RadNet price target lowered to $88 from $94 at Truist

Truist analyst David MacDonald lowered the firm’s price target on RadNet (RDNT) to $88 from $94 and keeps a Buy rating on the shares after meeting with its management team. The firm remain bullish on RadNet, with discussiong highlighting continued strong core imaging center demand trends coupled with meaningful Digital Health – DH – opportunity which should build in FY25 into FY26 and beyond, the analyst tells investors in a research note. Truist adds that it sees opportunity around operating leverage and cross-sell over time and superb financial flexibility underpinning continued growth investment, though its reduced estimates largely reflect higher assumed DH segment investment. The firm is cutting its FY25 EBITDA view on RadNet by $7M to $301M.