Radnet (RDNT) AI Stock Analysis

• Market Cap: $5.22B
• Dividend Yield: N/A
• Average Volume (3M): 925.95K
• Price to Earnings (P/E): 1704.6
• Beta (1Y): 1.32
• Revenue Growth: 11.33%
• EPS Growth: -232.27%
• Country: US
• Employees: 11,000
• Sector: Healthcare
• Sector Strength: 53
• Industry: Medical - Diagnostics & Research
• EPS (TTM): 0.31
• Shares Outstanding: 76,916,060
• 10 Day Avg. Volume: 1,449,309
• 30 Day Avg. Volume: 925,948
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 1.06
• Enterprise Value/Revenue: 2.91
• Enterprise Value/Gross Profit: 9.61
• Enterprise Value/Ebitda: 9.41
• 1Y Price Target: $71.40
• Price Target Upside: 4.07% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 5

• Rating: 67 Neutral
• Price Target: $72.00 ▲(4.94% Upside)

Radnet's overall stock score is driven by strong technical momentum and positive earnings call highlights, including record revenue and strategic acquisitions. However, profitability challenges and a negative P/E ratio weigh on the valuation score, limiting the overall score.

Positive Factors

AI and Technology

AI benefits could improve capacity and reduce costs through better workflow and efficiency.

Industry Trends

The company benefits from favorable industry trends, such as the shift of imaging procedures from hospitals to non-hospital imaging centers.

Negative Factors

Financial Performance

RDNT shares traded off after management guided EBITDA below buy-side expectations due to the impact of fires and winter storms.

Regulatory Risks

Medicare has been cutting reimbursement rates for radiology procedures, which is a headwind worth investors' attention.

Radnet Business Overview & Revenue Model

Company Description

RadNet, Inc. (RDNT) is a leading provider of outpatient diagnostic imaging services in the United States. The company operates a network of imaging centers that offer a wide range of services, including MRI, CT scans, PET scans, and X-rays. RadNet focuses on advanced imaging technology and high-quality patient care, serving a diverse client base that includes patients, physicians, and health plans. The company is committed to enhancing patient outcomes through innovative imaging solutions and has established itself as a key player in the healthcare sector.

How the Company Makes Money

RadNet generates revenue primarily through the provision of diagnostic imaging services. The company earns money by billing insurance companies, government health programs like Medicare and Medicaid, and patients for the imaging services rendered. Key revenue streams include payments for individual imaging procedures, technical fees, and professional interpretations of the images by radiologists. Additionally, RadNet benefits from strategic partnerships with healthcare providers and insurers, which helps to expand its patient base and increase service utilization. The company also engages in value-based care initiatives, allowing it to participate in shared savings programs that further enhance its revenue potential.

Radnet Financial Statement Overview

Summary

Radnet shows strong revenue growth and operational efficiency, with substantial improvements in cash flow management. However, the company faces profitability challenges and maintains a high leverage ratio. Continued focus on improving net margins and managing debt levels will be crucial for sustained financial health.

Income Statement

Radnet has demonstrated consistent revenue growth, with a notable increase from $1.07 billion in 2020 to $1.87 billion in TTM 2025. However, the net profit margin has declined, with a negative net income in TTM 2025, indicating profitability challenges. The EBITDA margin remains strong at 34.6% in TTM 2025, highlighting efficient operational performance amidst rising revenues.

Balance Sheet

The company's debt-to-equity ratio is relatively high, suggesting significant leverage, which may pose a risk in unstable market conditions. However, Radnet's equity has strengthened over the years, with stockholders' equity rising to $898 million in TTM 2025. The return on equity has shown variability, with a negative ROE in TTM 2025 due to net losses.

Cash Flow

Radnet's operating cash flow remains robust, with $257 million in TTM 2025. The free cash flow has improved significantly compared to the past negative figures, reaching $126.8 million in TTM 2025, indicating better cash management and operational efficiency.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.91B	1.83B	1.62B	1.43B	1.32B	1.07B
Gross Profit	577.73M	249.12M	221.39M	165.72M	200.91M	132.20M
EBITDA	590.18M	262.55M	292.79M	278.53M	278.37M	199.74M
Net Income	-14.92M	2.79M	3.04M	10.65M	24.73M	-14.84M
Balance Sheet
Total Assets	3.51B	3.29B	2.69B	2.43B	2.06B	1.79B
Cash, Cash Equivalents and Short-Term Investments	833.15M	740.02M	342.57M	127.83M	134.61M	102.02M
Total Debt	1.84B	1.73B	1.49B	1.51B	1.40B	1.18B
Total Liabilities	2.34B	2.15B	1.88B	1.94B	1.71B	1.53B
Stockholders Equity	932.31M	902.31M	630.70M	333.00M	228.90M	165.74M
Cash Flow
Free Cash Flow	110.74M	1.29M	44.26M	-103.00M	-71.20M	108.32M
Operating Cash Flow	296.49M	233.02M	220.86M	146.42M	149.49M	233.76M
Investing Cash Flow	-253.16M	-233.07M	-201.47M	-246.95M	-221.51M	-126.24M
Financing Cash Flow	82.63M	397.95M	195.63M	93.65M	104.67M	-45.56M

Radnet Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 68.61
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For RDNT, the sentiment is Positive. The current price of 68.61 is above the 20-day moving average (MA) of 60.48, above the 50-day MA of 58.17, and above the 200-day MA of 61.45, indicating a bullish trend. The MACD of 3.23 indicates Negative momentum. The RSI at 69.10 is Neutral, neither overbought nor oversold. The STOCH value of 94.59 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for RDNT.

Radnet Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
RDNT	67 Neutral	$5.22B	1,704.59	-1.65%	―	11.33%	-232.27%
SHC	65 Neutral	$4.59B	194.74	5.14%	―	2.40%	-40.03%
GH	57 Neutral	$7.30B	―	-4584.47%	―	28.74%	18.25%
CDNA	56 Neutral	$615.84M	11.92	20.73%	―	14.72%	―
MYGN	52 Neutral	$512.68M	―	-70.03%	―	3.83%	-137.31%
Sector *	51 Neutral	$7.77B	-0.12	-39.78%	2.21%	22.68%	-1.42%
NEO	48 Neutral	$815.12M	―	-11.76%	―	9.70%	-30.94%

Radnet Corporate Events

RadNet Completes Acquisition of iCAD for AI Expansion

On July 17, 2025, RadNet, Inc. announced the completion of its acquisition of iCAD, Inc., a leader in AI-powered breast health solutions. This acquisition, through RadNet’s subsidiary DeepHealth, integrates iCAD’s technology and capabilities, enhancing DeepHealth’s suite of AI-powered breast cancer image interpretation and workflow solutions. The merger is expected to accelerate AI adoption and expand access to advanced breast cancer screening technologies globally, impacting over 10 million mammograms annually and improving cancer detection rates and workflow efficiency.

RadNet Secures $100 Million Loan for Growth

On June 11, 2025, RadNet, Inc. announced that it secured a $100 million incremental term loan from Barclays Bank PLC, which will be used for future acquisitions and general corporate purposes. This financial move is part of an amendment to their existing credit agreement, with the new loan maturing on April 18, 2031. The loan enhances RadNet’s capacity to pursue strategic growth opportunities, supporting its national imaging center network and technology platforms. Additionally, at the 2025 Annual Meeting of Stockholders held on June 10, 2025, RadNet’s stockholders elected seven directors and approved the appointment of Ernst & Young LLP as the company’s independent registered public accounting firm for the year ending December 31, 2025.