Is RDNT a high-quality business?

AlphaMadera's AlphaQuality grade scores RadNet, Inc. on six pillars — profitability, capital efficiency, balance-sheet strength, growth durability, cash generation, and shareholder yield. The composite letter grade reflects how RDNT compares to a Buffett-style quality bar.

What is RadNet, Inc.'s AlphaQuality grade?

AlphaQuality assigns a letter grade (A through F) to RDNT based on a six-pillar quantitative model. The live page shows the composite grade plus each pillar's individual score with the underlying metrics.

What makes RDNT a quality stock?

AlphaQuality looks at return on capital, free-cash-flow margins, debt-to-equity, revenue stability, dividend and buyback policy, and operating-margin trend. Stocks scoring well across all six pillars earn higher grades — the methodology favors compounders over cyclicals.

RDNT - RadNet, Inc.

Price: -- -- | CONSENSUS: Buy DETAILS | PRICE TARGET: $86.00 DETAILS

AlphaQuality

Quantitative six-pillar business-quality grade

Platform & Compounding FCF

AlphaQuality — archetype-weighted quantitative grade

D 35.2 / 100 composite

Composite Grade

Composite of six pillars weighted for platform & compounding fcf businesses. Purely quantitative — no stock price or analyst input.

Profitability

Weight: 25%

D- 28.8

5yr Avg ROIC 2.1% 21/100
Operating Margin Trend -0.12 pp/yr 48/100

Capital Efficiency

Weight: 15%

F 7.8

5yr Avg ROE 0.4% 12/100
5yr Share-Count CAGR 8.9% 0/100

Growth Quality

Weight: 25%

C+ 57.8

5yr Revenue CAGR 11.6% 84/100
5yr EPS CAGR -56.7% 0/100
Revenue-Growth Years (5) 5/5 100/100

Cash Generation

Weight: 20%

D+ 41.2

5yr FCF Margin -0.6% 22/100
5yr FCF/NI Conversion 4.52x 65/100

Balance Sheet

Weight: 10%

F 23.1

Net Debt / EBITDA 4.49x 23/100
Interest Coverage (EBIT/Int) 1.30x 17/100
Altman Z-Score 1.63 31/100

Stability

Weight: 5%

D 35.6

EPS Volatility (σ/μ) 0.96 1/100
Piotroski F-Score 3 33/100
Negative-Revenue Years (5) 0/5 100/100

3 of 3 gurus held; 1 new buy; 1 added; 1 trimmed; 1 full exit.

Holders: 3
Avg Δ position: +104.2%
New buys: 1
Full exits: 1

Cooperman new
Laffont sold -100%
Wood increased +232%

How this is calculated

AlphaQuality grades six pillars from 0-100 and weights each by archetype:

Profitability (25%) — 5yr Avg ROIC, Operating Margin Trend
Capital Efficiency (15%) — 5yr Avg ROE, 5yr Share-Count CAGR
Growth Quality (25%) — 5yr Revenue CAGR, 5yr EPS CAGR, Revenue-Growth Years (5)
Cash Generation (20%) — 5yr FCF Margin, 5yr FCF/NI Conversion
Balance Sheet (10%) — Net Debt / EBITDA, Interest Coverage (EBIT/Int), Altman Z-Score
Stability (5%) — EPS Volatility (σ/μ), Piotroski F-Score, Negative-Revenue Years (5)

We deliberately ignore stock price, analyst targets, and consensus ratings so the grade is suitable for backtesting forward returns. A minimum of 5 fiscal years of audited statements is required; distressed and highly leveraged infrastructure businesses are declared ungradable rather than forced into a numeric score.