(RSKD) Riskified - Ratings and Ratios

Riskified Ltd. (NYSE:RSKD) operates a sophisticated e-commerce risk management platform designed to foster trust between online merchants and consumers across the globe, including the United States, Europe, the Middle East, Africa, the Asia-Pacific, and the Americas. The platform offers a suite of solutions tailored to mitigate various risks associated with online transactions. Chargeback Guarantee ensures the authenticity of merchants online orders by assuming liability for fraudulent chargebacks, thereby enhancing merchant confidence. Dispute Resolve leverages AI to efficiently compile and submit evidence for both fraudulent and non-fraudulent chargeback disputes, streamlining the resolution process. Policy Protect employs machine learning to detect and prevent abuse of refund and return policies in real-time, adapting to evolving fraud patterns. Account Secure enhances account security by cross-checking each login attempt using behavioral biometrics and device fingerprinting. PSD2 Optimize assists merchants in navigating PSD2 regulations, reducing authorization failures and cart abandonments, thus improving conversion rates.

Riskified serves a diverse range of clients, including direct-to-consumer brands, online-only and omnichannel retailers, online marketplaces, and e-commerce service providers. These clients span various industries such as payments, money transfer, tickets and travel, electronics, home goods, and fashion and luxury items. For instance, fashion retailers might utilize Policy Protect to curb return abuse, while travel companies could benefit from PSD2 Optimize to minimize authorization issues. Incorporated in 2012 and headquartered in New York, Riskified has established itself as a key player in e-commerce risk management, supported by its robust platform and strategic partnerships.

From a technical standpoint, RSKD is trading at $4.64, slightly below its 50-day SMA of $4.65 but above the 20-day SMA of $4.51. This indicates a neutral short-term trend. The ATR of $0.19 suggests manageable volatility. Fundamentally, with a market cap of $762.86M, the stock has a P/S ratio of 2.33, reflecting moderate revenue generation. The P/B ratio of 1.60 indicates the market values the companys assets higher than their book value, likely due to intangible assets. However, the negative RoE of -8.33 raises concerns about profitability. Overall, RSKD presents a balanced risk-reward profile, with potential for growth tempered by profitability challenges.