Radiant Logistics (RLGT): Citizens Turns Bullish on a Quarter the Full Year Doesn’t Back Up

Radiant Logistics (RLGT): Citizens Turns Bullish on a Quarter the Full Year Doesn’t Back Up

Faheem Tahir

Sun, September 20, 2026 at 4:48 AM GMT+3 4 min read

• RLGT -1.91%

On September 14, 2026, Radiant Logistics, Inc. (NYSEAMERICAN:RLGT) reported fourth fiscal quarter results for the period ended June 30, 2026. Revenue rose 18.5% to $261.4 million, net income jumped 53.1% to $7.5 million, and adjusted EBITDA climbed 31.6% to $10.4 million while adjusted EBITDA margin expanded 240 basis points to 15.5%.

The next day, Citizens upgraded the stock to Outperform from Market Perform with a $10 price target.

Photo by Shaah Shahidh on Unsplash

Bulls: Citizens Sees the Fourth Quarter As Proof the Freight Cycle is Turning

Citizens cited Radiant's stronger than expected revenue growth and operating margins for the upgrade, saying it is encouraged by results tied to extra aid needed for Pacific typhoons and a stronger international customs environment, and expects Radiant's acquisitions to pick up in 2027 and 2028.

The quarter supports that view.

US forwarding operations and international airfreight both accelerated, spot rates and tender rejections moved higher late in the period, and capacity kept exiting the domestic truckload and intermodal markets. Radiant Logistics, Inc. (NYSEAMERICAN:RLGT) enters fiscal 2027 with zero net debt, $25.6 million in cash, and an amended $200 million credit facility extended to August 2031 with its acquisition-focused accordion expanded to $100 million from $75 million. Navegate also continued to expand its reach, as an enterprise customer increased its platform usage to more than 1,400 vendors. During the quarter, the company also introduced a new independent agent program at Radiant Road & Rail.

Bears: The Full Year Moved in the Opposite Direction of the Quarter

Citizens' upgrade on Radiant Logistics, Inc. (NYSEAMERICAN:RLGT) is bullish, but the full-year numbers suggest more caution than its note conveys. Full-year revenue grew just 3.5% to $934.4 million, a fraction of the fourth quarter's pace, while full-year adjusted EBITDA fell 5.4% to $36.7 million from $38.8 million, with the decline widening to $35.4 million after excluding a $1.3 million one-time adjustment.

Management noted that the improvement in domestic truck brokerage toward the end of the fourth quarter has yet to be fully captured in the reported figures. Ocean freight continues to face disruptions from the Strait of Hormuz issue and ongoing Houthi activity affecting Suez Canal traffic, while Canada introduced new retaliatory tariffs in early September, creating additional uncertainty for cross-border shippers.

What The Smart Money Sees

Royce & Associates raised its stake 11% to 2.79 million shares worth $26.4 million as of the second quarter of 2026. First Eagle Investment Management increased its position 7% to 552,507 shares worth $5.23 million, and D. E. Shaw added 6% to reach 336,245 shares worth $3.18 million.

Overall hedge fund ownership slipped to 11 funds from 13 the prior quarter, a pullback that predates Citizens' upgrade.

With Citizens now on record bullish and short interest sitting at a modest 2.17% of float, there is little organized skepticism positioned against the stock. Shares trade at 11.68 times forward earnings as of September 18, 2026, a multiple that leaves room to re-rate if Citizens' call on the freight cycle proves right.

Takeaway

Citizens is making a bet that one strong quarter marks the start of a durable domestic freight recovery, pointing to margin expansion, an unlevered balance sheet, and acquisition capacity as reasons to get ahead of it. The full-year results offer a more cautious counterpoint: adjusted EBITDA declined year over year despite the quarterly improvement, while management indicated that the recent operational gains have yet to be fully reflected in reported results.

The September quarter will provide a clearer read on whether the domestic truck brokerage and intermodal trends identified by Radiant are gaining traction, or whether ocean disruptions and cross-border tariff pressures have offset those improvements.

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