Capitalcube gives RadNet, Inc. a score of 41.
Our analysis is based on comparing RadNet, Inc. with the following peers – Digirad Corporation, Quest Diagnostics Incorporated, Laboratory Corporation of America Holdings, Enzo Biochem, Inc., Psychemedics Corporation, CombiMatrix Corporation, Intelligent Systems Corporation and Chicago Rivet & Machine Co. (DRAD-US, DGX-US, LH-US, ENZ-US, PMD-US, CBMX-US, INS-US and CVR-US).
RadNet, Inc. has a fundamental score of 41 and has a relative valuation of UNDERVALUED.
Access our research and ratings on RadNet, Inc.
- With respect to peers, relative outperformance over the last year is in contrast to the more recent underperformance.
- It currently trades at a Price/Book ratio of (8.09).
- RDNT-US outperforms its peers with a relatively high operating performance and the market also expects faster growth relative to its peers
- RDNT-US‘s relative asset efficiency and net profit margins are both around the median level.
- Changes in the company’s annual revenue and earnings are around the median among its peers.
- RDNT-US‘s return on assets has improved from below median to about median among its peers over the last five years.
- The company’s relatively low gross margin and median pre-tax margin suggest operations may be constrained on pricing versus peers.
- While RDNT-US‘s revenues growth has been around the peer median in recent years, the market seems to see faster growth ahead and gives its shares a higher than peer median P/E ratio.
- The company’s relatively low level of capital investment and below peer median returns on capital suggest that the company is in maintenance mode.
- RDNT-US seems too levered to raise additional debt.
Access our research and ratings on RadNet, Inc.
Leverage & Liquidity
RDNT-US would seem to have a hard time raising additional debt.
- With debt at a relatively high 63.58% of its enterprise value compared to an overall benchmark of 25% (Note: The peer median is currently 1.51%), and relatively tight interest coverage level of 1.22x, RDNT-US would have a hard time raising much additional debt. The company has a Constrained profile in terms of its ability to take on further debt.
- Of the 8 chosen peers for the company, only 6 of the stocks have an outstanding debt balance. Companies with no debt include INS-US and CVR-US.
RDNT-US has maintained its Limited Flexibility profile from the recent year-end.
- RDNT-US‘s interest coverage is similar to its five-year average interest coverage of 1.02x.
- Compared to 2016, interest coverage has remained relatively stable for both the company (1.22x) and the peer median (6.33x).
- RDNT-US‘s debt-EV is less than (but within one standard deviation of) its five-year average debt-EV of 75.24%.
- The decrease in its debt-EV to 63.58% from 69.27% (in 2016) was also accompanied by a decrease in its peer median during this period to 1.51% from 4.28%.
- Relative to peers, debt-EV fell 2.93 percentage points. Unlike the peer median, it is also above the 25% leverage benchmark.
Access the detailed analysis for RadNet, Inc.
Key Liquidity Items
|Company||Debt/Enterprise Value (%)||Current Ratio||Interest Coverage (x)||Cash Flow To Total Debt (%)|
|Quest Diagnostics Incorporated||23.15||1.47||8.48||39.3|
|Laboratory Corporation of America Holdings||31.42||1.89||6.33||21.74|
|Enzo Biochem, Inc.||0.2||5||0||253.55|
|Intelligent Systems Corporation||0||9.41||No interest exp||999|
|Chicago Rivet & Machine Co.||0||7.23||No interest exp||999|
|Best In Class||0.2||9.41||No interest exp||999|
Looking for more metrics and analysis for RadNet, Inc.?
RadNet, Inc. provides freestanding, fixed-site outpatient diagnostic imaging services in the United States. Its centers provide physicians with imaging capabilities to facilitate the diagnosis and treatment of diseases and disorders and reduce unnecessary invasive procedures. The company offers magnetic resonance imaging, computed tomography, positron emission tomography, nuclear medicine, mammography, ultrasound, diagnostic radiology, fluoroscopy, and other related procedures. RadNet was founded by Howard Berger in 1980 and is headquartered in Los Angeles, CA.
The information presented in this report has been obtained from sources deemed to be reliable, but AnalytixInsight does not make any representation about the accuracy, completeness, or timeliness of this information. This report was produced by AnalytixInsight for informational purposes only and nothing contained herein should be construed as an offer to buy or sell or as a solicitation of an offer to buy or sell any security or derivative instrument. This report is current only as of the date that it was published and the opinions, estimates, ratings and other information may change without notice or publication. Past performance is no guarantee of future results. Prior to making an investment or other financial decision, please consult with your financial, legal and tax advisors. AnalytixInsight shall not be liable for any party’s use of this report. AnalytixInsight is not a broker-dealer and does not buy, sell, maintain a position, or make a market in any security referred to herein. One of the principal tenets for us at AnalytixInsight is that the best person to handle your finances is you. By your use of our services or by reading any our reports, you’re agreeing that you bear responsibility for your own investment research and investment decisions. You also agree that AnalytixInsight, its directors, its employees, and its agents will not be liable for any investment decision made or action taken by you and others based on news, information, opinion, or any other material generated by us and/or published through our services. For a complete copy of our disclaimer, please visit our website www.analytixinsight.com.