Press Alt+1 for screen-reader mode, Alt+0 to cancelAccessibility Screen-Reader Guide, Feedback, and Issue Reporting | New window
timothy sykes logo

Stock News

Rumble’s Stock Surges on Strategic AI Partnership with Perplexity

Ellis HobbsAvatar
Written by Ellis Hobbs Reviewed by Jack Kellogg Fact-checked by Tim Sykes
Updated 10/4/2025, 12:12 pm ET | 6 min
Rumble’s Stock Surges on Strategic AI Partnership with Perplexity Thumbnail

In this article Last trade Oct, 03 7:43 PM

  • RUM+14.61%
    RUM - NYSERumble Inc.
    $8.47+1.08 (+14.61%)
    Volume:  21.83M
    Float:  106.06M
    $8.05Day Low/High$8.95

Rumble Inc. stocks have been trading up by 14.53 percent, driven by investor optimism following key strategic announcements.

Media industry expert:

Analyst sentiment – positive

  1. Market Position & Fundamentals: Rumble (RUM) currently finds itself in a precarious financial position. With a negative EBIT margin of -290.7% and gross margin of -53.1%, the company is clearly struggling to manage its expenses relative to its revenue intake of just under $95.5 million. The high price-to-sales ratio of 30.86 and a debt-to-equity ratio of 0.01 suggest an overvalued stock relative to its lack of earnings. Despite a strong balance sheet with a current ratio of 7.7, Rumble’s return on assets and equity remain deeply negative, at -35.9% and -58.32%, respectively, reflecting inefficiencies in capital utilization. Overall, Rumble’s fundamentals indicate a challenging outlook without substantial improvement in profitability and cash flow generation.

  2. Technical Analysis & Trading Strategy: Analyzing Rumble’s recent weekly price patterns, the stock experienced notable upward price momentum from October 1 to October 3, with the closing price moving from $7.29 to $8.4638, showing increased volatility and a break above $8. From a technical stance, the stock demonstrates a bullish trend supported by consistent higher lows and volume spikes coinciding with price movement, particularly on October 2. The breakout above the $8.30 resistance level suggests potential further upside. A tactical trading approach would involve monitoring support near $8 and resistance at $8.60, with a stop-loss below recent lows around $7.20 to protect against a reversal.

  3. Catalysts & Outlook: The strategic partnership with Perplexity to bolster Rumble’s AI capabilities appears to have catalyzed positive sentiment, as evidenced by a significant stock price surge following the announcement, peaking at over 12%. This move positions Rumble well within the aggressively competitive space of AI-enhanced content. The implementation of AI tools for improved search functionality and new joint product offerings could fundamentally enhance Rumble’s platform scalability, attract more user engagement, and drive subscription growth. Comparing Rumble to its industry peers, however, it must translate these strategic initiatives into tangible financial results to close the fundamental gap with benchmarks. Should Rumble effectively execute on this strategic pivot, we anticipate a potential price target overcoming immediate resistance at $9, with the company’s innovative drive as a leverage point for growth. Overall, the outlook has cautiously shifted from skeptical to cautiously optimistic.

Candlestick Chart

Weekly Update Sep 29 – Oct 03, 2025: On Saturday, October 04, 2025 Rumble Inc. stock [NASDAQ: RUM] is trending up by 14.53%! Discover the key drivers behind this movement as well as our expert analysis in the detailed breakdown below.

Quick Financial Overview

Rumble’s recent stock surge is notable in the context of its recent financial position and performance. The company has shown resilience, with its stock closing at $8.4638 after opening the week at $8.15. This marks a significant rise in share price, spotlighting investor confidence inflamed by positive strategic movements. Despite a challenging fiscal backdrop with various negative profitability ratios such as an EBIT margin of -290.7%, Rumble has leveraged its assets effectively, marked by a higher current ratio of 7.7, indicating a comfortable liquidity stance.

In the context of recent earnings, Rumble has incurred substantial operating and net losses, underlined by a negative EBITDA of $25.84M. This financial landscape reflects the high-cost foundation relating to R&D and increased marketing expenditures aimed at expansion and innovation. Moreover, the company’s cash flow statement portrays a significant outflow during its operational activities, with losses primarily driven by changes in working capital and substantial investments in technological upgrades such as this AI partnership.

More Breaking News

Rumble’s association with Perplexity propels its competitive edge in content discoverability, fostering a favorable market image despite its presently high price-to-sales ratio of 30.86, which may indicate overvaluation under normal circumstances. However, strategic partnerships like these may justify such valuations when future growth and profitability are prioritized, setting up the company for a potentially fruitful path forward.

Conclusion

The recent uptick in Rumble’s share price reaffirms its strategic decision-making in forming partnerships that align with broader digital market transitions toward AI-dependent discoverability mechanisms. This not only promises enhanced user engagements but also augments long-term shareholder value by upscaling its tech-driven offerings. As millionaire penny stock trader and teacher Tim Sykes says, “It’s not about how much money you make; it’s about how much money you keep.” This quote underscores the importance of Rumble’s prudent financial strategies and tech investments in retaining value over time. With the tech sector’s ever-evolving nature, Rumble’s proactive steps signal robust future growth prospects, warranting trader attention and confidence amidst a fluctuating market environment.

This is stock news, not investment advice. Timothy Sykes News delivers real-time stock market news focused on key catalysts driving short-term price movements. Our content is tailored for active traders and investors seeking to capitalize on rapid price fluctuations, particularly in volatile sectors like penny stocks. Readers come to us for detailed coverage on earnings reports, mergers, FDA approvals, new contracts, and unusual trading volumes that can trigger significant short-term price action. Some users utilize our news to explain sudden stock movements, while others rely on it for diligent research into potential investment opportunities.

Dive deeper into the world of trading with Timothy Sykes, renowned for his expertise in penny stocks. Explore his top picks and discover the strategies that have propelled him to success with these articles:

Once you’ve got some stocks on watch, elevate your trading game with StocksToTrade the ultimate platform for traders. With specialized tools for swing and day trading, StocksToTrade will guide you through the market’s twists and turns.
Dig into StocksToTrade’s watchlists here:

How much has this post helped you?

(0 votes, average: 0 out of 5)
Leave a reply
Author card Timothy Sykes picture

Ellis Hobbs

Trainer and Mentor on Tim Sykes’ Trading Challenge
He teaches webinars on Tim Sykes’ Trading Challenge He treats trading like a business, not a hobby He emphasizes taking small risks — “If you get the process right, money is a forgone conclusion.”
Read More

In this article (YTD Performance)

  • RUM-34.2%
    RUM - NYSERumble Inc.
    $8.47+1.08 (+14.61%)
    Volume:  21.83M
    Float:  106.06M
    $8.05Day Low/High$8.95

* Results are not typical and will vary from person to person. Making money trading stocks takes time, dedication, and hard work. There are inherent risks involved with investing in the stock market, including the loss of your investment. Past performance in the market is not indicative of future results. Any investment is at your own risk. See Terms of Service here

The available research on day trading suggests that most active traders lose money. Fees and overtrading are major contributors to these losses.

A 2000 study called “Trading is Hazardous to Your Wealth: The Common Stock Investment Performance of Individual Investors” evaluated 66,465 U.S. households that held stocks from 1991 to 1996. The households that traded most averaged an 11.4% annual return during a period where the overall market gained 17.9%. These lower returns were attributed to overconfidence.

A 2014 paper (revised 2019) titled “Learning Fast or Slow?” analyzed the complete transaction history of the Taiwan Stock Exchange between 1992 and 2006. It looked at the ongoing performance of day traders in this sample, and found that 97% of day traders can expect to lose money from trading, and more than 90% of all day trading volume can be traced to investors who predictably lose money. Additionally, it tied the behavior of gamblers and drivers who get more speeding tickets to overtrading, and cited studies showing that legalized gambling has an inverse effect on trading volume.

A 2019 research study (revised 2020) called “Day Trading for a Living?” observed 19,646 Brazilian futures contract traders who started day trading from 2013 to 2015, and recorded two years of their trading activity. The study authors found that 97% of traders with more than 300 days actively trading lost money, and only 1.1% earned more than the Brazilian minimum wage ($16 USD per day). They hypothesized that the greater returns shown in previous studies did not differentiate between frequent day traders and those who traded rarely, and that more frequent trading activity decreases the chance of profitability.

These studies show the wide variance of the available data on day trading profitability. One thing that seems clear from the research is that most day traders lose money .

Millionaire Media 66 W Flagler St. Ste. 900 Miami, FL 33130 United States (888) 878-3621 This is for information purposes only as Millionaire Media LLC nor Timothy Sykes is registered as a securities broker-dealer or an investment adviser. No information herein is intended as securities brokerage, investment, tax, accounting or legal advice, as an offer or solicitation of an offer to sell or buy, or as an endorsement, recommendation or sponsorship of any company, security or fund. Millionaire Media LLC and Timothy Sykes cannot and does not assess, verify or guarantee the adequacy, accuracy or completeness of any information, the suitability or profitability of any particular investment, or the potential value of any investment or informational source. The reader bears responsibility for his/her own investment research and decisions, should seek the advice of a qualified securities professional before making any investment, and investigate and fully understand any and all risks before investing. Millionaire Media LLC and Timothy Sykes in no way warrants the solvency, financial condition, or investment advisability of any of the securities mentioned in communications or websites. In addition, Millionaire Media LLC and Timothy Sykes accepts no liability whatsoever for any direct or consequential loss arising from any use of this information. This information is not intended to be used as the sole basis of any investment decision, nor should it be construed as advice designed to meet the investment needs of any particular investor. Past performance is not necessarily indicative of future returns.

Citations for Disclaimer

Barber, Brad M. and Odean, Terrance, Trading is Hazardous to Your Wealth: The Common Stock Investment Performance of Individual Investors. Available at SSRN: “Day Trading for a Living?”

Barber, Brad M. and Lee, Yi-Tsung and Liu, Yu-Jane and Odean, Terrance and Zhang, Ke, Learning Fast or Slow? (May 28, 2019). Forthcoming: Review of Asset Pricing Studies, Available at SSRN: “https://ssrn.com/abstract=2535636”

Chague, Fernando and De-Losso, Rodrigo and Giovannetti, Bruno, Day Trading for a Living? (June 11, 2020). Available at SSRN: “https://ssrn.com/abstract=3423101”

ts swipe photo
Join Thousands Profiting From Smart Trades!
TRADE LIKE TIM

We use cookies to provide you with the best online experience. If you continue browsing, we consider that you accept our Cookie Policy , and also agree to the terms of our Privacy Policy and Terms of Use.