One-glance verdict
Undervalued
$16.46 our estimate vs market $1.57
Wall Street consensus: $1.62 (-90.2% lower than our fair-value estimate)
90% below our estimate, below the bear case
Fundamentals snapshot
Brilliant Earth Group, Inc.
BRLT · NGM · Consumer Cyclical · Luxury Goods
Current price
$1.57
52-week range
$1.00 - $2.90
Market cap
$159.90M
Balance sheet
Healthy
-2.36x Concerning
Net cash $33.03M. Interest coverage shows how many times profit covers the interest bill.
What stands out
2 Rewards
2 Risks
2 rewards · 2 risks
- Reward Revenue grew 2.7% last year.
- Reward Free cash flow was positive in 6/10 years.
- Risk Return on equity was -10.9% last year — the company lost money on shareholders' equity.
- Risk Operating margin compressed from 5.3% to 0.4% over 3 years.
What this company does
Brilliant Earth Group, Inc.
Brilliant Earth Group, Inc. sells beautiful jewelry like engagement and wedding rings made with diamonds and gemstones. They make most of their money by selling directly to customers online and in their stores, which helps them control the whole process from getting the gems to your purchase. This direct approach is important because it can lead to better profit margins (the percent of each sales dollar left after the costs of making and selling the jewelry).
How the company got here
Brilliant Earth was founded in 2005 by Beth Gerstein and Eric Grossberg, who were inspired by a personal quest to find ethically sourced engagement rings. They saw an opportunity to create a more transparent and responsible jewelry industry. The company launched its e-commerce website in 2006 and has since expanded to include showrooms across the United States. Brilliant Earth went public in September 2021, aiming to bring its mission of ethical sourcing and transparency to a wider audience.
What it actually does
Brilliant Earth designs, sources, and sells fine jewelry, with a particular focus on diamonds and gemstones. They offer a range of products including engagement rings, wedding bands, anniversary rings, gemstone rings, and other fine jewelry like earrings and necklaces. The company emphasizes ethical sourcing and transparency in its supply chain, using methods like blockchain to track the origin of its diamonds. Customers can shop through their online platform or visit one of their physical showrooms for a more personalized experience.
Jewelry and Engagement Rings
This is the core of Brilliant Earth's business. They offer a wide selection of diamond engagement rings, wedding bands, and anniversary rings, which are their largest source of revenue. Beyond rings, they also sell gemstone rings and other fine jewelry pieces such as necklaces and earrings. A key differentiator for Brilliant Earth is their commitment to ethical sourcing, meaning they strive to ensure the diamonds and gemstones they use are obtained responsibly, without contributing to conflict or human rights abuses. They also offer both natural and lab-grown diamonds, as well as recycled metals, catering to a growing consumer demand for sustainable options.
Price history
How the share price has moved
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Earnings history
Last 8 quarters — what happened
Click any quarter to read the call summary and what the numbers say.
FY2024 Q3
$674.00K
FY2024 Q4
$11.91M
FY2025 Q1
$-7.85M
FY2025 Q2
$7.92M
FY2025 Q3
$-3.00K
FY2025 Q4
$5.69M
FY2026 Q1
$-19.35M
FY2026 Q2
$16.54M
Revenue
$115.11M
Net income
$20.00K
Diluted EPS
0.01
Operating cash flow
$17.43M
Free cash flow
$16.54M
Fetching…
Sources
Revenue
$99.50M
Net income
$-1.51M
Diluted EPS
-0.10
Operating cash flow
$-18.79M
Free cash flow
$-19.35M
Fetching…
Sources
Revenue
$124.41M
Net income
$-2.90M
Diluted EPS
-0.20
Operating cash flow
$7.17M
Free cash flow
$5.69M
Fetching…
Sources
Revenue
$110.25M
Net income
$-107.00K
Diluted EPS
-0.01
Operating cash flow
$608.00K
Free cash flow
$-3.00K
Fetching…
Sources
Revenue
$108.94M
Net income
$-166.00K
Diluted EPS
-0.01
Operating cash flow
$9.07M
Free cash flow
$7.92M
Fetching…
Sources
Revenue
$93.88M
Net income
$-466.00K
Diluted EPS
-0.03
Operating cash flow
$-7.13M
Free cash flow
$-7.85M
Fetching…
Sources
Revenue
$119.53M
Net income
$358.00K
Diluted EPS
0.02
Operating cash flow
$14.09M
Free cash flow
$11.91M
Fetching…
Sources
Revenue
$99.87M
Net income
$-141.00K
Diluted EPS
-0.01
Operating cash flow
$1.99M
Free cash flow
$674.00K
Fetching…
Sources
Is it cheap or expensive?
Fair value $16.46 vs current price $1.57
Wall Street consensus is the average analyst price target: $1.62 (-90.2% lower than our fair-value estimate).
Our most-likely fair value is $16.46 a share — about 948.3% above today's price of $1.57, so the stock currently looks cheap (undervalued).
Is it drowning in debt?
Healthy
Net cash $33.0M - more cash than debt. Interest coverage -2.4x.
Net debt
$-33.03M
Interest coverage
-2.36x
Brilliant Earth Group, Inc.'s profit covers its interest bill about 0.0 times over. which is weaker than most peers shown here.
Healthy
Worse cushion
Baseline
Better cushion
BRLT
BASELINE
Brilliant Earth Group, Inc.
Total debt $41.92M Interest coverage -2.36x This is the baseline the peer rows are being compared against.
Total debt $1.22B Interest coverage 38.17x This peer still has a real interest-payment cushion, while BRLT does not.
Total debt $68.11M Interest coverage 58.83x This peer still has a real interest-payment cushion, while BRLT does not.
Total debt $3.96B Interest coverage 34.68x This peer still has a real interest-payment cushion, while BRLT does not.
Total debt $341.94M Interest coverage 1.14x This peer still has a real interest-payment cushion, while BRLT does not.
What you should know
The case for and against BRLT
2 Rewards
2 Risks
Rewards
-
Revenue grew 2.7% last year.
-
Free cash flow was positive in 6/10 years.
Risks
-
Return on equity was -10.9% last year — the company lost money on shareholders' equity.
-
Operating margin compressed from 5.3% to 0.4% over 3 years.
The numbers
All the key metrics, grouped by purpose
Tap any ? icon to learn what it means.
Valuation
How expensive the stock looks
P/E (TTM)
—
Forward P/E
15.39x
P/B
2.18x
P/S
0.36x
EV/EBITDA
-19.47x
PEG ratio
—
Profitability
How much profit each dollar creates
Gross margin
56.5%
Operating margin
0.4%
Net margin
-1.0%
ROE
-10.9%
ROA
-2.5%
Health
Liquidity and balance-sheet strength
Debt / equity
0.57x
Current ratio
1.58x
Quick ratio
0.85x
Total debt
$41.92M
Total cash
$74.95M
Growth
How the business has been compounding
Revenue TTM
$449.28M
Revenue 5Y CAGR
3.6%
EPS TTM
-0.30
EPS 5Y CAGR
—
Cash flow
How much cash the business throws off
Operating CF TTM
$6.42M
Free CF TTM
$5.75M
FCF margin
1.3%
Dividend
Shareholder payout
Yield
0.0%
Payout ratio
0.0%
Last ex-div date
2025-08-22