RideNow Group (NASDAQ:RDNW) Issues Earnings Results

RideNow Group (NASDAQ:RDNW) issued its quarterly earnings results on Monday. The company reported ($0.17) earnings per share (EPS) for the quarter, FiscalAI reports. RideNow Group had a negative return on equity of 223.85% and a negative net margin of 9.35%.The firm had revenue of $256.90 million during the quarter.

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

• Adjusted EBITDA jumped to $9.7 million in Q4 (up 341% YoY) and full?year adjusted EBITDA was $46.2 million (up 40.4% YoY), driven by cost reductions and operational execution.
• Management shut down Wholesale Express effective end of December, removing the transportation business and reducing total revenue year?over?year.
• On a same?store basis (excluding closed locations), Q4 powersports revenue rose 6.3%, gross profit increased 13.8%, and unit sales grew, marking multi?quarter same?store improvement.
• Profitability per unit improved — new unit gross margin to 13.2% (from 10.8%) and pre?owned to 14.4%, with higher GPU in fixed ops and F&I businesses.
• Liquidity shows $42.9M cash and total available liquidity of ~$152.6M, but non?vehicle net debt is $189.3M and free cash flow fell to $10.3M for 2025 (vs. $97.4M prior year), reflecting one?time items and weaker operating cash conversion.

RideNow Group Stock Up 3.4%

Shares of RDNW stock opened at $6.70 on Tuesday. The stock’s 50-day moving average price is $5.97 and its 200 day moving average price is $4.92. The stock has a market capitalization of $254.73 million, a PE ratio of -2.39 and a beta of 1.25. RideNow Group has a 52-week low of $1.46 and a 52-week high of $7.17.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently modified their holdings of the stock. Y Intercept Hong Kong Ltd acquired a new stake in shares of RideNow Group during the second quarter worth $137,000. OMERS ADMINISTRATION Corp purchased a new position in RideNow Group during the 4th quarter worth $69,000. Barclays PLC purchased a new position in RideNow Group during the 4th quarter worth $94,000. Hudson Bay Capital Management LP acquired a new stake in shares of RideNow Group in the 4th quarter worth $118,000. Finally, State Street Corp acquired a new stake in shares of RideNow Group in the 4th quarter worth $485,000. 66.14% of the stock is currently owned by hedge funds and other institutional investors.

Analyst Upgrades and Downgrades

A number of brokerages recently commented on RDNW. Weiss Ratings reiterated a “sell (d-)” rating on shares of RideNow Group in a research note on Thursday, January 22nd. Wall Street Zen raised shares of RideNow Group to a “buy” rating in a report on Saturday, January 10th. One equities research analyst has rated the stock with a Buy rating, two have given a Hold rating and one has given a Sell rating to the stock. According to data from MarketBeat, the company currently has a consensus rating of “Hold” and an average target price of $4.00.

RideNow Group Company Profile

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.