purchasing an additional 9,409 shares during the period. Wealth Enhancement Advisory Services LLC raised its position in shares of RadNet by 28.6% during the first quarter. Wealth Enhancement Advisory Services LLC now owns 6,945 shares of the medical research company's stock worth $345,000 after purchasing an additional 1,545 shares during the period. Moran Wealth Management LLC raised its position in shares of RadNet by 2.2% during the first quarter. Moran Wealth Management LLC now owns 10,643 shares of the medical research company's stock worth $529,000 after purchasing an additional 225 shares during the period. Finally, Bessemer Group Inc. grew its holdings in shares of RadNet by 12.8% during the first quarter. Bessemer Group Inc. now owns 358,093 shares of the medical research company's stock worth $17,804,000 after buying an additional 40,745 shares in the last quarter. Institutional investors and hedge funds own 77.90% of the company's stock.

About RadNet

RadNet, Inc, together with its subsidiaries, provides outpatient diagnostic imaging services in the United States. The company operates in two segments: Imaging Centers and Artificial Intelligence. Its services include magnetic resonance imaging, computed tomography, positron emission tomography, nuclear medicine, mammography, ultrasound, diagnostic radiology, fluoroscopy, and other related procedures, as well as multi-modality imaging services.

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