RadNet, Inc. (RDNT) - Stock Analysis
Last updated: Jan 14, 2026
Research Idea
Research content for general circulation. Not individualized advice. Methodology & Disclosures
RadNet shows strong Q2 operational momentum with record revenue and EBITDA growth, raised full-year guidance, expanding reimbursement streams, and technical momentum with a ~36% surge over 21 trading days; near-term price upside possible above resistance at ~$73, despite high leverage and valuation risks.
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AI Analyst Overview
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Valuation Metrics
Fundamental Analysis
Key Financial Insights: ⢠High leverage ⢠Weak net income ⢠Strong cash generation RDNT has solid cash generation and EBITDA margin but remains highly leveraged with minimal net income, rising capex, and stretched valuation that increase downside risk.
Price Behavior
Key Price Behavior Insights: ⢠MidâDec peak ⢠Moderate decline ⢠Support tested Support Level: $70.95 (range $70â$73) Resistance Level: $80â$83 RDNT is in a mild corrective phase last month, sliding from ~$84.48 in midâDecember to $74.14 on 2026â01â13 with resistance near $80â$83 and support around $70â$71, so monitor for a break of $70â$73 or a defended rebound.
Sentiment & News
Key News Insights: ⢠Large stake increase ⢠Short-seller scrutiny ⢠Southwest FL acquisition RadNet is seeing heavy institutional buying and regional M&A even as a high-profile short-seller report and some shareholder selling introduce near-term skepticism.
AI Summary
RadNet's investment case has shifted from a steady outpatient imaging rollâup to a dualâengine story where future upside now hinges on successfully monetizing DeepHealth/iCAD and converting enterprise AI pilots into highâmargin, recurring revenue rather than relying solely on sameâcenter imaging growth. Monitor digital revenue conversion rates, EBITDA-to-netâincome progression, and capex-adjusted freeâcashâflow (or a clear decline in net leverage) as the specific execution milestones that will validate the current elevated multiple.
Description
RadNet, Inc. operates a network of outpatient diagnostic imaging centers across multiple U.S. states, providing services such as MRI, CT, PET, mammography and other multimodality imaging procedures. The company also supplies imaging IT systems, including picture archiving and communication solutions, and has developed software tools to support radiologist interpretation in areas including mammography, lung and prostate cancer. Founded in 1981 and headquartered in Los Angeles, RadNet owned and managed 347 centers as of December 31, 2021.
Idea History
| Date | Close | Ticker | Company | Summary | Status | P/L |
|---|---|---|---|---|---|---|
| Sep 8 | Sep 15 | RDNT | RadNet, Inc. | RadNet shows strong Q2 operational momentum with record revenue and EBITDA growth, raised full-year guidance, expanding reimbursement streams, and technical momentum with a ~36% surge over 21 trading days; near-term price upside possible above resistance at ~$73, despite high leverage and valuation risks. | Closed | +4.2% |