Core Viewpoint - Tether's $775 million investment in Rumble significantly enhances the company's financial position and growth prospects, despite ongoing concerns regarding its valuation and revenue performance [3][4][15]. Financial Impact - The investment will generate gross proceeds of $775 million, strengthening Rumble's financial position, which already has more cash than debt [7]. - Rumble's revenue for Q3 2024 reached $25.06 million, marking a 39.34% year-over-year increase, while total revenue over the past 12 months climbed to $85.65 million, up 6.36% compared to the prior year [3][14]. - The stock price surged over 100% on December 23, reaching $14.30, and has seen a year-to-date increase of 206% [11][16]. User Metrics - Rumble's global monthly active users (MAUs) increased to an average of 67 million in Q3 2024, up from 53 million in Q2 2024 [9]. - The average revenue per user (ARPU) decreased to $0.33 in Q3 from $0.37 in the previous quarter, indicating potential for improved monetization [9]. Analyst Perspectives - Analysts have revised their outlook on Rumble, with Wedbush raising the price target from $8 to $10 while maintaining a neutral stance [10]. - Oppenheimer's analyst noted that while the investment alleviates liquidity concerns, Rumble's valuation appears ahead of its current advertising and subscription revenue performance [15]. Strategic Plans - Rumble plans to allocate $250 million of the investment to growth initiatives aimed at enhancing platform engagement and monetization, while $525 million will finance a self-tender offer to repurchase up to 70 million shares of Class A Common Stock at $7.50 per share [16].

Core Viewpoint - Rumble Inc. has experienced a significant stock price surge of 81% following Tether's announcement of a $775 million investment, which includes a self-tender offer and funds for growth initiatives [1][2]. Financial Performance - Rumble's revenue has increased nine-fold from $9.5 million in 2021 to $86 million in the last twelve months [3]. - The company reported an operating loss of $143 million on sales of $86 million for the last twelve months, indicating ongoing financial challenges [3]. - Rumble's SG&A expenses are high at 65% of revenue, which further impacts profitability [3]. User Engagement and Growth Potential - Monthly active users (MAUs) peaked at 80 million by the end of 2022 but fell to 44 million in Q2'23 before rising to 67 million currently [3]. - The average revenue per user (ARPU) stands at $0.33, highlighting the need for improvement in user engagement and monetization strategies [3][2]. - The proposed $250 million investment in growth initiatives aims to enhance user acquisition and improve ARPU, potentially reducing losses [2]. Competitive Landscape - Rumble faces intense competition from other video-sharing platforms such as BitChute, Odysee, and YouTube, making it challenging to retain users and attract high-profile content creators [5]. Stock Valuation - Following the recent stock price increase, Rumble's stock is trading at 31 times trailing revenues, which is considered high [6]. - The average revenue growth rate is estimated to be in the high teens over the next few years, with forward sales trading at 23 times expected 2025 revenues of around $113 million [6].

U.S. stocks traded mixed toward the end of trading, with the S&P 500 gaining around 0.5% on Monday.The Dow traded down 0.06% to 42,815.78 while the NASDAQ climbed 0.90% to 19,748.00. The S&P 500 also rose, gaining, 0.54% to 5,962.84.Check This Out: Jim Cramer Likes Walmart, Recommends Buying This ‘Very, Very Good’ Financial StockLeading and Lagging SectorsCommunication services shares jumped by 0.9% on Monday.In trading on Friday, consumer staples shares fell by 1.2%.Top HeadlineU.S. building permits gained ...

After the market closed on Friday, technology company Rumble (RUM 86.80%) announced that Tether (CRYPTO: USDT) will invest $775 million. Considering Rumble was valued at around $2 billion when the investment was announced, the investment is massive. And that's why Rumble stock was up a stunning 66% as of 10:15 a.m. ET.Rumble is losing money and appreciates Tether's helpHow Tether has that much money lying around is another subject for another day. But when it comes to Rumble, investors are responding favora ...

Transaction Unifies Two Leaders in Decentralization, Rumble CEO Retains Controlling Stake Strategic Investment Results in Mission-Aligned Investor and Supporter Rumble Will Use $250 Million of Proceeds to Further Solidify Balance Sheet and Accelerate Growth Initiatives Remaining Proceeds Will Be Used to Fund Self Tender Offer for up to 70 Million of Rumble’s Class A Common Stock to Provide Liquidity to Stockholders at Same Price as Tether Investment LONGBOAT KEY, Fla., Dec. 20, 2024 (GLOBE NEWSWIRE) -- Rumb ...

Rumble stock is seeing big sell-offs in the face of macroeconomic risk factors, and the business's fundamentals look shaky.Rumble (RUM -2.49%) stock is sinking in this week's trading. The company's share price was down 12.5% from last week's market close of as of 1 p.m. ET Thursday, according to data from S&P Global Market Intelligence.Rumble stock is losing ground this week following recent interest rate news from the Federal Reserve. While the Fed announced the 25-basis-point interest rate cut that invest ...

The rise of Rumble (RUM 1.59%) stock has sparked investor interest in recent months. Share of the online video platform are up by almost 75% over the last year as the site grows more popular and carves a niche among small content creators and free speech advocates.Nonetheless, Rumble's 67 million monthly active viewers amount to a small fraction of the viewership of Alphabet's YouTube, which attracts more than 2.5 billion monthly active users, according to estimates. It also lacks the level of financial bac ...

LONGBOAT KEY, FL and NEW YORK, NY, Dec. 02, 2024 (GLOBE NEWSWIRE) -- Rumble (NASDAQ: RUM), the high-growth video platform and cloud services provider, today announced that the much-anticipated fourth season of “Surviving Barstool” will move to Rumble, unedited and uncensored, beginning Monday, December 2, 2024. Rumble users and Barstool fans can subscribe to the Barstool Sports Rumble channel here and tune in to watch this season here. YouTube will only carry the censored version of Surviving Barstool. “Sur ...

LONGBOAT KEY, FL and NEW YORK, NY, Dec. 02, 2024 (GLOBE NEWSWIRE) -- Rumble (NASDAQ: RUM), the high-growth video platform and cloud services provider, today announced that the much-anticipated fourth season of “Surviving Barstool” will move to Rumble, unedited and uncensored, beginning Monday, December 2, 2024. Rumble users and Barstool fans can subscribe to the Barstool Sports Rumble channel here and tune in to watch this season here. YouTube will only carry the censored version of Surviving Barstool. “Sur ...

LONGBOAT KEY, Fla., Nov. 27, 2024 (GLOBE NEWSWIRE) -- Rumble (NASDAQ:RUM), the video-sharing platform and cloud services provider, today sued the California Attorney General and Secretary of State over a recently passed law that unconstitutionally punishes certain political speech. Rumble is represented by Alliance Defending Freedom (ADF), a non-profit law firm that defends the right to speak freely and which also represents the satirical website “The Babylon Bee” in a related lawsuit. The suit was filed in ...