Lake Street Capital lowers Radiant Logistics stock price target on tariff concerns

Published 16/09/2025, 14:58
Lake Street Capital lowers Radiant Logistics stock price target on tariff concerns

Investing.com - Lake Street Capital Markets lowered its price target on Radiant Logistics (NYSE:RLGT) to $8.00 from $10.00 on Tuesday, while maintaining a Buy rating on the logistics company’s stock. According to InvestingPro data, RLGT currently trades at a P/E ratio of 19.2x with a market cap of $293 million, and analysts maintain a Strong Buy consensus with targets ranging from $9 to $10.

The firm cited ongoing tariff volatility and economic uncertainty as key factors behind the reduced target, noting that Radiant’s management expects a muted peak season during the upcoming holiday period. Despite recent market challenges, InvestingPro analysis indicates the stock is currently undervalued based on its proprietary Fair Value model.

Lake Street initially anticipated a quick market adjustment following initial tariff announcements, but ongoing court challenges have prolonged the uncertainty longer than expected, prompting a more conservative approach to future estimates.

Despite the near-term challenges, the research firm highlighted Radiant’s strong position to emerge as a bigger player through its active merger and acquisition pipeline, supported by low leverage, a flexible balance sheet, and approximately $180 million in available debt capacity.

The firm noted that Radiant’s management plans to selectively re-leverage the company up to 2.5 times to capitalize on attractive deal multiples and valuation dislocations, potentially doubling EBITDA through strategic acquisitions and share repurchases.

In other recent news, Radiant Logistics Inc . reported its fourth-quarter 2025 earnings, exceeding analysts’ expectations with an earnings per share (EPS) of $0.11, compared to the forecasted $0.05. The company, however, experienced a slight revenue miss, reporting $220.6 million against the expected $224.1 million. These recent developments highlight the company’s ability to outperform earnings estimates despite not meeting revenue projections. Radiant Logistics’ performance in this quarter has drawn attention from investors and analysts alike. The earnings call emphasized the company’s strategies and future plans, although specific details were not disclosed in the report. The positive earnings surprise may influence future analyst ratings, although no upgrades or downgrades were reported in the current context. As Radiant Logistics navigates through its financial landscape, these results will likely play a crucial role in shaping investor sentiment.

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