Why Rumble Stock Skyrocketed 189.8% in 2024 but Is Sinking in 2025

Group 1 - Rumble stock experienced significant gains in 2024, with a share price increase of 189.8% according to S&P Global Market Intelligence [1] - The stock's rise was attributed to new content deals, political support, and a foray into the cryptocurrency market [2] - A partnership with Barstool Sports contributed to early gains by bringing content and advertising opportunities to Rumble's platform [3] Group 2 - The stock saw upward momentum following Donald Trump's presidential election victory, as the platform's content aligns with right-leaning political views [4] - Rumble announced a cryptocurrency strategy on November 25, planning to purchase up to $20 million in Bitcoin, which positively impacted the stock price [5] - On December 20, Rumble secured$775 million in investment from Tether, selling new stock at $7.50 per share, with plans to use$250 million for growth and $525 million for stock buybacks [6] Group 3 - In early 2025, Rumble stock faced a significant pullback, with a year-to-date decline of 15.8% [8] - The decline is linked to rising macroeconomic risks, including concerns over inflation and the Federal Reserve's potential approach to interest rates, which could negatively affect growth stocks [9] - Rumble's current valuation is approximately 27.4 times expected sales, indicating a high dependency on growth, with potential for further share price contraction amid macroeconomic pressures [10]