Fundamental Global (FGF) AI Stock Analysis

• Market Cap: $32.55M
• Dividend Yield: N/A
• Average Volume (3M): 231.21K
• Price to Earnings (P/E): 6.4
• Beta (1Y): -0.74
• Revenue Growth: 10.82%
• EPS Growth: N/A
• Country: US
• Employees: 130
• Sector: Financial
• Sector Strength: 70
• Industry: Insurance - Diversified
• EPS (TTM): -4.07
• Shares Outstanding: 1,328,554
• 10 Day Avg. Volume: 653,978
• 30 Day Avg. Volume: 231,207
• PEG Ratio: 0.21
• Price to Book (P/B): 0.31
• Price to Sales (P/S): 1.33
• P/FCF Ratio: -4.84
• Enterprise Value/Market Cap: 1.49
• Enterprise Value/Revenue: 4.16
• Enterprise Value/Gross Profit: -47.62
• Enterprise Value/Ebitda: -1.86
• 1Y Price Target: $27.00
• Price Target Upside: 9.93% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 69 Neutral
• Price Target: $27.00 ▲(9.93% Upside)

The overall stock score is driven by strong corporate events and positive technical analysis. The strategic shift towards digital finance with the Ethereum strategy is a significant positive. However, financial performance remains a concern due to declining revenues and cash flow issues.

Fundamental Global Business Overview & Revenue Model

Company Description

Fundamental Global (FGF) is a diversified investment firm focused on identifying and cultivating high-potential businesses across various sectors, including technology, healthcare, and financial services. The company leverages its expertise in private equity and venture capital to provide strategic guidance and financial support to its portfolio companies, aiming to drive long-term growth and value creation. FGF's core services include investment management, financial advisory, and operational support, making it a key player in fostering innovation and entrepreneurship.

How the Company Makes Money

Fundamental Global generates revenue primarily through management fees and performance-based incentives from its investment funds. The company charges a percentage of assets under management (AUM) as a management fee, which provides a steady income stream. Additionally, FGF earns performance fees when its investment returns exceed predefined benchmarks, aligning its interests with those of its investors. Key revenue streams also include dividends and capital gains from successful exits of portfolio companies, as well as advisory fees for consulting services provided to businesses within its investment scope. Strategic partnerships with other financial institutions and venture capital firms enhance FGF's capital-raising capabilities and broadens its investment opportunities, contributing significantly to its overall earnings.

Fundamental Global Financial Statement Overview

Summary

Fundamental Global exhibits a challenging financial position with declining revenues and profitability. The income statement and cash flow statement reflect operational and cash generation issues, despite a strong balance sheet with low leverage. The company must focus on improving operational efficiency and revenue growth to enhance overall financial health.

Income Statement

The income statement shows significant volatility with a negative trend in profitability. The TTM period reports a gross profit margin of 50.9% and a net profit margin of -55.7%, indicating high expenses relative to revenue. Revenue has declined from $26.84M in 2023 to $11.64M in the TTM, a significant decrease, suggesting a challenging revenue environment. Additionally, both EBIT and EBITDA margins are negative, pointing to operational inefficiencies.

Balance Sheet

The balance sheet reflects a stable capital structure, with a debt-to-equity ratio of 0.05, indicating low leverage. The equity ratio stands at 63.9%, demonstrating a strong equity base relative to total assets. However, return on equity has been negative in the TTM, reflecting ongoing losses. Overall, the balance sheet is relatively stable, but profitability challenges persist.

Cash Flow

Cash flow analysis reveals negative operating cash flow and free cash flow in the TTM, suggesting cash generation issues. The free cash flow to net income ratio is negative due to both negative free cash flow and net income. Despite this, the company has managed to maintain positive investing cash flow, perhaps indicating strategic asset investments. However, the overall cash flow situation remains concerning.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	11.64M	17.35M	17.09M	12.48M	4.15M	-17.42M
Gross Profit	-1.02M	-8.14M	-4.38M	1.82M	-1.60M	-17.42M
EBITDA	-26.00M	-21.81M	-11.94M	1.09M	-7.33M	-23.12M
Net Income	-6.48M	-1.16M	-14.08M	1.09M	-8.51M	-22.46M
Balance Sheet
Total Assets	100.31M	109.47M	62.14M	49.48M	75.81M	34.70M
Cash, Cash Equivalents and Short-Term Investments	10.39M	7.79M	6.00M	3.01M	15.54M	12.13M
Total Debt	3.42M	3.74M	9.46M	8.54M	6.71M	8.21M
Total Liabilities	36.16M	35.27M	25.14M	12.18M	6.82M	455.00K
Stockholders Equity	64.15M	74.20M	35.15M	37.30M	34.01M	34.19M
Cash Flow
Free Cash Flow	-5.22M	-4.76M	-8.00K	-11.10M	-14.42M	-11.30M
Operating Cash Flow	-5.18M	-4.71M	156.00K	-11.02M	-14.41M	-11.28M
Investing Cash Flow	12.43M	13.15M	-695.00K	-3.45M	10.04M	-1.16M
Financing Cash Flow	-6.94M	-6.86M	3.38M	1.94M	7.77M	-3.94M

Fundamental Global Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 24.56
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For FGF, the sentiment is Neutral. The current price of 24.56 is below the 20-day moving average (MA) of 25.52, above the 50-day MA of 20.48, and above the 200-day MA of 20.84, indicating a neutral trend. The MACD of 2.00 indicates Positive momentum. The RSI at 50.35 is Neutral, neither overbought nor oversold. The STOCH value of 31.06 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for FGF.

Fundamental Global Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
WDH	79 Outperform	$679.93M	12.95	8.26%	0.85%	2.64%	100.00%
IGIC	79 Outperform	$1.10B	8.82	20.11%	4.02%	9.51%	―
FGF	69 Neutral	$32.55M	6.44	-24.49%	―	10.82%	―
FIHL	65 Neutral	$1.85B	17.57	-0.42%	2.35%	23.28%	-103.35%
GSHD	64 Neutral	$3.23B	75.28	60.58%	―	23.49%	60.38%
Sector *	62 Neutral	AU$10.41B	9.87	13.11%	4.73%	32.06%	21.38%

Fundamental Global Corporate Events

Fundamental Global Secures $200M for Ethereum Strategy

On August 5, 2025, Fundamental Global Inc. announced the successful closing of a $200 million private placement to accelerate its Ethereum treasury strategy. The proceeds will be used to establish Ethereum as the company’s primary treasury reserve asset, positioning FG Nexus to benefit from Ethereum’s foundational role in digital finance. The company has also engaged a team of experienced leaders to drive its digital asset strategy, including Maja Vujinovic as CEO of Digital Assets. Additionally, the company has entered into a side letter agreement with OGroup LLC, allowing them to designate two board members, and has issued employment agreements to key executives to lead its digital assets division.

Fundamental Global Announces $200M Ethereum Treasury Strategy

On July 29, 2025, Fundamental Global Inc. announced a $200 million private placement to launch its Ethereum treasury strategy, marking a significant shift in its operations. The company plans to use the proceeds to purchase Ethereum as its primary treasury reserve asset, leveraging its expertise in merchant banking and reinsurance to support the adoption of Ethereum in real-world finance. The initiative positions the company, soon to be rebranded as FG Nexus Inc., at the forefront of integrating traditional finance with decentralized finance, backed by strategic investors like Galaxy Digital and Kraken. This move is expected to enhance the company’s market positioning by aligning with the growing digital finance ecosystem and offering investors multiple value drivers beyond Ethereum price appreciation.