📊 GAIA Key Takeaways
Is Gaia, Inc. (GAIA) a Good Investment?
GAIA faces a fundamental business crisis with a devastating 95.5% revenue collapse YoY, resulting in operating and net losses despite maintaining an impressive 86% gross margin. While the company's fortress balance sheet (0.06x debt-to-equity, $87M equity) and $13.1M cash provide near-term runway, deteriorating liquidity metrics (0.56x current ratio, negative free cash flow) and lack of visible profitability recovery create substantial downside risk.
GAIA’s fundamentals look weak: revenue collapsed 95.5% year over year, operating losses remain significant, and net margins are deeply negative. While the balance sheet carries low leverage and operating cash flow stayed positive, the very weak liquidity profile and unusual gross profit figure suggest both near-term financial pressure and potential reporting distortion that reduces confidence in the growth story.
Why Buy Gaia, Inc. Stock? GAIA Key Strengths
- Conservative capital structure with minimal debt burden (D/E 0.06x) providing financial flexibility
- Strong gross margin of 86% indicates retained pricing power and operational efficiency on remaining revenue
- Positive operating cash flow of $1.5M demonstrates core business still generating cash despite losses
- Low leverage with debt/equity of 0.06x limits balance-sheet risk
- Positive operating cash flow of $5.67M shows the business still generates cash from operations
- Asset base and equity remain meaningful relative to liabilities, providing some balance-sheet support
GAIA Stock Risks: Gaia, Inc. Investment Risks
- Catastrophic 95.5% YoY revenue decline indicates structural demand destruction or terminal business model failure
- Critical liquidity deterioration with current ratio of 0.56x and quick ratio of 0.13x signals inability to cover short-term obligations
- Persistent operating losses (-$1.4M), negative free cash flow (-$131K), and negative returns (ROE -1.4%, ROA -0.8%) with no visible turnaround timeline threaten equity value
- Revenue declined 95.5% year over year, indicating severe deterioration in core business demand or reporting mix
- Liquidity is weak with a 0.59x current ratio and 0.15x quick ratio, raising near-term funding pressure
- Profitability remains poor with negative operating income, negative net income, and anomalous gross margin data that may signal low earnings quality
Key Metrics to Watch
- Revenue stabilization and sequential recovery from 95.5% decline baseline
- Achievement of operating cash flow margin expansion and positive free cash flow generation
- Cash burn rate and estimated runway given $13.1M cash balance
- Revenue stabilization and subscriber/member monetization trend
- Current ratio, cash balance, and free cash flow sustainability
Gaia, Inc. (GAIA) Financial Metrics & Key Ratios
💡 AI Analyst Insight
The current ratio below 1.0x warrants monitoring of short-term liquidity.
GAIA Profit Margin, ROE & Profitability Analysis
GAIA vs Services Sector: How Gaia, Inc. Compares
How Gaia, Inc. compares to Services sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Gaia, Inc. Stock Overvalued? GAIA Valuation Analysis 2026
Based on fundamental analysis, Gaia, Inc. has mixed fundamental signals relative to the Services 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, Inc. Balance Sheet: GAIA Debt, Cash & Liquidity
GAIA Revenue & Earnings Growth: 5-Year Financial Trend
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 Revenue Growth, EPS Growth & YoY Performance
GAIA Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q1 2026 | $23.8M | -$1.0M | $-0.04 |
| 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 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Gaia, Inc. Dividends, Buybacks & Capital Allocation
GAIA SEC Filings: Latest 10-K & 10-Q 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 a Combined AI Rating of SELL from Claude (SELL) and ChatGPT (SELL) with 82% combined confidence, based on fundamental analysis of SEC EDGAR filings.
What are GAIA's key strengths?
Claude: Conservative capital structure with minimal debt burden (D/E 0.06x) providing financial flexibility. Strong gross margin of 86% indicates retained pricing power and operational efficiency on remaining revenue. ChatGPT: Low leverage with debt/equity of 0.06x limits balance-sheet risk. Positive operating cash flow of $5.67M shows the business still generates cash from operations.
What are the risks of investing in GAIA?
Claude: Catastrophic 95.5% YoY revenue decline indicates structural demand destruction or terminal business model failure. Critical liquidity deterioration with current ratio of 0.56x and quick ratio of 0.13x signals inability to cover short-term obligations. ChatGPT: Revenue declined 95.5% year over year, indicating severe deterioration in core business demand or reporting mix. Liquidity is weak with a 0.59x current ratio and 0.15x quick ratio, raising near-term funding pressure.
What is GAIA's revenue and growth?
Gaia, Inc. reported revenue of $24.3M.
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 $-0.05.
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 May 2026, Gaia, Inc. has a SELL rating with 82% 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 -1.4% (sector avg: 16%), net margin of -5.2% (sector avg: 10%). 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 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 $1.5M, with capital expenditures of $1.6M. FCF margin is -0.5%.
How does GAIA compare to other Services stocks?
Vs Services sector averages: Net margin -5.2% (avg: 10%), ROE -1.4% (avg: 16%), current ratio 0.56 (avg: 1.5).