20 Most Profitable Stocks of the Last 20 Years

3. RadNet, Inc. (NASDAQ:RDNT)

20-Year Annualized Return: 25.40% 

RadNet, Inc. (NASDAQ:RDNT) is a leading provider of outpatient diagnostic imaging services in the United States, operating a network of 350 owned and/or operated imaging centers across 8 states.

In the first quarter of 2024, the total RadNet, Inc. (NASDAQ:RDNT)’s revenue reached $431.7 million, reflecting a $41.1 million increase (10.5%) compared to Q1 2023 which was accompanied by a notable rise in Adjusted EBITDA(1) to $58.5 million, up $10.3 million (21.4%) year-over-year. Imaging Center Revenue amounted to $417.0 million, increasing by $37.6 million (9.9%), with Adjusted EBITDA(1) rising to $54.9 million, a $6.8 million (14.1%) increase. Digital Health Revenue saw substantial growth, reaching $14.7 million, up $3.6 million (32.3%), while Adjusted EBITDA(1) soared to $3.5 million, marking a remarkable increase of $3.5 million (17,500%) from Q1 2023, driven notably by a $2.5 million (118.8%) increase in AI Revenue to $4.7 million. RadNet completed the acquisition of Houston Medical Imaging on April 1, 2024, and announced a pending acquisition of American Health Imaging centers, expected to close in Q2 2024.

In Q1 2024, there were 28 hedge fund holders in the company, up from 15 in the previous quarter. Millenium Management held the largest position in the company with 1,082,971 shares worth $52,697,369.

The average analyst rating for RadNet stock is “Strong Buy”. Analysts have provided 12-month price forecasts with an average target of $57.25, ranging from a low estimate of $48 to a high estimate of $63. This suggests an average downside potential of approximately 3.39% from the current stock price of $59.26.