Great Elm Group (GEG) AI Stock Analysis

• Market Cap: $71.62M
• Dividend Yield: N/A
• Average Volume (3M): 86.93K
• Price to Earnings (P/E): 8.0
• Beta (1Y): -0.08
• Revenue Growth: 24.82%
• EPS Growth: N/A
• Country: US
• Employees: 31
• Sector: Financial
• Sector Strength: 70
• Industry: Medical - Distribution
• EPS (TTM): -0.24
• Shares Outstanding: 28,996,786
• 10 Day Avg. Volume: 54,651
• 30 Day Avg. Volume: 86,928
• PEG Ratio: >-0.01
• Price to Book (P/B): 0.81
• Price to Sales (P/S): 3.51
• P/FCF Ratio: -6.35
• Enterprise Value/Market Cap: 0.58
• Enterprise Value/Revenue: 1.80
• Enterprise Value/Gross Profit: -25.94
• Enterprise Value/Ebitda: 4.04
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: Hold
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 49 Neutral
• Price Target: $2.50 ▼(-3.85% Downside)

Great Elm Group's overall score is driven by strong revenue growth and strategic initiatives, but is significantly hampered by profitability issues, cash flow challenges, and a negative P/E ratio. The earnings call provided some positive insights, but financial challenges remain a concern.

Positive Factors

Revenue Growth

The significant revenue growth indicates robust market demand and effective business strategies, positioning the company for long-term expansion.

Strategic Partnerships

Strategic partnerships enhance GEG's investment capabilities and access to larger deals, supporting sustainable growth and competitive positioning.

Growth in Assets Under Management

Increasing AUM reflects successful fund management and investor confidence, which can drive future revenue through management and performance fees.

Negative Factors

Profitability Challenges

Ongoing profitability issues, evidenced by net losses, highlight operational inefficiencies that could hinder long-term financial stability.

Cash Flow Issues

Negative cash flow growth indicates liquidity constraints, limiting the company's ability to invest in growth opportunities and manage debt effectively.

Adjusted EBITDA Loss

The adjusted EBITDA loss suggests operational challenges and inefficiencies, which could impact the company's ability to achieve sustainable profitability.

Great Elm Group Business Overview & Revenue Model

Company Description

Great Elm Group (GEG) is a diversified investment management firm based in the United States, focusing primarily on the acquisition and management of middle-market businesses and real estate assets. The company operates through various sectors, including private equity, real estate investment, and asset management, offering a range of services designed to create value for its investors and partners. GEG's core products include investment funds that target high-growth opportunities, as well as strategic advisory services aimed at enhancing operational efficiency and maximizing returns on investment.

How the Company Makes Money

Great Elm Group generates revenue through multiple streams, primarily from management fees and performance-based incentives associated with its investment funds. The company earns management fees by providing investment management services to its funds, typically calculated as a percentage of the assets under management (AUM). Additionally, GEG benefits from performance fees, which are contingent upon achieving specific investment returns, aligning its interests with those of its investors. The firm also engages in direct investments in portfolio companies, generating earnings from operational profits and eventual exits through sales or public offerings. Strategic partnerships with other financial institutions and investment firms further enhance GEG's capabilities, allowing for access to larger deals and diversified investment opportunities, thereby contributing to its overall revenue growth.

Great Elm Group Financial Statement Overview

Summary

Great Elm Group shows strong revenue growth but struggles with profitability and cash flow. The balance sheet is stable with moderate leverage, but operational inefficiencies and cash flow challenges pose risks.

Income Statement

Great Elm Group shows a mixed performance in its income statement. The company has experienced significant revenue growth of 41.65% in the TTM period, indicating strong top-line expansion. However, profitability metrics such as EBIT and EBITDA margins are negative, reflecting operational inefficiencies. The net profit margin is positive at 79%, but this is due to non-operational factors, as EBIT is negative.

Balance Sheet

The balance sheet of Great Elm Group presents a moderate risk profile. The debt-to-equity ratio stands at 0.89, indicating a balanced leverage position. Return on equity is positive at 20.32%, suggesting effective use of equity capital. However, the equity ratio is not explicitly provided, which limits a full assessment of asset financing.

Cash Flow

Cash flow analysis reveals challenges for Great Elm Group. The free cash flow growth rate is negative at -128.53%, indicating cash flow issues. The operating cash flow to net income ratio is negative, suggesting that net income is not translating into cash flow. The free cash flow to net income ratio is 1.0, showing that all net income is being converted into free cash flow, but the overall cash flow position remains weak.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	23.11M	16.32M	17.83M	8.66M	4.52M	60.85M
Gross Profit	-1.60M	-108.00K	977.00K	-1.53M	-2.10M	33.53M
EBITDA	10.30M	21.04M	4.60M	21.91M	-8.22M	655.00K
Net Income	3.22M	12.89M	-1.39M	27.73M	-14.89M	-7.28M
Balance Sheet
Total Assets	155.01M	153.94M	140.45M	135.89M	168.09M	161.87M
Cash, Cash Equivalents and Short-Term Investments	125.82M	109.45M	116.50M	117.37M	72.12M	74.92M
Total Debt	62.60M	62.59M	61.18M	63.44M	70.80M	40.89M
Total Liabilities	71.87M	73.27M	70.25M	72.05M	125.83M	106.44M
Stockholders Equity	73.78M	70.32M	62.71M	63.84M	33.50M	43.24M
Cash Flow
Free Cash Flow	2.13M	-9.01M	-15.55M	-2.43M	28.45M	-25.95M
Operating Cash Flow	2.13M	-9.01M	-15.55M	-2.37M	29.28M	-18.98M
Investing Cash Flow	5.63M	-1.34M	2.27M	83.96M	-40.02M	-15.48M
Financing Cash Flow	3.05M	-8.77M	2.84M	-47.62M	9.95M	18.34M

Great Elm Group Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 2.60
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GEG, the sentiment is Positive. The current price of 2.6 is above the 20-day moving average (MA) of 2.51, above the 50-day MA of 2.49, and above the 200-day MA of 2.22, indicating a bullish trend. The MACD of 0.03 indicates Negative momentum. The RSI at 60.80 is Neutral, neither overbought nor oversold. The STOCH value of 85.64 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GEG.

Great Elm Group Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
RDGT	55 Neutral	$11.18M	-1.94	-6.45%	―	-22.37%	63.14%
GEG	49 Neutral	$71.62M	7.96	4.68%	―	24.82%	―
SNYR	47 Neutral	$24.29M	5.84	―	―	―	―
ZYXI	40 Underperform	$35.55M	―	―	―	-44.13%	-1719.49%
OMI	39 Underperform	$207.29M	―	-184.47%	―	-37.09%	-2639.44%

Great Elm Group Corporate Events

Great Elm Group Reports Q1 2026 Financial Results

Great Elm Group, Inc. is a publicly-traded alternative asset manager specializing in a diversified portfolio across credit, real estate, and specialty finance sectors, with a focus on long-duration and permanent capital vehicles.

Great Elm Group’s Earnings Call: Balancing Growth and Challenges

During the recent earnings call, Great Elm Group, Inc. presented a balanced sentiment, highlighting both promising growth initiatives and financial challenges. The company showcased significant capital raising efforts and strategic partnerships, alongside growth in assets under management and success in its private credit strategy. However, these positives were tempered by a net loss for the quarter, an adjusted EBITDA loss, and the adverse impact of First Brands’ bankruptcy.

Great Elm Group Announces Retirement of James H. Hugar

On October 13, 2025, James H. Hugar announced his retirement from Great Elm Group and will not seek re-election at the 2025 annual stockholders meeting. His departure is amicable and not due to any disagreements, and his expertise has been pivotal in the company’s transition.

The most recent analyst rating on (GEG) stock is a Hold with a $2.50 price target. To see the full list of analyst forecasts on Great Elm Group stock, see the GEG Stock Forecast page.

Great Elm Group Reports Record Earnings and Strategic Growth

Great Elm Group, Inc. is a publicly-traded alternative asset manager specializing in a diversified portfolio across credit, real estate, specialty finance, and other alternative strategies. The company manages Great Elm Capital Corp. and Monomoy Properties REIT, among other investments.

Great Elm Group Secures Strategic Investment from Woodstead

On August 27, 2025, Great Elm Group, Inc. announced a strategic investment from Woodstead Value Fund, L.P., which purchased 4 million shares of GEG’s common stock for $9 million and received warrants for additional shares, aligning Woodstead with GEG’s shareholders. Additionally, Booker Smith joined GEG’s Board of Directors, bringing expertise in corporate credit and real estate, supporting GEG’s strategic priorities. This transaction provides GEG with growth capital to expand assets under management and enhance profitability, while a separate transaction involving Great Elm Capital Corp. strengthens its balance sheet and reflects investor confidence.

The most recent analyst rating on (GEG) stock is a Hold with a $2.00 price target. To see the full list of analyst forecasts on Great Elm Group stock, see the GEG Stock Forecast page.