tiprankstipranks
RideNow Group (RDNW)
NASDAQ:RDNW
Want to see RDNW full AI Analyst Report?

RideNow Group (RDNW) AI Stock Analysis

511 Followers

Top Page

RDNW

RideNow Group

(NASDAQ:RDNW)

Select Model
Select Model
Select Model
Neutral 47 (OpenAI - 5.2)
Rating:47Neutral
Price Target:
$6.00
▼(-6.25% Downside)
Action:Reiterated
Date:08/18/26
Overall score is held down primarily by weak financial performance (declining TTM revenue, negative profitability, leveraged balance sheet, and negative TTM operating/free cash flow) and bearish technicals (below key moving averages with negative MACD). The earnings call provides a meaningful offset with guidance for continued adjusted EBITDA/free-cash-flow strength and improving same-store trends, but valuation support is limited due to negative earnings and no dividend yield.
Positive Factors
Adjusted EBITDA Growth
Strong EBITDA growth indicates that operating initiatives are improving earnings capacity despite modest total revenue pressure. Sustained gains could strengthen margins, support reinvestment and improve the dealership platform’s resilience.
Negative Factors
Declining Revenue and Losses
The multi-year revenue decline and continuing net loss indicate that the business has not yet restored consistent earnings power. Persistent contraction could limit internal investment, weaken scale benefits and increase dependence on operational turnaround efforts.
Read all positive and negative factors
Positive Factors
Negative Factors
Adjusted EBITDA Growth
Strong EBITDA growth indicates that operating initiatives are improving earnings capacity despite modest total revenue pressure. Sustained gains could strengthen margins, support reinvestment and improve the dealership platform’s resilience.
Read all positive factors

RideNow Group (RDNW) vs. SPDR S&P 500 ETF (SPY)

RideNow Group Business Overview & Revenue Model

Company Description
RumbleON, Inc. utilizes a sophisticated, technology-powered omnichannel platform to streamline the aggregation and distribution of pre-owned vehicles across North America. Its operations are structured across three distinct segments: The Powerspor...

RideNow Group Earnings Call Summary

Earnings Call Date:Aug 11, 2026
(Q2-2026)
|
% Change Since: |
Next Earnings Date:Nov 10, 2026
Earnings Call Sentiment Positive
The call conveyed a generally positive operational and financial trajectory: strong adjusted EBITDA growth (+19.2%), improved new-unit margins, consecutive quarters of same-store momentum, materially higher adjusted free cash flow, and solid liquidity improvements. These positives offset modest near-term headwinds including a small decline in total revenue (driven by store consolidation), an overall units-sold decline (notably in pre-owned), pre-owned margin compression, negative operating cash flows for the six-month period, and elevated non-vehicle net debt while refinancing remains in progress. Management highlighted operational discipline, strategic milestones (Russell 2000 addition, store relocations), and continued focus on refinancing and accretive M&A, indicating confidence in continued improvement.
Positive Updates
Adjusted EBITDA Growth
Adjusted EBITDA increased to $20.5 million in Q2 2026, up 19.2% year-over-year (from $17.2 million). For the six months ended June 30, adjusted EBITDA was $29.8 million, up $6.6 million versus the prior year period.
Negative Updates
Total Revenue Slight Decline
Total revenue for Q2 2026 was $296.8 million versus $299.9 million in the prior year quarter (decline of ~1.0%), driven primarily by store consolidation (operating 5 fewer stores versus prior year).
Read all updates
Q2-2026 Updates
Negative
Adjusted EBITDA Growth
Adjusted EBITDA increased to $20.5 million in Q2 2026, up 19.2% year-over-year (from $17.2 million). For the six months ended June 30, adjusted EBITDA was $29.8 million, up $6.6 million versus the prior year period.
Read all positive updates
Company Guidance
Management guided that RideNow expects to continue delivering strong adjusted EBITDA and free cash flow through the remainder of 2026, pursuing disciplined, owner-oriented capital deployment and a return to growth via highly accretive acquisitions once refinancing is completed; current quarterly and year-to‑date metrics cited to support that view include Q2 total revenue $296.8M (vs. $299.9M prior year), Q2 same‑store revenue ~$291.7M (up 3% YoY), Q2 adjusted EBITDA $20.5M (up 19.2% YoY) and H1 adjusted EBITDA $29.8M (vs. $23.2M), H1 adjusted free cash flow $20.8M (vs. $2.9M), Q2 gross profit $84.8M, Q2 unit sales 16,626 (down 491 units, -2.9%) with new retail 10,807 (+1.8%) and pre‑owned 4,924 (-6.8%), new unit gross margin 14.8% (vs. 13.2% prior), pre‑owned margin 18% (vs. 18.8%), fixed‑ops revenue $50.1M (gross profit $24.2M), F&I revenue $27.0M, adjusted SG&A $62.8M (74.1% of gross profit, down from $64.9M / 77.4%), total cash $63.1M, $20M new used floor‑plan facility, floor‑plan availability ~$95.1M, total available liquidity ~$158.2M, non‑vehicle net debt $174.4M, inventory roughly in the low‑4‑month range, and ongoing multi‑quarter same‑store momentum (fourth consecutive quarter of same‑store revenue and unit growth, fifth consecutive quarter of same‑store gross‑profit growth).

RideNow Group Financial Statement Overview

Summary
Financial statements reflect stabilization but still elevated risk: TTM revenue is down materially (~-28%) and net margin remains negative, while leverage is high (debt-to-equity ~1.3x) and cash generation is weak with negative TTM operating cash flow and free cash flow.
Income Statement
34
Negative
Balance Sheet
28
Negative
Cash Flow
24
Negative
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue1.10B1.08B1.21B1.37B1.46B934.73M
Gross Profit300.80M289.00M314.30M359.90M441.70M158.18M
EBITDA23.80M41.70M38.90M-55.90M-230.40M-8.88M
Net Income-8.30M-52.40M-78.60M-215.50M-261.51M-9.72M
Balance Sheet
Total Assets736.30M673.60M755.20M926.30M1.03B1.05B
Cash, Cash Equivalents and Short-Term Investments46.70M29.50M85.30M58.90M46.80M48.97M
Total Debt453.30M554.00M665.70M771.60M749.00M522.39M
Total Liabilities391.10M686.10M718.50M820.70M821.20M614.03M
Stockholders Equity345.20M-12.50M36.70M105.60M206.01M431.29M
Cash Flow
Free Cash Flow-13.50M-13.40M97.00M-77.80M-31.51M-45.58M
Operating Cash Flow-8.60M-7.60M99.40M-62.00M-18.89M-35.99M
Investing Cash Flow-2.20M-2.70M900.00K-19.10M-82.20M-376.56M
Financing Cash Flow14.10M-43.50M-80.60M99.50M107.70M461.00M

RideNow Group Technical Analysis

Technical Analysis Sentiment
Negative
Last Price6.40
Price Trends
50DMA
6.38
Negative
100DMA
6.87
Negative
200DMA
6.35
Negative
Market Momentum
MACD
-0.15
Positive
RSI
39.13
Neutral
STOCH
23.86
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For RDNW, the sentiment is Negative. The current price of 6.4 is above the 20-day moving average (MA) of 6.34, above the 50-day MA of 6.38, and above the 200-day MA of 6.35, indicating a bearish trend. The MACD of -0.15 indicates Positive momentum. The RSI at 39.13 is Neutral, neither overbought nor oversold. The STOCH value of 23.86 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for RDNW.

RideNow Group Risk Analysis

RideNow Group disclosed 37 risk factors in its most recent earnings report. RideNow Group reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks

RideNow Group Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
61
Neutral
$18.38B12.79-2.54%3.03%1.52%-15.83%
51
Neutral
$74.04M-24.76-9.56%12.85%
47
Neutral
$232.12M-36.00-5.06%-1.27%92.69%
45
Neutral
$49.18M-0.85-51.30%100.60%69.18%
42
Neutral
$20.36M-0.14-26.30%-7.89%-857.64%
40
Underperform
$87.82M-0.16103.06%-53.68%-128.53%
* Consumer Cyclical Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
RDNW
RideNow Group
5.92
2.40
68.18%
CRMT
America's Car-Mart
2.21
-44.27
-95.25%
SDA
SunCar Technology Group
0.70
-1.77
-71.54%
JZXN
Jiuzi Holdings
1.14
-33.16
-96.68%
AZI
Autozi Internet Technology (Global) Ltd. Class A
1.29
-110.26
-98.84%
VRM
Vroom, Inc.
9.41
-18.84
-66.69%

RideNow Group Corporate Events

Business Operations and StrategyFinancial DisclosuresRegulatory Filings and Compliance
RideNow Group Reports Strong Q2 Profitability Improvement
Positive
Aug 11, 2026
On August 5, 2026, RideNow Group’s board adopted Third Amended and Restated Bylaws that overhaul corporate governance procedures, authorizing virtual shareholder meetings and electronic notices, integrating universal proxy rules into directo...
Executive/Board ChangesRegulatory Filings and ComplianceShareholder Meetings
RideNow Group Holds Routine Virtual Annual Stockholder Meeting
Neutral
Jun 5, 2026
On June 4, 2026, RideNow Group, Inc. held its virtual annual meeting of stockholders via live audio webcast, where investors elected all nominated directors to serve for the coming year and reaffirmed the company’s existing board composition...
Business Operations and StrategyPrivate Placements and Financing
RideNow Group Expands Inventory Financing Capacity with Polaris
Positive
May 18, 2026
On May 15, 2026, RideNow Group, Inc. and certain dealer subsidiaries entered into an Amended and Restated Inventory Financing Agreement with Polaris Acceptance, increasing the credit commitment under the Polaris floorplan facility from about $74.7...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Aug 18, 2026