B. Riley Financial (RILY)
NASDAQ:RILY
Want to see RILY full AI Analyst Report?
Top Page
B Riley Financial
(NASDAQ:RILY)
Select Model
Select Model
Rating:52Neutral
Price Target:
$10.00
▲(23.61% Upside)
Action:Reiterated
Date:05/09/26
The score is held down primarily by elevated balance-sheet and cash-flow stability risk despite a sharp TTM rebound. Technicals are supportive with price above major moving averages and positive MACD. Earnings-call commentary adds cautious optimism (debt reduction and improving operating metrics), but reliance on investment valuation gains and upcoming maturities limit conviction, while provided valuation metrics are not informative.
Positive Factors
Capital markets franchise and execution
Sustained ability to originate and execute large capital markets transactions demonstrates durable client relationships and fee-generating capabilities. Ongoing ATM filings and frequent deal flow support recurring revenue, underwriting scale and a competitive position that can drive stable franchise cashflows over months to years.
Negative Factors
Elevated balance-sheet and equity instability
Historic negative or unstable equity indicates prior losses and complex capital adjustments that can impede credit access and complicate covenant metrics. This structural balance-sheet weakness increases refinancing risk and limits strategic options, prolonging vulnerability during market stress.
Read all positive and negative factors
Positive Factors
Negative Factors
Capital markets franchise and execution
Sustained ability to originate and execute large capital markets transactions demonstrates durable client relationships and fee-generating capabilities. Ongoing ATM filings and frequent deal flow support recurring revenue, underwriting scale and a competitive position that can drive stable franchise cashflows over months to years.
Read all positive factors
B Riley Financial (RILY) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$351.26M
Dividend YieldN/A
Average Volume (3M)879.04K
Price to Earnings (P/E)0.3
Beta (1Y)0.43
Revenue Growth60.15%
EPS GrowthN/A
CountryUS
Employees2,383
SectorFinancial
Sector Strength70
IndustryFinancial - Conglomerates
Share Statistics
EPS (TTM)14.89
Shares Outstanding37,130,592
10 Day Avg. Volume1,049,102
30 Day Avg. Volume879,045
Financial Highlights & Ratios
PEG Ratio>-0.01
Price to Book (P/B)-0.83
Price to Sales (P/S)0.14
P/FCF Ratio-2.01
Enterprise Value/Market Cap4.32
Enterprise Value/Revenue1.17
Enterprise Value/Gross Profit1.58
Enterprise Value/Ebitda2.50
Forecast
1Y Price TargetN/A
Price Target UpsideN/A
Rating ConsensusN/A
Number of Analyst Covering0
EPS Forecast (FY)N/A
Revenue Forecast (FY)N/A
B Riley Financial Business Overview & Revenue Model
Company Description
B. Riley Financial, Inc., through its subsidiaries, provides investment banking and financial services to corporate, institutional, and high net worth clients in North America, Australia, and Europe. The company operates in six segments: Capital M...
How the Company Makes Money
null...
B Riley Financial Earnings Call Summary
Earnings Call Date:May 07, 2026
(Q1-2026)
| % Change Since: |
Next Earnings Date:Jul 23, 2026
Earnings Call Sentiment Positive
The call conveyed a predominantly positive quarter driven by substantial investment mark-to-market gains, a strong rebound in Capital Markets results, significant debt reduction and improved operating metrics (operating adjusted EBITDA up ~40% sequentially). Management highlighted momentum in capital raising, active balance sheet management, and operational normalization after prior remediation. However, meaningful caveats remain: a large portion of the year-over-year improvement stems from non-recurring investment valuation gains (notably Babcock & Wilcox), cash declined quarter-over-quarter, private equity realizations reduced certain holdings, and material debt maturities remain later in 2026. Management emphasized ongoing cost/operational optimization, recovery of client relationships after prior delinquency, and strategic actions (BRS minority buyout, platform synergies) that should support continued improvement.Positive Updates
Strong Quarterly Profitability and Adjusted EBITDA
Net income available to common shareholders of $211.3M and adjusted EBITDA of $262.2M for Q1 2026; adjusted EBITDA swung from a loss of $45M in Q1 2025 to $262.2M in Q1 2026.
Negative Updates
Revenue Driven by Non-Recurring/Volatile Investment Gains
A substantial portion of the YoY revenue increase is attributable to fair value appreciation and trading gains (notably Babcock & Wilcox), introducing earnings volatility and reliance on investment mark-ups rather than purely recurring operating revenue.
Read all updates
Q1-2026 Updates
Positive
Negative
Strong Quarterly Profitability and Adjusted EBITDA
Net income available to common shareholders of $211.3M and adjusted EBITDA of $262.2M for Q1 2026; adjusted EBITDA swung from a loss of $45M in Q1 2025 to $262.2M in Q1 2026.
Read all positive updates
Company Guidance
Management's guidance was that momentum should continue and the company will prioritize balance‑sheet strengthening and reinvesting operating cash flow into the core franchise while using capital actions to fund opportunities and retire debt; they reported Q1 results of net income available to common shareholders of $211.3M, adjusted EBITDA of $262.2M (operating adjusted EBITDA $34.6M, up ~40% sequentially), diluted EPS $6.57 and total revenues $352M (vs. $186M a year ago) driven by $161M higher trading gains and a $229M total Babcock & Wilcox valuation increase (27.4M shares at $14.69); liquidity/capital metrics include cash & equivalents of $178M (down from $229M), securities & other investments $640M (up $193M), loans receivable $24.9M, equity‑method investments $90.7M, total debt of ~$1.3B (down $129M in Q1) and net debt of $372M (down ~$255M YTD), with upcoming maturities of RILYN $167M (9/30) and RILYG $170M (12/31) plus $7M of subsidiary paydowns — actions to address these (buybacks, exchanges, asset sales) are expected to continue; they also highlighted strong commercial momentum (nearly $10B of capital raises in the quarter, $8.7B of new ATMs filed including $6B for IREN and $1B for SMR, 26 research initiations, Wealth AUM $11.9B with 190 RRs) and said merger synergies from combining B. Riley Securities and B. Riley Wealth and further OpEx savings (including lower audit/accounting fees) remain priorities, though synergies were not yet quantified.B Riley Financial Financial Statement Overview
Summary
Income Statement
62
Positive
Balance Sheet
22
Negative
Cash Flow
40
Negative
| Breakdown | Mar 2026 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|
Income Statement | |||||
| Total Revenue | 1.03B | 1.16B | 1.45B | 993.82M | 1.55B |
| Gross Profit | 669.84M | 716.43M | 913.22M | 748.03M | 1.42B |
| EBITDA | 357.47M | -700.02M | 6.57M | -153.37M | 733.09M |
| Net Income | 307.42M | -764.27M | -99.91M | -159.83M | 445.05M |
Balance Sheet | |||||
| Total Assets | 1.71B | 1.78B | 6.08B | 6.11B | 5.85B |
| Cash, Cash Equivalents and Short-Term Investments | 226.60M | 154.88M | 222.69M | 268.62M | 278.93M |
| Total Debt | 1.47B | 1.84B | 2.45B | 2.55B | 2.10B |
| Total Liabilities | 1.83B | 2.24B | 5.72B | 5.43B | 4.80B |
| Stockholders Equity | -171.53M | -488.18M | 291.12M | 446.51M | 661.27M |
Cash Flow | |||||
| Free Cash Flow | -71.03M | 255.60M | 16.79M | 2.73M | 50.22M |
| Operating Cash Flow | -59.71M | 263.55M | 24.50M | 6.65M | 50.89M |
| Investing Cash Flow | 311.48M | 440.53M | 301.17M | -32.29M | -956.53M |
| Financing Cash Flow | -279.37M | -671.95M | -365.92M | 17.64M | 1.08B |
B Riley Financial Technical Analysis
Positive
8.09
Price Trends
7.81
Positive
7.58
Positive
6.47
Positive
Market Momentum
0.47
Negative
60.40
Neutral
82.07
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For RILY, the sentiment is Positive. The current price of 8.09 is below the 20-day moving average (MA) of 8.61, above the 50-day MA of 7.81, and above the 200-day MA of 6.47, indicating a bullish trend. The MACD of 0.47 indicates Negative momentum. The RSI at 60.40 is Neutral, neither overbought nor oversold. The STOCH value of 82.07 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for RILY.
B Riley Financial Risk Analysis
B Riley Financial disclosed 74 risk factors in its most recent earnings report. B Riley Financial 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
B Riley Financial Peers Comparison
UnderperformOutperform
Sector (68)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
76 Outperform | $219.82M | 12.02 | 9.29% | 2.27% | 6.08% | 23.01% | |
74 Outperform | $1.26B | ― | 5.02% | 12.60% | -11.06% | -53.49% | |
68 Neutral | $519.89M | 8.58 | 85.96% | ― | 23.93% | ― | |
68 Neutral | $18.00B | 11.42 | 9.92% | 3.81% | 9.73% | 1.22% | |
58 Neutral | $210.51M | 17.72 | -9.19% | 1.07% | -7.72% | -258.34% | |
52 Neutral | $351.26M | 0.26 | -262.67% | ― | 60.15% | ― | |
50 Neutral | $139.25M | 108.92 | 4.81% | 5.42% | 0.36% | -68.20% |
* Financial Sector Average
RILY
B Riley Financial
9.46
6.44
213.25%
OVBC
Ohio Valley Banc
46.66
11.81
33.90%
TREE
Lendingtree
37.26
1.82
5.14%
INBK
First Internet Bancorp
24.15
0.57
2.44%
SAMG
SilverCrest Asset Management
11.81
-1.82
-13.38%
MSDL
Morgan Stanley Direct Lending Fund
14.99
-2.21
-12.87%
B Riley Financial Corporate Events
Executive/Board Changes
B Riley Financial Director Plans Exit at Annual Meeting
Neutral
Apr 9, 2026
On April 2, 2026, BRC Group Holdings, Inc. announced that director Robert D’Agostino has decided not to stand for re-election at the company’s 2026 annual meeting of stockholders. He will remain on the board and his current committees ...
Business Operations and StrategyExecutive/Board ChangesFinancial DisclosuresPrivate Placements and FinancingRegulatory Filings and Compliance
B Riley Financial Executes Debt-Reducing Bond-for-Equity Exchanges
Positive
Mar 12, 2026
BRC Group Holdings, Inc. said on March 12, 2026 that it had executed a series of Section 3(a)(9) bond-for-equity exchanges and cash repurchases with a long-time institutional investor, cancelling 1,343,551 units of senior notes in return for 4,201...
Business Operations and StrategyPrivate Placements and Financing
B Riley Financial Ends Guaranty, Easing Credit Exposure
Positive
Mar 4, 2026
On February 25, 2026, BRC Group Holdings, Inc. terminated its guaranty dated January 18, 2024 in favor of Axos Bank, which had backed obligations under the BW Axos Credit Agreement with Babcock Wilcox Enterprises, Inc. and related guarantors and ...
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.