RadNet, Inc. (RDNT) vs Veracyte, Inc. (VCYT)

RadNet, Inc. and Veracyte, Inc. are both Diagnostics & Research companies. RadNet, Inc. is the larger, with a market value of $6.1B against $1.9B — 3.2× the size. RadNet, Inc. has negative trailing earnings, so its P/E is not meaningful; Veracyte, Inc. trades at 15.2×. RadNet, Inc. grew revenue faster over the last twelve months: 18.9% against 17.5%. Veracyte, Inc. has the higher net margin (21.8% vs −0.93%) and the higher return on invested capital (4.33% vs 2.24%). Across the 20 metrics below, Veracyte, Inc. leads on 18 and RadNet, Inc. on 2.

Valuation

Metric RDNT VCYT Diagnostics & Research median
P/E n/m 15.16 34.52
P/S 2.69 3.34 4.24
P/B 4.38 1.35 3.42
Price to free cash flow 188.87 11.98 33.51
EV/EBITDA 21.80 11.76 23.44
EV/Sales 2.96 2.51 5.18
Earnings yield (0.34%) 6.59% (1.50%)
Free cash flow yield 0.53% 8.34% 0.00%

Profitability

Metric RDNT VCYT Diagnostics & Research median
Gross margin 11.53% 71.98% 48.32%
Operating margin 3.12% 17.08% (5.68%)
Net margin (0.93%) 21.80% (4.10%)
Free cash flow margin 3.28% 27.84% 0.00%
Return on equity (1.64%) 9.43% 0.00%
Return on assets (0.55%) 8.63% (6.05%)
Return on invested capital 2.24% 4.33% 0.00%

Growth

Metric RDNT VCYT Diagnostics & Research median
Revenue growth (TTM) 18.92% 17.50% 8.99%
EPS growth (last fiscal year) (725.00%) 164.52% 20.36%
Revenue growth, 5-year CAGR 13.74% 34.50% 7.30%
Net income growth, 5-year CAGR 0.00% 0.00% 0.00%

Health

Metric RDNT VCYT Diagnostics & Research median
Debt to equity 0.94 0.00 0.01
Current ratio 1.48 5.56 2.27
Net debt to EBITDA 1.16 (5.44) 0.68

Dividend

Metric RDNT VCYT Diagnostics & Research median
Dividend yield — — 0.67%
Payout ratio — — 0.20

Size

Metric RDNT VCYT Diagnostics & Research median
Market cap 6.14b 1.93b 2.22b

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