📊 GAIA Key Takeaways
Is GAIA a Good Investment? Thesis Analysis
GAIA faces severe operational distress with revenue collapsing 95.5% YoY to just $4.5M while maintaining grossly inflated gross profit figures ($86.2M), indicating significant accounting anomalies or one-time asset valuations unrelated to operations. The company burns cash with negative free cash flow (-$377K), deteriorating liquidity (0.59x current ratio), and persistent net losses despite minimal revenue generation, suggesting fundamental business model failure.
Why Buy GAIA? Key Strengths
- Moderate leverage with debt/equity of 0.06x provides some financial flexibility
- Positive operating cash flow of $5.7M suggests some cash generation despite losses
- Stockholders equity of $87.9M provides balance sheet cushion
GAIA Investment Risks to Consider
- Revenue collapsed 95.5% YoY indicating severe business deterioration or asset sales
- Negative free cash flow and poor liquidity (0.59x current ratio, 0.15x quick ratio) create solvency concerns
- Gross margin of 1914.6% is economically implausible and suggests non-operating/asset-related gains masking operational failure
- Persistent operating losses (-$113.4% margin) and negative net income demonstrate inability to generate profits from core operations
- Negative ROE (-5.1%) and ROA (-2.9%) indicate value destruction for shareholders and inefficient asset utilization
Key Metrics to Watch
- Revenue stabilization and return to positive YoY growth
- Operating margin improvement and path to profitability
- Free cash flow trajectory and working capital management
- Gross margin normalization to verify operational vs. one-time items
- Current ratio improvement above 1.0x for adequate liquidity
GAIA Financial Metrics
💡 AI Analyst Insight
The current ratio below 1.0x warrants monitoring of short-term liquidity.
GAIA Profitability Ratios
GAIA vs Default Sector
How GAIA, INC compares to Default sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is GAIA Overvalued or Undervalued?
Based on fundamental analysis, GAIA, INC has mixed fundamental signals relative to the Default sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
GAIA Balance Sheet & Liquidity
GAIA 5-Year Financial Trend & Growth Analysis
5-Year Trend Summary: GAIA, INC's revenue has grown significantly by 24% over the 5-year period, indicating strong business expansion. The most recent EPS of $-0.22 indicates the company is currently unprofitable.
GAIA Growth Metrics (YoY)
GAIA Quarterly Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q3 2025 | $22.0M | -$1.2M | $-0.05 |
| Q2 2025 | $21.9M | -$971.0K | $-0.07 |
| Q1 2025 | $21.3M | -$971.0K | $-0.04 |
| Q3 2024 | $20.2M | -$713.0K | $-0.04 |
| Q2 2024 | $19.8M | -$971.0K | $-0.09 |
| Q1 2024 | $19.6M | -$971.0K | $-0.05 |
| Q3 2023 | $19.9M | -$588.0K | $-0.03 |
| Q2 2023 | $19.8M | $116.0K | $0.01 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
GAIA Capital Allocation
GAIA SEC 10-K & 10-Q Filing Analysis
Access official SEC EDGAR filings for GAIA, INC (CIK: 0001089872)
📋 Recent SEC Filings
❓ Frequently Asked Questions about GAIA
What is the AI rating for GAIA?
GAIA, INC (GAIA) has an AI rating of STRONG SELL with 92% confidence, based on fundamental analysis of SEC EDGAR filings.
What are GAIA's key strengths?
Claude: Moderate leverage with debt/equity of 0.06x provides some financial flexibility. Positive operating cash flow of $5.7M suggests some cash generation despite losses.
What are the risks of investing in GAIA?
Claude: Revenue collapsed 95.5% YoY indicating severe business deterioration or asset sales. Negative free cash flow and poor liquidity (0.59x current ratio, 0.15x quick ratio) create solvency concerns.
What is GAIA's revenue and growth?
GAIA, INC reported revenue of $4.5M.
Does GAIA pay dividends?
GAIA, INC pays dividends, with $0.2M distributed to shareholders in the trailing twelve months.
Where can I find GAIA SEC filings?
Official SEC filings for GAIA, INC (CIK: 0001089872) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is GAIA's EPS?
GAIA, INC has a diluted EPS of $-0.18.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined rating reflects both perspectives for balanced insights.
Is GAIA a good stock to buy right now?
Based on our AI fundamental analysis in March 2026, GAIA, INC has a STRONG SELL rating with 92% confidence. Review the strengths and risks sections above before making a decision. This is not investment advice.
Is GAIA stock overvalued or undervalued?
Valuation metrics for GAIA: ROE of -5.1% (sector avg: 15%), net margin of -99.9% (sector avg: 12%). Compare these metrics with sector averages to assess valuation.
Should I buy GAIA stock in 2026?
Our dual AI analysis gives GAIA, INC a combined STRONG SELL rating for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is GAIA's free cash flow?
GAIA, INC's operating cash flow is $5.7M, with capital expenditures of $6.1M. FCF margin is -8.4%.
How does GAIA compare to other Default stocks?
Vs Default sector averages: Net margin -99.9% (avg: 12%), ROE -5.1% (avg: 15%), current ratio 0.59 (avg: 1.8).