Bedrijfsoverzicht
Reliance Global Group, Inc. is a specialized entity within the financial services sector that focuses on acquiring, owning, and managing insurance distribution and technology-oriented businesses across the United States. Operating specifically as an insurance broker, the company utilizes its internal platform, RELI Exchange, to function as a business-to-business InsurTech network that supports insurance agents and agencies through technological integration. The firm maintains a modest operational scale with a market capitalization of $4.23M, an annual revenue stream of $12.43M, and a workforce consisting of 40 employees. These valuation figures indicate that the company is a micro-cap entity with a relatively small market presence, positioning it as a niche player rather than a dominant force in the broader insurance brokerage landscape. The combination of low employee count and limited market cap suggests a lean organizational structure typical of early-stage or specialized technology-enabled brokerages that rely heavily on digital infrastructure to distribute their services.
Financiële gezondheid
The company reported a revenue of $12.43M over the trailing twelve months, yet it recorded a net income of -$6,987,756 and an EBITDA of -$7,740,655, revealing a significant divergence between top-line activity and bottom-line profitability. The substantial gap between the positive revenue figure and the deeply negative net income highlights a cost structure where expenses, likely driven by technology development or high customer acquisition costs, far exceed the gross margins generated from insurance commissions. Despite the negative net income, the company generated a positive free cash flow of $877,014, which provides a degree of financial flexibility by allowing management to fund operations without immediate reliance on external equity financing. However, the balance sheet presents a leveraged profile with cash holdings of $1.32M offsetting a total debt load of $6.38M, resulting in a debt-to-equity ratio of 99.33. This high leverage indicates that the company relies significantly on borrowed capital relative to its equity base, which increases financial risk during periods of economic stress. Liquidity is maintained at a current ratio of 1.78, suggesting that the company possesses sufficient current assets to cover its short-term liabilities, although the margin of safety is not exceptionally wide. Furthermore, the return on equity stands at -148.3% while the return on assets is -36.7%, metrics that clearly demonstrate that management has been unable to generate positive returns on the capital invested or deployed in assets.
Waarderingsbeoordeling
Both the trailing P/E ratio and the forward P/E ratio are listed as N/A, a status that implies the stock lacks a traditional earnings-based valuation multiple due to the company's persistent losses over the trailing twelve months. Consequently, the price-to-book ratio of 0.33 indicates that the market values the company's equity at a fraction of its book value, suggesting a deep discount relative to the underlying asset value or reflecting high risk perceptions. The price-to-sales ratio is 0.34, while the EV/EBITDA stands at -1.20, offering alternative valuation perspectives that rely on sales revenue and enterprise value rather than profitability. These alternative metrics suggest that the stock is priced based on its ability to generate sales volume rather than current earnings power, which is common for pre-profitability growth companies. The 52-week trading range spans from a low of $0.15 to a high of $3.55, providing a clear historical volatility band for price analysis. Without a specific current share price provided in the source data, the relative position cannot be calculated, but the wide range underscores the stock's significant price fluctuation potential. The beta value of 0.15 indicates that the stock's price volatility is substantially lower than the broader market, behaving as a low-volatility asset that moves independently of general market sentiment.
Growth & Income
The revenue growth year-over-year stands at -20.8%, while the earnings growth is N/A due to the company's continued losses, implying that the business is currently contracting rather than expanding its top line. Because the company is not a dividend payer with a dividend yield of N/A and a payout ratio of 0.0%, all earnings are technically retained, although the negative earnings mean there is no cash flow available to distribute to shareholders. The absence of a dividend policy forces the company to focus entirely on reinvesting its operations and free cash flow into growth initiatives rather than providing income to investors. The overall growth and income profile is characterized by negative revenue expansion and a complete lack of dividend income, positioning the equity as a speculative instrument rather than an income-generating holding.