Zacks Research Upgrades RadNet (NASDAQ:RDNT) to "Hold"

Key Points

• RadNet has been upgraded from a "strong sell" to a "hold" rating by analysts at Zacks Research, reflecting improved sentiment towards the stock.
• Other analysts, including those from B. Riley and Morgan Stanley, have issued varying ratings, with the consensus rating for RadNet being a "Buy" and an average price target of $71.60.
• RadNet reported earnings of $0.31 per share for the latest quarter, significantly surpassing analysts' expectations, with a noted revenue increase of 8.4% year-over-year.

RadNet (NASDAQ:RDNT - Get Free Report) was upgraded by research analysts at Zacks Research from a "strong sell" rating to a "hold" rating in a research note issued on Monday, August 18th,Zacks.com reports.

A number of other brokerages also recently issued reports on RDNT. Truist Financial set a $74.00 price target on RadNet in a report on Thursday, July 10th. Raymond James Financial reissued a "strong-buy" rating and issued a $75.00 price target (up from $66.00) on shares of RadNet in a report on Wednesday, August 13th. Wall Street Zen raised RadNet from a "sell" rating to a "hold" rating in a report on Saturday, August 16th. B. Riley assumed coverage on RadNet in a report on Friday, June 13th. They issued a "buy" rating and a $69.00 price target for the company. Finally, Morgan Stanley raised RadNet to an "overweight" rating in a report on Monday, August 11th. Three equities research analysts have rated the stock with a Strong Buy rating, four have issued a Buy rating and one has assigned a Hold rating to the company. Based on data from MarketBeat.com, the stock has a consensus rating of "Buy" and an average target price of $71.60.

RadNet Stock Performance

NASDAQ RDNT traded down $0.74 during trading hours on Monday, reaching $69.36. The stock had a trading volume of 441,698 shares, compared to its average volume of 826,388. The stock has a fifty day moving average of $58.44 and a 200 day moving average of $55.87. The stock has a market cap of $5.34 billion, a P/E ratio of -348.58 and a beta of 1.43. RadNet has a 52-week low of $45.00 and a 52-week high of $93.65. The company has a debt-to-equity ratio of 0.91, a quick ratio of 2.00 and a current ratio of 2.00.

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

Insider Activity at RadNet

In related news, CEO Cornelis Wesdorp sold 1,500 shares of the stock in a transaction on Tuesday, August 19th. The stock was sold at an average price of $66.98, for a total value of $100,470.00. Following the completion of the transaction, the chief executive officer directly owned 54,495 shares of the company's stock, valued at approximately $3,650,075.10. This represents a 2.68% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, insider Ranjan Jayanathan sold 65,598 shares of the stock in a transaction on Tuesday, August 19th. The shares were sold at an average price of $67.50, for a total value of $4,427,865.00. Following the completion of the transaction, the insider directly owned 138,198 shares of the company's stock, valued at approximately $9,328,365. This represents a 32.19% decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last ninety days, insiders sold 84,098 shares of company stock valued at $5,689,605. 5.60% of the stock is owned by insiders.

Institutional Inflows and Outflows

Several hedge funds have recently added to or reduced their stakes in RDNT. Headlands Technologies LLC purchased a new position in RadNet during the first quarter worth approximately $28,000. BNP PARIBAS ASSET MANAGEMENT Holding S.A. acquired a new stake in shares of RadNet in the 2nd quarter worth $35,000. State of Wyoming acquired a new stake in shares of RadNet in the 2nd quarter worth $58,000. GAMMA Investing LLC increased its stake in shares of RadNet by 22.3% in the 1st quarter. GAMMA Investing LLC now owns 1,644 shares of the medical research company's stock worth $82,000 after acquiring an additional 300 shares during the last quarter. Finally, Family Legacy Financial Solutions LLC acquired a new stake in shares of RadNet in the 2nd quarter worth $85,000. 77.90% of the stock is owned by institutional investors and hedge funds.

RadNet Company Profile

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.