B Riley Profitability Analysis
B Riley's market capitalization and book value each provide useful but distinct information about the business. B Riley's market capitalization is 156.66 M. A P/B ratio of 0.77 suggests B Riley trades near or below book value. Enterprise value stands at 1.94 B. Intrinsic value for B Riley synthesizes operating data into a single estimate that complements price and book value. Valuation methods compare these perspectives to frame context.
Value and price for B Riley may converge over time but can differ substantially in any given period. For B Riley, key inputs include a P/E ratio of 2.16, a P/B ratio of 0.77, a profit margin of -119.58%, and ROE of -33.85%.
B Riley Financial Return On Asset vs. Return On Equity Fundamental Analysis
Cross-company financial ratios help determine B Riley's valuation standing. B Riley Financial is rated below average in return on equity among leading competitors. It also is rated below average in return on asset among leading competitors . Earnings multiples remain central to B Riley's valuation analysis.RILY Return On Asset vs. Return On Equity
Return on Equity (ROE) measures how effectively a company converts shareholders' equity into net income. It is calculated by dividing net income by average shareholders' equity, and it reflects management's ability to generate profit from the capital investors have committed. ROE is one of the most widely used profitability ratios because it ties directly to shareholder value creation.
B Riley |
| = | -33.85 |
An ROE between 10% and 30% is generally considered healthy for most industries, supporting both dividend payments and reinvestment in future growth. However, ROE should not be evaluated in isolation. A high ROE driven by excessive financial leverage can signal risk rather than efficiency, so investors typically cross-reference ROE with debt-to-equity ratios and return on assets to distinguish genuine operational strength from balance-sheet amplification.
Return on Assets (ROA) measures how efficiently a company generates profit relative to its total asset base. It is calculated by dividing net income by total assets and reflects management's effectiveness at deploying capital across the business. ROA is particularly useful for comparing companies within the same industry, since asset intensity varies widely across sectors.
B Riley |
| = | -0.23 |
A higher ROA indicates that each dollar of assets produces more income, which generally signals operational efficiency. Asset-heavy industries such as banking, utilities, and manufacturing tend to have lower ROAs than asset-light businesses like software or professional services. When ROA is low, it may indicate either underperforming operations or a capital-intensive business model that requires ongoing investment to sustain revenue.
RILY Return On Asset Comparison
B Riley is currently under evaluation in return on asset among leading competitors.
B Riley Profitability Projections
Without sustained profitability, B Riley would eventually generate negative long-term returns for its investors. Profitability indicators for B Riley should be assessed across multiple periods to distinguish trends from noise. B Riley currently maintains a profit margin of -119.6%. Consistent profitability across economic cycles is typically a sign of a defensible business model. The operating margin stands at -62.3% while return on equity is -33.9%. These profit trend indicators provide the quantitative basis for evaluating B Riley's earnings quality. Recent net income of -774.9 M reflects the bottom-line result of these profitability dynamics.
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 was founded in 1973 and is headquartered in Los Angeles, California. B Riley operates under Financial Conglomerates classification in the United States and is traded on NASDAQ Exchange. It employs 1406 people.
RILY Profitability Driver Comparison
Investors in B Riley should monitor its profitability drivers closely, as these factors directly influence long-term investment value. Unexpected events - from macroeconomic disruptions to industry shocks - can significantly alter B Riley's earnings outlook and broader investment thesis.
Earnings per Share Projection vs Actual
Use B Riley in pair-trading
Pair trading with B Riley can help investors hedge some company-specific exposure by balancing a long view with an offsetting position. The key question is whether the second leg adds real hedge value instead of just creating a more complex version of the same risk.
B Riley Pair Trading
B Riley Financial Pair Trading Analysis
The effectiveness of tax-loss harvesting on B Riley depends on finding a suitable replacement asset. Instruments with correlation above 0.9 to B Riley Financial typically provide adequate market exposure during the required holding period.
Interpreting the correlation table for B Riley Financial: readings above 0.8 indicate strongly correlated pairs with minimal diversification benefit, while readings between -0.2 and +0.2 around B Riley suggest near-independence and genuine portfolio diversification value.
Pair evaluation and Correlation analysis for B Riley provide hedging context. The method can be applied across sectors and broader equity sets. Historical correlation patterns provide the basis for identifying potential hedging pairs.Use Investing Themes to Complement your B Riley position
With 156.66 Million market cap in the Financial Conglomerates industry, B Riley Financial works well as a smaller-cap core holding around which broader thematic baskets can be built. For B Riley Financial in Financial Conglomerates, the theme workflow defines the investment thesis first, then optimizes which Financial Services assets best express that view at the smaller-cap level.
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