RUM

Rumble’s results for the second quarter were met with a positive market reaction, driven by the company’s transformative move into AI infrastructure following the acquisition of Northern Data. Management attributed the surge in revenue primarily to the integration of Quake AI, which now operates alongside Rumble’s video platform. CEO Christopher Pavlovski emphasized the shift, stating, “We now operate two distinct, synergistic business units: Rumble, our video platform; and Quake AI, our new cloud and AI infrastructure business.” The company also highlighted increased GPU utilization and a marquee agreement with Together AI as significant contributors to the quarter’s performance. Is now the time to buy RUM? Find out in our full research report (it’s free). Revenue: $40.37 million vs analyst estimates of $30.66 million (60.9% year-on-year growth, 31.7% beat) EPS (GAAP): -$0.28 vs analyst estimates of -$0.10 (significant miss) Adjusted EBITDA: -$16.61 million (-41.2% margin, 18.8% year-on-year growth) Market Capitalization: $2.98 billion While we enjoy listening to the management’s commentary, our favorite part of earnings calls is the analyst questions. Those are unscripted and can often highlight topics that management teams would rather avoid or topics where the answer is complicated. Here is what has caught our attention. Henry Dare (Maxim Group) asked about risks to AI compute pricing if capacity catches up with demand. CEO Christopher Pavlovski responded that demand for AI compute remains structurally high and he doesn’t foresee supply meeting demand in the next one to two years. Henry Dare (Maxim Group) inquired about future M&A strategy post-Northern Data. CFO Michael Masci replied that the current focus is on monetizing existing power capacity but did not rule out pursuing value-adding acquisitions in the future. Jason Helfstein (Oppenheimer) questioned the challenges around sourcing chips and data center infrastructure for new AI compute contracts. CFO Masci explained that contracts are signed only after securing hardware, and recent investments reflect readiness to fulfill obligations. Jason Helfstein (Oppenheimer) asked whether Rumble would consider a “powered shell” model where customers bring their own chips. Masci stated that while this is a viable business model, Rumble’s strategy is to offer AI compute as a service due to its higher monetization potential. Jason Helfstein (Oppenheimer) requested a breakdown of advertising revenue related to Tether. Masci disclosed that $4.8 million in Q2 revenue was attributable to Tether ad commitments. Looking forward, the StockStory team will be watching (1) the pace at which Rumble monetizes its 250 megawatts of targeted data center capacity, (2) the success of separate segment reporting for Rumble Video and Quake AI in providing operational transparency, and (3) management’s ability to translate AI and video data opportunities into sustainable revenue streams. Additional focus will be on execution of new customer agreements and progress at major data center sites. Rumble currently trades at $7.49, up from $6.21 just before the earnings. Is there an opportunity in the stock? See for yourself in our full research report (it’s free for active Edge members). ONE MORE THING: Top 5 Growth Stocks. The biggest stock winners almost always had one thing in common before they ran. Revenue growing like crazy. Meta. CrowdStrike. Broadcom. Our AI flagged all three. They returned 315%, 314%, and 455%, respectively. Find out which 5 stocks it’s flagging this month — FREE. Get Our Top 5 Growth Stocks for Free HERE. Stocks that have made our list include now familiar names such as Nvidia (+1,460% between June 2020 and June 2025) as well as under-the-radar businesses like the once-micro-cap company Tecnoglass (+1,552% between June 2020 and June 2025). Find your next big winner with StockStory today.

Interested in Rumble Inc.? Here are five stocks we like better. Rumble’s Northern Data acquisition reshapes the company around AI infrastructure. Its new Quake AI unit combines Rumble Cloud with approximately 22,000 NVIDIA H100 and H200 GPUs, which were operating at more than 85% utilization. Second-quarter revenue rose 61% to $40.4 million, while adjusted EBITDA loss narrowed to $16.6 million. Net loss widened to $80.3 million, primarily due to $28.3 million in acquisition-related costs and higher depreciation and amortization. RUM Group issued third-quarter revenue guidance of $87 million to $93 million, its first full-quarter forecast including Quake AI. Management expects to report separate results for Rumble Video and Quake AI going forward. Rumble’s $767M Acquisition Marks Bold Pivot Into AI Infrastructure Rumble (NASDAQ:RUM) reported second-quarter revenue of $40.4 million, up 61% from $25.1 million a year earlier, as the company completed its acquisition of Northern Data and reorganized under the new parent-company name RUM Group Inc. Founder, Chairman and CEO Chris Pavlovski said the June 17 closing of the Northern Data transaction, through which RUM Group secured approximately 85.2% of Northern Data’s outstanding shares, marks the company’s entry into cloud and agentic AI infrastructure. The combined company will operate two business units: the Rumble video platform and Quake AI, which combines Rumble Cloud with Northern Data’s GPU fleet. → MarketBeat Week in Review – 08/03 - 08/07 Rumble Stock Gets Ready to Rumble in its Second Quarter Quake AI has roughly 22,000 NVIDIA H100 and H200 GPUs, according to Pavlovski. He said the GPU estate was operating at more than 85% utilization, reflecting improvements in customer support, software and infrastructure-as-a-service execution. Pavlovski described Quake AI as the company’s future financial engine, positioning RUM Group as an end-to-end AI infrastructure provider that combines Rumble’s existing compute, content-delivery network and streaming infrastructure with Northern Data’s AI compute operations. → Quantum Earnings Week: Winners and Losers Are Finally Emerging Is Rumble Revving Up for Growth or Just Sputtering? In June, the company signed a multiyear agreement with Together AI to deploy NVIDIA HGX B300 GPU capacity. Pavlovski said the agreement establishes RUM Group as an independent provider of large-scale AI infrastructure outside the traditional hyperscaler ecosystem. The company is targeting the monetization of 250 megawatts of power capacity in 2027. Its portfolio includes a 180-megawatt powered site near Atlanta, where the substation has been built and transformers are on site, as well as a smaller Pittsburgh location and European sites with roughly 50 megawatts in Sweden and 20 megawatts in Norway. → Take-Two’s Q1 Results Leave GTA 6 Bulls Stuck in the Fog of War Management said monetizing the currently unmonetized 250 megawatts could represent a $3 billion-plus annual revenue run-rate opportunity, though that figure reflects the company’s view of the potential opportunity rather than guidance. During the question-and-answer session, Pavlovski said he expects demand for AI compute to remain ahead of available capacity over the next one to two years, citing growth in inference and agentic AI. CFO Mike Masci said the company is focused on AI compute as a service rather than a “powered shell” approach, in which a company provides a data-center facility and power while customers furnish their own computing equipment. Masci said RUM Group does not intend to enter customer contracts unless it has strong visibility into obtaining the hardware and capacity needed to fulfill them. He noted that the company recorded nearly $47 million in investing activities during the quarter, largely related to IT capital expenditures needed for its AI compute-as-a-service operations. Second-quarter cost of services rose to $30.6 million from $26.5 million a year ago, driven by higher programming and content expenses along with data-center costs from the Northern Data acquisition. General and administrative expense increased to $16.3 million from $11.7 million, including $5 million of payroll and other administrative costs contributed by Northern Data. Research and development expense rose to $6.8 million from $4.8 million, while sales and marketing expense increased to $10.4 million from $7.9 million. Masci attributed the sales and marketing increase to higher marketing and public-relations spending, payroll and other related costs. Adjusted EBITDA loss improved to $16.6 million from a loss of $20.5 million in the prior-year quarter. Net loss was $80.3 million, including $79.1 million attributable to RUM Group Inc., compared with a net loss of $30.2 million a year earlier. The larger net loss primarily reflected $28.3 million in acquisition-related transaction costs associated with the Northern Data closing, along with higher non-cash depreciation and amortization following the acquisition, Masci said. RUM Group ended the quarter with total liquidity of $220.5 million, consisting of $203.3 million in cash and cash equivalents and 293.14 Bitcoin valued at about $17.2 million. For the third quarter, RUM Group expects revenue between $87 million and $93 million. The forecast will be the company’s first full quarter reflecting Quake AI following the Northern Data transaction. Masci said the company plans to begin reporting results through two operating segments, Rumble Video and Quake AI, starting with its third-quarter report. Each segment will have separate revenue and profitability metrics. The company will no longer present monthly active users and average revenue per user as headline corporate metrics, Masci said, because they describe only the video audience business and no longer represent the full company. Rumble’s average global monthly active users totaled 57 million in the second quarter. Average revenue per user was $0.48, up 20% sequentially. Pavlovski said management remains focused on increasing video revenue through brand advertising. Masci said $4.8 million of second-quarter revenue was related to Tether. Pavlovski also said some Quake AI customers have expressed interest in Rumble’s video data. He said the company is evaluating ways to monetize that data and potentially create another revenue source for its creator community as AI development moves toward robotics and agentic systems. Rumble Inc operates a video-sharing platform designed to offer creators and audiences an alternative to traditional social media and streaming services. The company's primary business activities include hosting, distributing and monetizing user–generated and professional video content. Through its platform, Rumble enables content creators to retain a higher share of advertising revenue and maintain greater control over their intellectual property, while offering viewers open access to a wide range of videos spanning news, sports, entertainment and educational programming. In addition to its core video platform, Rumble provides cloud–based video hosting and delivery services via Rumble Cloud, a content–delivery network (CDN) designed to support high–volume streaming and storage. This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected]. The article "Rumble Q2 Earnings Call Highlights" was originally published by MarketBeat. View MarketBeat's top stocks for August 2026.

This article first appeared on GuruFocus. Revenue: $40.4 million, up 61% from $25.1 million in Q2 2025. Cost of Services: $30.6 million, up from $26.5 million a year ago. General and Administrative Expenses: $16.3 million, up from $11.7 million. Research and Development Expenses: $6.8 million, up from $4.8 million. Sales and Marketing Expenses: $10.4 million, up from $7.9 million. Adjusted EBITDA Loss: $16.6 million, an improvement from a loss of $20.5 million in Q2 2025. Net Loss: $80.3 million, or $79.1 million attributable to RUM Group, compared to a net loss of $30.2 million in Q2 2025. Total Liquidity: $220.5 million, consisting of $203.3 million in cash and cash equivalents and 293.14 Bitcoin valued at roughly $17.2 million. Average Global Monthly Active Users (MAU): 57 million in Q2. ARPU: $0.48, up 20% quarter-over-quarter. GPU Utilization: Quake AI's existing GPU estate running at more than 85% utilization. Q3 2026 Revenue Guidance: Expected between $87 million and $93 million. Warning! GuruFocus has detected 4 Warning Signs with RUM. Is RUM fairly valued? Test your thesis with our free DCF calculator. Release Date: August 10, 2026 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Revenue surged 61% year-over-year to $40.4 million, marking an all-time record for the company. Closed the acquisition of Northern Data, securing ~85.2% of shares and establishing Quake AI as a new AI infrastructure business with ~22,000 NVIDIA H100/H200 GPUs. Quake AI's GPU estate is running at over 85% utilization, reflecting strong execution and customer demand. Signed a multiyear agreement with Together AI to deploy NVIDIA HGX B300 GPU capacity, validating RUM Group as a credible independent AI infrastructure provider. Issued first formal revenue guidance for Q3 2026, expecting $87-$93 million, providing improved visibility for investors. Identified a $3 billion-plus annual revenue opportunity from monetizing 250 megawatts of unmonetized power capacity targeted for 2027. Rumble's video data is gaining interest from AI clients, positioning the company to capitalize on the growing demand for spatial temporal data in the robotics era. Net loss widened significantly to $80.3 million from $30.2 million in the prior year, driven by $28.3 million in acquisition-related transaction costs and higher depreciation. Cost of services increased to $30.6 million, up from $26.5 million, due to higher programming, content, and data center expenses. General and administrative expenses rose to $16.3 million from $11.7 million, partly due to Northern Data's payroll and administrative costs. Adjusted EBITDA remained negative at -$16.6 million, though improved from -$20.5 million a year ago. The company will discontinue reporting MAU and ARPU as headline metrics, potentially reducing transparency for video business performance. Dependence on Tether ad commitments is notable, with $4.8 million in Q2 revenue tied to Tether, raising concerns about revenue concentration. Management acknowledged challenges in securing hardware and supply for AI compute deals, though they claim to have line of sight before signing contracts. Q: What is the company's outlook on AI compute pricing as capacity potentially catches up with demand?A: Chris Pavlovski, CEO, stated that the company remains in the early stages of AI, and with the explosion of inferencing and agentic AI expected in the coming years, demand for AI compute will continue to increase. He does not foresee capacity meeting demand in the next one to two years, emphasizing that AI compute remains very scarce. Q: How is RUM Group approaching the challenges of securing chips, rack cooling, and other equipment for its data centers, and has it considered a "power and shell" model where customers bring their own chips?A: Mike Masci, CFO, explained that the company does not sign contracts until it has strong line of sight to secure the necessary equipment, citing a nearly $47 million uptick in investing activities for IT CapEx. While the "power and shell" model (leasing infrastructure) is viable, RUM Group prefers delivering AI compute as a service, which monetizes at roughly $11 million per megawatt per year versus $1.5 million to $2 million for the shell modelan almost 5x value creation opportunity. Q: Should investors assume that every major customer win announcement, like the one with Together AI, means the company has already secured the hardware to fulfill it?A: Mike Masci, CFO, clarified that while this is the operating model, it should not be taken as a formal policy. The leadership team's first job is prudent risk management, so they would not enter contracts they could not fulfill. Having supply allocation and certain execution is part of their diligence process before signing deals. Q: What was the impact of the Tether advertising commitment on the quarter's revenue?A: Mike Masci, CFO, confirmed that the company broke out the Tether contribution in its Q filing, reporting roughly $4.8 million related to Tether in Q2 2026. Q: What is the company's strategic M&A strategy following the Northern Data acquisition?A: Mike Masci, CFO, stated that it is early in the process, and the management team is currently focused on monetizing the 250 megawatts of unmonetized power capacity. While they will always look at opportunities for value creation for customers and shareholders, the immediate focus is on executing the existing capacity pipeline. Q: Can you provide details on the revenue guidance for the third quarter of 2026?A: Mike Masci, CFO, announced that for the first time, the company is issuing formal revenue guidance. For Q3 2026, the first full quarter reflecting Quake AI, RUM Group expects revenue between $87 million and $93 million. This guidance is supported by strong contracted revenue and high utilization following the Northern Data close. Q: What is the strategic rationale behind the Northern Data acquisition and the formation of Quake AI?A: Chris Pavlovski, CEO, explained that the combination of Rumble's video platform and Northern Data's AI infrastructure creates a compelling end-to-end AI infrastructure company. Quake AI is expected to be the financial engine of RUM Group going forward, leveraging the existing GPU estate running at over 85% utilization and the credibility to win large-scale AI infrastructure deals. Q: How does RUM Group plan to monetize its 250 megawatts of power capacity targeted for 2027?A: Chris Pavlovski, CEO, highlighted that the company has strong customer momentum and meaningful progress on site development, including a marquee 180-megawatt site near Atlanta, Georgia. Monetizing this capacity represents what the company believes is a $3 billion-plus annual run rate opportunity for RUM Group. Q: What is the company's view on the value of Rumble's video data for the AI industry?A: Chris Pavlovski, CEO, noted that as the AI industry moves into the robotic era, Rumble's spatial temporal data (video data) becomes increasingly valuable for robotic learning. Quake AI clientele have already expressed interest in this data, and the company is exploring ways to capitalize on this opportunity, adding another potential revenue bucket for the creator community. Q: What changes are being made to the company's financial reporting structure?A: Mike Masci, CFO, announced that this will be the last quarter the company presents MAU and ARPU as headline metrics. Beginning with the third-quarter report, RUM Group will move to segment reporting, separating Rumble Video and Quake AI, each with its own revenue and profitability metrics, to provide a clearer picture of capital allocation and business performance. For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Our analysts just identified a stock with the potential to be the next Nvidia. Tell us how you invest and we'll show you why it's our #1 pick. Tap here. Completed the acquisition of Northern Data, securing 85.2% of shares and rebranding as RUM Group to operate two synergistic units: Rumble Video and Quake AI. Established Quake AI as an end-to-end infrastructure provider by combining Rumble's proprietary bare metal compute and CDN with Northern Data's estate of 22,000 NVIDIA H100 and H200 GPUs. Achieved over 85% utilization of the existing GPU estate through a deliberate focus on customer support and Infrastructure-as-a-Service execution. Positioned the company as a credible independent alternative to traditional hyperscalers through a multiyear agreement with Together AI for NVIDIA HGX B300 capacity. Identified a significant future revenue opportunity in 'spatiotemporal' video data, anticipating that AI robotic learning will shift demand from text-based data to video data within 1-2 years. Leveraged existing infrastructure advantages, including a 180-megawatt site in Georgia with established substation and transformer capacity, to support large-scale AI deployment. Targeting the monetization of 250 megawatts of currently unmonetized power capacity by 2027, which management believes represents a $3 billion-plus annual run rate opportunity. Issued formal revenue guidance for the first time, projecting Q3 2026 revenue between $87 million and $93 million, reflecting the first full quarter of Quake AI operations. Transitioning to segment reporting starting in Q3 2026 to provide distinct visibility into the performance and capital allocation of Rumble Video and Quake AI. Anticipating another all-time record for revenue in the upcoming quarter, driven by strong contracted revenue and high utilization in the AI compute business. Planning to capitalize on the 'robotic and agentic AI era' by providing both the compute rails and the video data necessary for advanced model training. Net loss of $80.3 million was primarily driven by $28.3 million in transaction costs related to the Northern Data acquisition and increased non-cash depreciation. Liquidity position remains strong with $220.5 million in total liquidity, including $203.3 million in cash and approximately 293 Bitcoin valued at $17.2 million. Discontinuing the use of MAU and ARPU as headline metrics, as management believes they no longer reflect the full scope of the combined company's value. Investing activities saw a significant uptick to nearly $47 million, primarily for IT CapEx required to fulfill AI compute-as-a-service contracts. One stock. Nvidia-level potential. 30M+ investors trust Moby to find it first. Get the pick. Tap here. Management believes the industry is in the early stages of AI and does not expect capacity to catch up to demand within the next 1-2 years. Scarcity of compute is expected to persist as inferencing and agentic AI applications continue to explode. Management chose the AI Compute-as-a-Service model because it offers roughly 5x higher value creation (up to $11 million per megawatt) compared to leasing 'powered shells'. The company leverages its long-standing partnership with NVIDIA to secure hardware and operate complex machinery that neocloud competitors may lack. Management stated they do not sign major customer agreements, like the Together AI deal, without first securing a strong line of sight for hardware supply and capacity. The recent $47 million investment in IT CapEx serves as the foundation for executing these large-scale infrastructure obligations.

LONGBOAT KEY, Fla., Aug. 03, 2026 (GLOBE NEWSWIRE) -- RUM Group Inc. (NASDAQ: RUM) (“RUM Group” or the “Company”), an AI infrastructure and video company on a mission to unlock the power of human imagination, today announced that it will release financial results for the fiscal quarter ended June 30, 2026 after market close on Monday, August 10, 2026. The Company will host a conference call on the same day at 5:00 p.m. Eastern Time. Access to the live webcast and replay of the conference call, along with related earnings release materials, will be available here and on RUM Group's Investor Relations website at investors.rumble.com. Upcoming Investor Conferences RUM Group’s management team will participate in the following upcoming conferences: Canaccord Genuity’s 46th Annual Growth Conference, to be held August 11-13, 2026 at the InterContinental Boston in Boston, MA. The Oppenheimer 29th Annual Technology, Internet & Communications Conference, to be held virtually on August 11-13, 2026. Chris Pavlovski, the Chief Executive Officer, and Michael Masci, the Chief Financial Officer of RUM Group, will participate in an analyst-selected fireside chat on Tuesday, August 11, 2026, at 2:55 PM ET. The fireside chat will be available for viewing here and on the Company’s Investor Relations website. Management will conduct one-on-one meetings with institutional investors throughout both conferences. To request a meeting with RUM Group’s management during the upcoming conferences, please contact your conference representative or the Company’s Investor Relations team at [email protected]. About RUM Group Inc. RUM Group Inc. is an AI infrastructure and video company. Its Quake AI business delivers AI compute as a service, operating AI data centers including GPU and CPU compute, storage, and networking at scale. Rumble, RUM Group's video business and the original tenant of Quake AI, provides creators and enterprises a full suite of video technologies, unlocking reach, scale, and monetization. RUM Group is building the rails of the agentic-first enterprise: the AI compute, cloud infrastructure, and trust layer for the agentic AI future, advancing RUM Group's mission to maximize the power of human imagination. For more information visit www.rum.group. For investor inquiries, please contact: Shannon DevineMZ Group, MZ North America 203-741-8811 [email protected] Source: RUM Group Inc.

Looking back on digital media & content platforms stocks’ Q1 earnings, we examine this quarter’s best and worst performers, including Rumble (NASDAQ:RUM) and its peers. AI-driven content creation, personalized media experiences, and digital advertising are evolving, which could benefit companies investing in these themes. For example, companies with a portfolio of licensed visual content or platforms facilitating direct monetization models could see increased demand for years. On the other hand, headwinds include growing regulatory scrutiny on AI-generated content, with many publishers balking at anything that gets no human oversight. Additional areas to navigate include the phasing out of third-party cookies, which could make traditional ways of tracking the online behavior of consumers (a secret sauce in digital marketing) much less effective. The 6 digital media & content platforms stocks we track reported a softer Q1. As a group, revenues missed analysts’ consensus estimates by 5.3% while next quarter’s revenue guidance was 6% below. Amidst this news, share prices of the companies have had a rough stretch. On average, they are down 18.2% since the latest earnings results. Founded in 2013 as a champion for content creator rights and free expression, Rumble (NASDAQ:RUM) is a video sharing platform that positions itself as a free speech alternative to mainstream platforms, offering creators more favorable revenue-sharing opportunities. Rumble reported revenues of $25.46 million, up 7.4% year on year. This print fell short of analysts’ expectations by 2%. Overall, it was a disappointing quarter for the company with a significant miss of analysts’ EPS estimates. Rumble scored the fastest revenue growth among its peers. Still, the market seems discontent with the results. The stock is down 28% since reporting and currently trades at $5.88. Is now the time to buy Rumble? Access our full analysis of the earnings results here, it’s free. Formerly known as K12, Stride (NYSE:LRN) is an education technology company providing education solutions through digital platforms. Stride reported revenues of $629.9 million, up 2.7% year on year, in line with analysts’ expectations. The business performed better than its peers, but it was unfortunately a mixed quarter with a beat of analysts’ EPS estimates but full-year revenue guidance slightly missing analysts’ expectations. Although it had a fine quarter compared to its peers, the market seems unhappy with the results as the stock is down 9.3% since reporting. It currently trades at $84.00. Is now the time to buy Stride? Access our full analysis of the earnings results here, it’s free. Originally a pioneering technology publisher founded in 1927 that became famous for PC Magazine, Ziff Davis (NASDAQ:ZD) operates a portfolio of digital media brands and subscription services across technology, shopping, gaming, healthcare, and cybersecurity markets. Ziff Davis reported revenues of $267.6 million, down 1.9% year on year, falling short of analysts’ expectations by 6.9%. It was a disappointing quarter as it posted a significant miss of analysts’ EPS estimates. Interestingly, the stock is up 21.5% since the results and currently trades at $52.62. Read our full analysis of Ziff Davis’s results here. With a vast library of over 562 million visual assets documenting everything from breaking news to iconic historical moments, Getty Images (NYSE:GETY) is a global visual content marketplace that licenses photos, videos, illustrations, and music to businesses, media outlets, and creative professionals. Getty Images reported revenues of $226.6 million, up 1.1% year on year. This number lagged analysts’ expectations by 5.9%. It was a softer quarter as it also recorded EPS in line with analysts’ estimates. Getty Images delivered the highest full-year guidance raise in the group. The stock is down 52.8% since reporting and currently trades at $0.38. Read our full, actionable report on Getty Images here, it’s free. Pioneering a vertical-scrolling format optimized for mobile devices, WEBTOON Entertainment (NASDAQ:WBTN) operates a global platform where creators publish serialized web-comics and web-novels that users can read in bite-sized episodes. WEBTOON reported revenues of $320.9 million, down 1.5% year on year. This print met analysts’ expectations. More broadly, it was a mixed quarter as it also logged a beat of analysts’ EPS estimates but revenue guidance for next quarter missing analysts’ expectations significantly. WEBTOON pulled off the biggest analyst estimate beat of the whole group. The stock is down 32.3% since reporting and currently trades at $9.01. Read our full, actionable report on WEBTOON here, it’s free. Over the past year, investors have been forced to repeatedly answer the same question: what is the market’s biggest risk? The answer has changed several times, and each shift has reshaped market leadership. Late in 2025 and early 2026, artificial intelligence became the market’s primary uncertainty. Investors questioned whether AI would erode software pricing power and weaken competitive moats as AI made it easier to replicate once-differentiated products. By the spring, technology took a back seat to geopolitics. The U.S. conflict with Iran briefly became the market’s dominant narrative, raising concerns about oil prices, inflation, and global growth. But as energy markets remained orderly and fears of a prolonged supply disruption faded, investors quickly turned their focus back to fundamentals. Want to invest in winners with rock-solid fundamentals? Check out our Top 5 Quality Compounder Stocks and add them to your watchlist. These companies are poised for growth regardless of the political or macroeconomic climate.

Rumble has been treading water for the past six months, recording a small return of 4.9% while holding steady at $7.55. The stock also fell short of the S&P 500’s 10.7% gain during that period. Is there a buying opportunity in Rumble, or does it present a risk to your portfolio? See what our analysts have to say in our full research report, it’s free. We’re swiping left on Rumble for now. Here are three reasons we avoid RUM, plus one stock we’d rather own. With $102.4 million in revenue over the past 12 months, Rumble is a small player in the business services space, which sometimes brings disadvantages compared to larger competitors benefiting from economies of scale and numerous distribution channels. On the bright side, it can grow faster because it has more room to expand. If you’ve followed StockStory for a while, you know we emphasize free cash flow. Why, you ask? We believe that in the end, cash is king, and you can’t use accounting profits to pay the bills. Rumble’s demanding reinvestments have drained its resources over the last five years, putting it in a pinch and limiting its ability to return capital to investors. Its free cash flow margin averaged negative 96.6%, meaning it lit $96.58 of cash on fire for every $100 in revenue. As long-term investors, the risk we care about most is the permanent loss of capital, which can happen when a company goes bankrupt or raises money from a disadvantaged position. This is separate from short-term stock price volatility, something we are much less bothered by. Rumble posted negative $72.57 million of EBITDA over the last 12 months, and its $423.5 million of debt exceeds the $219 million of cash on its balance sheet. This is a deal breaker for us because indebted loss-making companies spell trouble. We implore our readers to tread carefully because credit agencies could downgrade Rumble if its unprofitable ways continue, making incremental borrowing more expensive and restricting growth prospects. The company could also be backed into a corner if the market turns unexpectedly. We hope Rumble can improve its profitability and remain cautious until then. Rumble’s business quality ultimately falls short of our standards. With its shares underperforming the market lately, the stock trades at $7.55 per share (or a trailing 12-month price-to-sales ratio of 20.9×). The market typically values companies like Rumble based on their anticipated profits for the next 12 months, but there aren’t enough published estimates to arrive at a reliable number. You should avoid this stock for now - better opportunities lie elsewhere. We’d recommend looking at an all-weather company that owns household favorite Taco Bell. ALSO WORTH WATCHING: Top 5 Momentum Stocks. The best time to own a great stock is when the market is finally noticing it. These aren’t just high-quality businesses. Something is happening with them right now. Elite fundamentals meet near-term momentum — both boxes checked at the same time. Find out which stocks our AI platform is flagging this week. See this week’s Strong Momentum stocks — FREE. Get Our Strong Momentum Stocks for Free HERE. Stocks that have made our list include now familiar names such as Nvidia (+1,326% between June 2020 and June 2025) as well as under-the-radar businesses like the once-small-cap company Exlservice (+354% five-year return). Find your next big winner with StockStory today.

Rumble’s first quarter results drew a negative market reaction, as both revenue and earnings per share fell short of Wall Street expectations. Management attributed the quarter’s performance to higher investment in sales and marketing, particularly as the company ramped up efforts around international expansion and the growth of Rumble Shorts. CEO Chris Pavlovski highlighted that user growth on the video platform was strong, with monthly active users reaching 56 million, driven by marketing campaigns and the traction of Shorts. Pavlovski also noted that while Rumble Shorts is boosting engagement, it is not yet monetized, which weighed on average revenue per user for the period. Is now the time to buy RUM? Find out in our full research report (it’s free). Revenue: $25.46 million vs analyst estimates of $25.98 million (7.4% year-on-year growth, 2% miss) EPS (GAAP): -$0.12 vs analyst expectations of -$0.09 (33.3% miss) Adjusted EBITDA: -$20.97 million (-82.4% margin, 7.6% year-on-year growth) Operating Margin: -119%, up from -146% in the same quarter last year Market Capitalization: $2.51 billion While we enjoy listening to the management's commentary, our favorite part of earnings calls are the analyst questions. Those are unscripted and can often highlight topics that management teams would rather avoid or topics where the answer is complicated. Here is what has caught our attention. Jason Helfstein (Oppenheimer): asked how to interpret the previously released internal financial forecasts for Rumble and Northern Data. CFO Mike Masci clarified, “those forecasts are not guidance,” and that any official projections will be provided after evaluating the combined entity post-acquisition. Helfstein (Oppenheimer): questioned whether Tether’s ad revenue commitment depends on the Northern Data deal closing. CEO Chris Pavlovski explained that “the Tether ad commitment has already begun,” and its rollout is determined by product readiness, not the acquisition timeline. Helfstein (Oppenheimer): probed for details on Northern Data’s GPU infrastructure and future contract potential. Pavlovski confirmed Northern Data operates 22,000 GPUs across nine data centers, with further details to be provided after the deal closes. Thomas Forte (Maxim Group): asked about progress from the new President of Sales for Rumble Advertising and the impact of Rumble Shorts on ad sales. Pavlovski highlighted ongoing development of the programmatic ad business and noted Shorts is a key driver of user growth, with monetization set for later in the year. Forte (Maxim Group): inquired about expectations for political ad spending during the midterms. Pavlovski stated that Rumble is in a stronger position to capture election-driven ad budgets and expects features like internal boosting to help capitalize on this opportunity. Looking forward, the StockStory team will be watching (1) the closing and integration of the Northern Data acquisition and how quickly cloud revenue ramps, (2) the rollout and early monetization impact of Rumble Shorts and self-serve advertising features, and (3) the scale and effectiveness of the Tether partnership and wallet adoption. Performance during the U.S. midterms will also serve as a key litmus test for advertising strategy execution. Rumble currently trades at $7.33, down from $8.17 just before the earnings. In the wake of this quarter, is it a buy or sell? The answer lies in our full research report (it’s free for active Edge members). ONE MORE THING: Top 6 Stocks for This Week. This market is separating quality stocks from expensive ones fast. AI taking down whole sectors with no warning. In a rotation this fast, you need more than a list of good companies. Our AI system flagged Palantir before it ran 1,662%. AppLovin before it ran 753%. Nvidia before it ran 1,178%. Each week it produces 6 new names that pass the same tests. Get Our Top 6 Stocks for Free HERE. Stocks that have made our list include now familiar names such as Nvidia (+1,326% between June 2020 and June 2025) as well as under-the-radar businesses like the once-small-cap company Exlservice (+354% five-year return). Find your next big winner with StockStory today.

This article first appeared on GuruFocus. Revenue: $25.5 million, a 7% increase from $23.7 million in Q1 2025. Cost of Services: $27 million, a 10% decline year-over-year. General and Administrative Expenses: Decreased by 37% to $10.4 million. Research and Development Expenses: Increased by 20% to $5.7 million. Sales and Marketing Expenses: Increased by 134% to $8.5 million. Adjusted EBITDA Loss: $21 million, improved from a loss of $22.7 million in Q1 2025. Net Loss: $30.3 million, compared to a net loss of $2.7 million in Q1 2025. Total Liquidity: $233.4 million, including $219 million in cash and cash equivalents. Bitcoin Holdings: 210.82 Bitcoin valued at $14.4 million as of March 31. Net Cash Used in Operating Activities: $16.6 million for the first quarter. Warning! GuruFocus has detected 5 Warning Signs with RUM. Is RUM fairly valued? Test your thesis with our free DCF calculator. Release Date: May 14, 2026 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Rumble Inc (NASDAQ:RUM) is set to undergo a major transformation with the acquisition of Northern Data, which is expected to significantly boost cloud revenue. The company has secured approximately 81% of Northern Data's outstanding shares and received all required regulatory approvals for the acquisition. Rumble Cloud is gaining traction with high-value, mission-critical workloads, evidenced by partnerships with companies like Anchorage Digital. Rumble Shorts has driven growth in monthly active users, reaching 56 million, and set a new record of roughly 2 million unique video views in a single day. The launch of Rumble Wallet in partnership with Tether is expected to be fueled by a $100 million advertising commitment, potentially attracting new creators to the platform. Despite revenue growth, Rumble Inc (NASDAQ:RUM) reported a net loss of $30.3 million for the first quarter of 2026, compared to a net loss of $2.7 million in the first quarter of 2025. The company's adjusted EBITDA loss for the first quarter was $21 million, indicating ongoing financial challenges. Rumble Shorts, while contributing to user growth, is not yet monetized, negatively impacting average revenue per user (ARPU). Sales and marketing expenses increased significantly by 134% to $8.5 million, reflecting higher marketing and public relations spending. The company faces uncertainty regarding future contracts for compute and power, as highlighted by questions about Northern Data's infrastructure capabilities. Q: How should investors interpret the revenue forecasts for Rumble and Northern Data mentioned in the S-1? A: Mike Masci, CFO, clarified that the forecasts are not official guidance but were internal projections related to the transaction. The company may provide guidance in the future after evaluating the combined entity with Northern Data. Q: Has the Tether advertising revenue commitment started, and are there any conditions for its implementation? A: Chris Pavlovski, CEO, stated that the Tether ad commitment has already begun this quarter. It is being scaled slowly to ensure proper integration with the Rumble Wallet, with plans to accelerate in the second half of the year. The commitment is not contingent on the Northern Data transaction. Q: Can you provide details on Northern Data's current GPU and data center capacity? A: Chris Pavlovski mentioned that Northern Data has approximately 22,000 GPUs across nine data centers. Specific details about the number of racks will be available after the transaction closes. Q: How are Rumble's new sales efforts and Rumble Shorts impacting advertising sales? A: Chris Pavlovski highlighted progress with the Rumble Advertising Center and programmatic channels, expecting meaningful advertising revenue by late 2026. Rumble Shorts is contributing to user growth and is expected to be monetized in the second half of 2026, potentially boosting ARPU. Q: How might the upcoming midterm elections affect Rumble's monetization efforts? A: Chris Pavlovski expressed confidence in Rumble's improved advertising capabilities compared to previous election cycles. The company plans to capitalize on the midterms and the next Presidential election, with new features like boosting capabilities expected to enhance monetization. For the complete transcript of the earnings call, please refer to the full earnings call transcript.