RideNow Group (NASDAQ:RDNW) Announces Earnings Results

RideNow Group (NASDAQ:RDNWGet Free Report) released its quarterly earnings results on Thursday. The company reported ($0.11) earnings per share (EPS) for the quarter, Zacks reports. RideNow Group had a negative return on equity of 2,628.57% and a negative net margin of 4.28%.The company had revenue of $260.40 million during the quarter.

Here are the key takeaways from RideNow Group’s conference call:

  • RideNow reported Q1 revenue of $260.4 million, up 6.4% year over year, while adjusted EBITDA rose 32.9% to $9.3 million, marking the fourth straight quarter of year-over-year EBITDA improvement.
  • Same-store performance remained strong, with units up 16.3%, revenue up 13.1%, and same-store gross profit up 12.2%, each extending a multi-quarter growth trend.
  • Management said the SEC concluded its investigation and recommended no enforcement action against the company, removing a major overhang.
  • The company said it is making progress on refinancing and expects to provide more details in the coming weeks, with management aiming to improve flexibility and continue deleveraging over time.
  • RideNow ended the quarter with $145.7 million of available liquidity and said cash outflow was driven by higher inventory purchases to support growth and prepare for the spring selling season.

RideNow Group Trading Down 0.3%

RDNW traded down $0.02 during midday trading on Friday, reaching $7.91. The company’s stock had a trading volume of 172,177 shares, compared to its average volume of 62,831. The firm has a market capitalization of $303.82 million, a price-to-earnings ratio of -6.38 and a beta of 1.13. RideNow Group has a 1 year low of $1.46 and a 1 year high of $8.22. The stock’s 50-day moving average is $6.76 and its 200-day moving average is $5.93.

Institutional Investors Weigh In On RideNow Group

A number of hedge funds and other institutional investors have recently bought and sold shares of RDNW. Qube Research & Technologies Ltd purchased a new stake in RideNow Group in the second quarter worth about $52,000. Jane Street Group LLC bought a new stake in shares of RideNow Group during the second quarter valued at approximately $71,000. Geode Capital Management LLC bought a new stake in shares of RideNow Group during the fourth quarter valued at approximately $1,477,000. Goldman Sachs Group Inc. bought a new stake in shares of RideNow Group during the fourth quarter valued at approximately $406,000. Finally, Deutsche Bank AG bought a new stake in shares of RideNow Group during the fourth quarter valued at approximately $1,004,000. Hedge funds and other institutional investors own 66.14% of the company’s stock.

Analyst Ratings Changes

RDNW has been the subject of a number of research reports. Weiss Ratings reissued a “sell (d-)” rating on shares of RideNow Group in a research note on Tuesday, April 21st. DA Davidson reissued a “neutral” rating and issued a $6.00 price target on shares of RideNow Group in a research note on Tuesday, March 10th. Wall Street Zen raised shares of RideNow Group from a “hold” rating to a “buy” rating in a research note on Sunday, April 12th. Finally, Robert W. Baird increased their price target on shares of RideNow Group from $7.00 to $9.00 and gave the stock a “neutral” rating in a research note on Friday. Two research analysts have rated the stock with a Hold rating and one has issued a Sell rating to the company’s stock. According to data from MarketBeat.com, RideNow Group has a consensus rating of “Reduce” and an average price target of $7.50.

View Our Latest Research Report on RideNow Group

About RideNow Group

(Get Free Report)

RideNow Group, Inc (NASDAQ: RDNW) is a leading U.S. retailer of powersports vehicles, offering both new and pre-owned inventory to enthusiasts and recreational riders. The company’s dealerships carry a diverse lineup of motorcycles, all-terrain vehicles (ATVs), side-by-sides, personal watercraft and snowmobiles from major manufacturers. In addition to vehicle sales, RideNow Group provides comprehensive service and maintenance, aftermarket parts and accessories and a range of financing and protection plans tailored to powersports customers.

Founded in 2004 and headquartered in Houston, Texas, RideNow Group has grown through a combination of organic expansion and strategic acquisitions.

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Earnings History for RideNow Group (NASDAQ:RDNW)

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