BRC Group Holdings Inc. Common Stock (RILY)

FairStock Score: 95/100 — HIGH CONVICTION

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

I look at BRC Group as a financial conglomerate with capital markets and lending operations, not a predictable compounder. The filed record is erratic: in FY2024, the year ended 2024-12-31, revenue was $986.0M and net income was -$764.3M; in FY2025, ended 2025-12-31, revenue fell to $789.0M but net income recovered to $307.4M, or $9.80 per diluted share. The recent pattern is equally lumpy: fiscal Q1 2026, ended 2026-03-31, net income was $213.3M, while fiscal Q2 2026, ended 2026-06-30, net income was only $20.5M on $185.9M of revenue and $0.45 per diluted share. That suggests the huge Q1 result may not be recurring. At the 2026-10-13 close of $4.88, FairStock's P/E is 0.43 and P/B is 1.38. A P/E below 1 is a statistical bargain only if earnings are durable; here profit growth is -85.27% and the Piotroski F-Score is 2/9, so quality signals are poor. Debt-to-equity of 7.52 is very high, and for a lender or broker that leverage can magnify both returns and losses. ROCE of 24.57% is attractive, but ROE is not available in the data. The Lynch category is TURNAROUND, meaning a return to profit after losses, which fits, but turnarounds need consistent proof. I would need bank-specific disclosures like CET1, net interest margin, or combined ratio, none of which are given. The price may be cheap versus trailing earnings, but the margin of safety is not yet clear.

In plain English: BRC Group Holdings is a financial services company that does investment banking, brokerage, and lending. It lost a lot of money in 2023 and 2024 but made money again in 2025 and recent quarters. The stock price looks very low compared with reported earnings, but those earnings have been uneven and the company carries a lot of debt compared with its equity.

The full AI analysis, bull and bear case and key monitorables are in FairStock Pro.

Data as of 2026-10-13 close · note generated 2026-10-15 · model deepseek-flash

Sources (SEC EDGAR): fiscal Q2 2026 10-Q (period ended 2026-06-30) · fiscal Q1 2026 10-Q (period ended 2026-03-31) · fiscal Q3 2025 10-Q (period ended 2025-09-30) · fiscal Q2 2025 10-Q (period ended 2025-06-30) · FY2025 10-K/A (period ended 2025-12-31) · FY2024 10-K/A (period ended 2024-12-31) · FY2023 10-K (period ended 2023-12-31)

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer