RUM Group stock has been in a strong freefall this month, reaching its lowest level since July 31 this year. It fell to $5.86, down by 45% from its highest point in August, and technicals suggest that it has more downside as AI jitters persist.
RUM Group stock has fallen as AI bubble risks remainRUM Group is a company known for Rumble, the YouTube competitor that is popular among conservatives. Recently, the firm has ventured into the fast-growing neocloud industry. Its AI business is through Quake AI, which is aiming to become a big provider of data center solutions to hyperscalers and other AI labs.
The company recently acquired Northern Data, a German AI cloud and high-performance computing company. It initially spent $767 million to acquire an 85% stake in the company in June, and recently increased it to 98%. Its goal is to own the whole company.
The transition has had some earlier success, with the company signing a six-year $13.7 billion deal with Anthropic, the creator of Claude. It now hopes to receive more deals from both large companies and smaller AI labs.
The challenge, however, is that there have been concerns about the neocloud industry, with Gartner warning that companies in the industry will need to announce major impairments in the coming years.
Michael Burry has warned that these companies were exaggerating their depreciation cycle. Ideally, he believes that the optimum usage of these GPUs should be two to three years, while they see it as over six years.
RUM Group also faces the challenges that other neocloud companies like CoreWeave and Nebius are facing. For example, rolling out data centers is a highly expensive process, meaning that it will need to raise cash, either through debt or equity. CoreWeave’s debt has jumped to nearly $30 billion, while IREN’s has soared to over $7 billion.
Additionally, the cost of all items in the data center industry, including memory, servers, and GPUs has continued rising this year. There are also fears that the AI bubble will burst this year, which explains why the company has a short interest of 11%.
RUM Group’s business is expected to continue growing, driven by its Rumble and Quake. Its last earnings report showed that its revenue jumped by 40% in the second quarter to $40.4 million. With the Northern Data buyout, the company announced that its Q3 revenue will be $93 billion.
RUM Group stock chart | Source: TradingView
The daily chart shows that the RUM Group shares have been in a strong bearish trend in the past few weeks. It dropped from $10.53 in August to the current $5.86.
The stock has moved below the Ultimate Support level of the Murrey Math Lines tool. It has dropped below the key support level of $6.98, its lowest level on September 11.
The stock has dropped below the 50-day moving average, and is along the lower side of the Bollinger Bands. At the same time, the Relative Strength Index (RSI) has dropped to the oversold level of 30.
Therefore, the stock will likely continue falling, potentially to the psychological level of $5. A drop below that level will point to more downside, potentially to $4.65, its lowest level in March.
RUM Group zvýší svůj podíl v Northern Data z 85,2 % na zhruba 98 % a zahájila kroky k vytěsnění zbývajících akcionářů. Po dokončení chce firmu ovládnout ze 100 %.
Company Notifies Northern Data of Intent to Commence Squeeze-Out Proceedings for Remaining Shares Under German Stock Corporation Act | Source: Rumble, Inc.
LONGBOAT KEY, Fla., Sept. 10, 2026 (GLOBE NEWSWIRE) -- RUM Group Inc. (Nasdaq: RUM) (“RUM Group” or the “Company”) today announced that it expects to acquire additional outstanding shares of Northern Data AG (“Northern Data”), a leading provider of AI and high-performance computing (HPC) infrastructure, to increase its ownership in Northern Data from 85.2% to approximately 98%. RUM Group also delivered notice to Northern Data that it intends to commence squeeze-out proceedings under the German Stock Corporation Act to acquire the remaining approximately 2% of Northern Data’s outstanding shares, which, upon completion, will bring RUM Group’s ownership percentage to 100%.
RUM Group is acquiring the additional shares from Tether Investments, S.A. de C.V. (“Tether”) under the existing Transaction Support Agreement, pursuant to which Tether agreed to exchange, at the end of each calendar month, any additional Northern Data shares acquired by Tether for shares of RUM Class A common stock (or pre-funded warrants in lieu thereof) at the Offer Ratio of 2.0281 shares of RUM Class A common stock for each Northern Data share delivered. On September 2, 2026, Tether reported that it had agreed to acquire 8,256,155 Northern Data shares. RUM Group understands that these acquisitions are expected to settle in time to allow for an exchange of the acquired Northern Data shares against newly issued pre-funded warrants with RUM Group on or about September 30, 2026 under the terms of the Transaction Support Agreement.
Upon acquisition of the additional Northern Data shares from Tether, RUM Group will submit a formal squeeze-out request to Northern Data. The price to be paid in the squeeze-out may differ from the market price of Northern Data shares and prices paid by other shareholders in bilateral trades, including by Tether.
This announcement comes on the heels of a previously announced $13.7 billion GPU services agreement with an unaffiliated U.S.-based third party cloud customer for the Company’s site in Maysville, GA (see Form 8-K).
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.
Forward-Looking Statements
Certain statements in this press release constitute “forward-looking statements” within the meaning of the U.S. Private Securities Litigation Reform Act of 1995. Statements contained in this press release that are not historical facts are forward-looking statements and include, for example, statements regarding the Company’s acquisition of additional shares in Northern Data and subsequent squeeze-out of Northern Data. Certain of these forward-looking statements can be identified by using words such as “anticipates,” “believes,” “intends,” “estimates,” “targets,” “expects,” “endeavors,” “forecasts,” “could,” “will,” “may,” “future,” “likely,” “on track to deliver,” “continues to,” “looks forward to,” “is primed to,” “plans,” “projects,” “assumes,” “should” or other similar expressions. Such forward-looking statements involve known and unknown risks and uncertainties, and our actual results could differ materially from future results expressed or implied in these forward-looking statements. The forward-looking statements included in this press release are based on our current beliefs and expectations of our management as of the date of this press release. These statements are not guarantees or indicative of future performance. Important assumptions and other important factors that could cause actual results to differ materially from those forward-looking statements include: the successful completion of the closing of the purchase of additional Northern Data shares from Tether and the subsequent squeeze-out of Northern Data; the risk factors set forth under Item 8.01 of RUM Group’s Form 8-K filed with the SEC on August 24, 2026 which are incorporated herein by reference; the Northern Data business combination, including the success of the business following the transaction; the ability to successfully integrate RUM Group’s and Northern Data’s businesses; risks related to disruption of management time from ongoing business operations due to the transaction; the risk that the transaction can negatively impact the ability of RUM Group and Northern Data to retain customers, retain or hire key personnel, maintain relationships with their respective suppliers and customers, and on their operating results and businesses generally; the risk that the combined business may be unable to achieve expected synergies or that it may take longer or be more costly than expected to achieve those synergies; the risk of fluctuations in revenue due to lengthy sales and approval process required by major and other service providers for new products; the risk posed by potential breaches of information systems and cyber-attacks; the risks that RUM Group, Northern Data or the post combination company may not be able to effectively compete, including through product improvements and development; the risk that RUM Group, Northern Data or the post-combination company may not be able to meet surging AI compute demand by establishing business relationships with hyperscalers; risks relating to our development and construction of new data center facilities, including increasing public and community opposition to data center development and exposure to a highly-evolving regulatory landscape, which could delay, increase the cost of, or prevent the completion of our planned projects and subject us to potential legal liabilities; the risk that the cloud, video, and content delivery network capabilities of RUM Group, Northern Data or the post-combination company may not be sufficient to attract and continue to attract interest from system integrators and content creators and to create powerful funnel partnership opportunities for the combined platform; the risk that RUM Group, Northern Data or the post combination company may not be able to accelerate delivery of next-generation cloud solutions and AI applications; risks that the growth strategy of the combined business may require a significant amount of debt financing, which may be available on unfavorable terms, if at all, and risks relating to the ability of the combined business to service such debt obligations; our ability to grow and manage future growth profitably over time, maintain relationships with customers, compete within our industry and retain key employees; weakened global economic conditions may affect our business and operating results; our limited operating history makes it difficult to evaluate our business and prospects; we may not grow or maintain our active user base, and may not be able to achieve or maintain profitability; we may fail to maintain adequate operational and financial resources; we may be unsuccessful in attracting new users to our mobile and connected TV offerings; our traffic growth, engagement, and monetization depend upon effective operation within and compatibility with operating systems, networks, devices, web browsers and standards, including mobile operating systems, networks, and standards that we do not control; our business depends on continued and unimpeded access to our content and services on the internet and if we or those who engage with our content experience disruptions in internet service, or if internet service providers are able to block, degrade or charge for access to our content and services, we could incur additional expenses and the loss of traffic and advertisers; we face significant market competition, and if we are unable to compete effectively with our competitors for traffic and advertising spend, our business and operating results could be harmed; we rely on data from third parties to calculate certain of our performance metrics and real or perceived inaccuracies in such metrics may harm our reputation and negatively affect our business; changes to our existing content and services could fail to attract traffic and advertisers or fail to generate revenue; we derive the majority of our revenue from advertising and the failure to attract new advertisers, the loss of existing advertisers, or the reduction of or failure by existing advertisers to maintain or increase their advertising budgets may adversely affect our business and operating results; we depend on third-party vendors, including internet service providers, advertising networks, and data centers, to provide core services; new technologies have been developed that are able to block certain online advertisements or impair our ability to deliver advertising, which could harm our operating results; we have offered and intend to continue to offer incentives, including economic incentives, to content creators to join our platform, and these arrangements may involve fixed payment obligations that are not contingent on actual revenue or performance metrics generated by the applicable content creator but rather are based on our modeled financial projections for that creator, which if not satisfied may adversely impact our financial performance, results of operations and liquidity; changes in tax rates, changes in tax treatment of companies engaged in e-commerce, the adoption of new U.S. or international tax legislation, or exposure to additional tax liabilities may adversely impact our financial results; compliance obligations imposed by new privacy laws, laws regulating online video sharing platforms, other online platforms and online speech in certain jurisdictions in which we operate, or industry practices may adversely affect our business, financial performance, and operating results; we may become subject to newly enacted laws and regulations that restrict or moderate content on the internet; we are exposed to significant regulatory, operational, compliance, privacy, and legal risks related to age restriction or verification requirements and children’s online safety laws contemplated or enacted in various U.S. states and foreign jurisdictions; paid endorsements by our content creators may expose us to regulatory risk, liability, and compliance costs, and, as a result, may adversely affect our business, financial condition and results of operations; we have incurred and will incur significantly increased expenses and administrative burdens as a public company, which could have an adverse effect on our business, financial condition, and results of operations; and those additional risks, uncertainties and factors described in more detail under the caption “Risk Factors” in our Annual Report on Form 10-K for the year ended December 31, 2025, and in our other filings with the Securities and Exchange Commission. We do not intend, and, except as required by law, we undertake no obligation, to update any of our forward-looking statements after the issuance of this press release to reflect any future events or circumstances. Given these risks and uncertainties, readers are cautioned not to place undue reliance on such forward-looking statements.
For investor inquiries, please contact:
Shannon Devine
MZ Group, MZ North America
203-741-8811 [email protected]
Rumble uzavřel kontrakt na GPU infrastrukturu za 13,7 miliardy USD, což zásadně mění jeho byznys směrem k AI výpočetnímu výkonu. Firma zároveň zvýšila výhled tržeb pro 3. čtvrtletí 2026 na 87 až 93 milionů USD.
When a company secures a contract nearly three times its total valuation, the market pays attention. Rumble Inc. NASDAQ: RUM recently locked in a $13.7 billion GPU infrastructure agreement, shattering its valuation model overnight. What started as a specialized video-sharing alternative has rapidly pivoted into a tier-one AI compute provider.
Rumble Today
$8.98 0.00 (0.00%)
As of 08/28/2026 04:00 PM Eastern
$4.62▼
$10.60 The fundamental gap between Wall Street's perception of Rumble and its new reality as an enterprise-grade infrastructure player offers a rare asymmetry. Legacy models still price the equity as an unprofitable media platform. Yet, the newly minted multi-billion-dollar compute backlog signals top-line acceleration is coming.
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Trapped short sellers now face a transformed business model, setting the stage for institutions to adjust their positions in Rumble's stock. The current market dynamics represent a pricing dislocation, one that investors could choose to capitalize on as the narrative shifts from advertising revenue to hyperscale cloud computing.
Rewiring Financials for the New Cloud EraThe scale of this operational transition becomes clear when evaluating the balance sheet alongside forward guidance. Rumble currently has a market capitalization of around $5 billion. That multiple once looked stretched for a standard video hosting platform, especially against trailing 12-month revenues of approximately $117 million. The recent partnership anchoring an extensive Georgia infrastructure expansion flips the script entirely. This single deal represents roughly 100 times the current annual revenue, cementing a paradigm shift.
Management is already broadcasting the immediate financial impact of this pivot. During the latest earnings call, forward revenue guidance for the third quarter of 2026 was aggressively revised upward to a range of $87 million to $93 million. To put that in perspective, this new target easily eclipses the prior consensus estimate of about $88.7 million and effectively doubles the second quarter's actual revenue of approximately $40.37 million.
Investors are watching the real-time top-line realization of an AI pivot. Rumble's cloud segment is no longer a peripheral venture; it is quickly becoming the central economic engine of the operation. Institutional investors often hunt for precisely this type of inflection point, where growth accelerates so violently that legacy valuation frameworks completely break down. The transition requires the market to re-evaluate Rumble not as a content distributor, but as an essential supplier of processing power.
Front-Running the $13.7B Server ShockwaveAs the underlying business transforms, market positioning reveals a fascinating structural tug-of-war. The legacy Wall Street consensus remains stubbornly anchored in the past. The stock carries a universal Sell rating from analysts who last updated their models weeks before the GPU catalyst materialized. Because Sell-side upgrades frequently lag major fundamental shifts, these outdated models create a pricing blind spot for the retail market.
This delay leaves a large portion of the market caught off guard, particularly on the short side. Short interest levels remain distinctly bearish, established when the market viewed Rumble solely as a cash-burning media entity.
Rumble's high short float trapped by a sudden, multi-billion-dollar infrastructure pivot provides the exact fuel needed for a sustained, volume-driven rally. Short sellers could be forced to cover their positions just as long-term buyers step in to capture the upside in new computing.
Rumble Inc. (RUM) Price Chart for Monday, August, 31, 2026
Behind the scenes, the smart money is already maneuvering. Options market data revealed heavy accumulation of call options just days before the definitive contract announcement, signaling that institutional players were positioning ahead of the news.
Looking at the capitalization table, insider ownership metrics reveal deep-pocketed technology allocations. The presence of strategic holders like David O. Sacks and entities such as Tether Global Investments indicates strong conviction in this enterprise infrastructure pivot.
Retail watchlists show a strong cross-asset correlation between Rumble and semiconductor sector giants like NVIDIA Corporation NASDAQ: NVDA and Advanced Micro Devices NASDAQ: AMD, suggesting the broader market is quietly beginning to re-rate this equity as a pure-play AI asset.
Capital Expenditure Meets Long-Term LeverageWhile the top-line trajectory is undeniable, building data centers requires substantial upfront spending. Investors should expect short- to medium-term margin compression as Rumble physically builds out the Georgia facilities required to service this large-scale contract.
With legacy net margins deep in negative territory and trailing earnings per share hovering near a 59-cent loss, Rumble will likely burn cash to scale its physical infrastructure. Free cash flow expansion will inherently lag revenue realization, a standard lifecycle phase for any capital-intensive infrastructure build. Building the physical backbone of the internet requires patience.
The path to profitability is accelerating at a surprising rate. Forward projections indicate earnings will improve substantially, from an expected loss of 69 cents per share to approximately a 15-cent-per-share loss over the next year. This sharp upward trajectory signals that the scale efficiencies gained through the new cloud service agreements will outpace infrastructure spend faster than current sell-side models project. As the $13.7 billion backlog absorbs fixed costs, true operational leverage will kick in.
Plugging Into the High-Speed Computing ShiftBy locking in a long-term compute contract, Rumble offers a unique, asymmetric upside relative to the hyperscaler market, which is heavily saturated. The sheer size of this GPU deal guarantees long-term revenue visibility, effectively de-risking the top line for years to come. Rumble has positioned itself as a bridge for enterprises that need raw computing power outside the traditional tech monopolies.
Investors might consider utilizing pullbacks to accumulate a position before the broader analyst community is forced to drastically revise their valuation models upward. The transition from a consumer-facing media application to a foundational pillar of the AI physical economy is rarely priced in seamlessly, making the current volatility a compelling window to align with an undeniable structural shift. Investors who recognize this computing evolution early may find themselves well-positioned as Rumble completely rewrites its financial narrative.
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RUM Group podepsala smlouvu s nejmenovaným americkým cloudovým zákazníkem na dodávku čipů pro umělou inteligenci a služeb GPU za zhruba 13,7 miliardy USD během šesti let. Akcie v premarketu vzrostly o více než 8 %.
Aug 24 (Reuters) - RUM Group (RUM.O), opens new tab, which hosts U.S. President Donald Trump's Truth Social platform, said on Monday it has signed a contract with an unnamed U.S.-based cloud customer worth about $13.7 billion to supply AI chips.
Shares of RUM Group rose more than 8% in premarket trading.
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Here are some details:
Rumble started operating as RUM Group in June after closing its acquisition of German AI cloud company Northern Data, creating a new AI-infrastructure business as it seeks to capitalize on booming AI compute demand.
Under the deal, the customer will get access to GPUs and related services from RUM Group's Maysville, Georgia site, which is currently under development.
RUM Group said it is giving the unnamed customer the option to buy around 51 million shares of its stock for just one cent each, according to a regulatory filing, opens new tab.
The option will become available to the customer gradually over six years, as the client fulfills the purchase agreements.
The customer will buy $13.7 billion in GPU services over six years in three parts, with the last instalment contingent on a delivery date approved by the client.
RUM Group did not immediately respond to a Reuters request for comment about the customer.
The company said it currently lacks the necessary funds and plans to raise capital through debt or equity to fulfill this contract.
Reporting by Pooja Desai
Our Standards: The Thomson Reuters Trust Principles., opens new tab
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Trump Media & Technology Group (NASDAQ:DJT) stock is down 4% to $7.96 in late-morning trading Monday after the company signaled a retreat from the bitcoin treasury strategy it embraced last year. The move extends a bruising stretch for the stock.
Trump Media shares are down 38% year to date (YTD). Over the trailing year, Trump Media stock is down 53%, well below its 52-week high of $18.97.
Bitcoin Retreat Sparks the Selloff The catalyst is a strategic pivot back to media and advertising after nearly $200 million in crypto losses, including a reported $190 million paper loss on its holdings. Trump Media built the position as bitcoin was peaking.
Bitcoin (CRYPTO:BTC) has been sliding for more than 10 months, quoted at $63,000 against an all-time high of $126,000. The token is down 46.61% over the past year and down 28.32% YTD, a backdrop that turned Trump Media’s balance sheet bet into a growing drag on earnings.
Interim CEO Kevin McGurn stated the company has “refined” its approach to capital allocation, redirecting resources toward Truth Social, Truth+, and the Truth API data feed. Trump Media has also agreed to acquire TAE Technologies, a private nuclear fusion energy firm, in a deal it aims to close by year-end.
The Financial Picture Behind the Pivot Trump Media posted a second-quarter net loss of $238 million, driven almost entirely by paper losses on its crypto holdings. Trailing 12-month revenue is $4.5 million against a trailing net loss of $1.3 billion, while market capitalization was about $2.3 billion as of the August 12 close.
Truth Social generated $1.7 million in revenue last quarter, underscoring how small the operating business is next to the balance sheet bets. General Counsel Scott Glabe disposed of 25,546 shares on August 13 at a weighted average price of $8.32, retaining 586,497 shares, a routine administrative transaction tied to tax withholding on vesting equity that doesn’t signal an outlook.
Strategy Shows the Peer Read Strategy (NASDAQ:MSTR | MSTR Price Prediction) stock is up 4% to $96.99 midday Monday, though the shares are down 75% over the past year. The one-year drop illustrates how punishing the treasury-first model has become.
Strategy reported a paper loss of nearly $10 billion on its bitcoin holdings in the past quarter, having acquired 840,447 BTC at an average price of $75,482 against a current bitcoin price well below that mark. That leaves an open concern: forced selling by a large holder could pressure the wider crypto market.
Rumble Trades Higher as the Alt-Media Alternative Rumble (NASDAQ:RUM) stock is up 4% to $7.77 Monday morning as investors rotate into the alternative-media peer. Rumble shares are up 18% YTD, though still down 7% over the past year.
Rumble’s positioning as an alt-tech platform trading higher while Trump Media falls captures the day’s rotation. Reddit sentiment on Strategy has swung to very bearish, driven by a WallStreetBets thread titled “Why I Expect $MSTR at $40ish in 8-12 Weeks”, suggesting retail skepticism toward the treasury model itself, not just Trump Media’s exit.
What to Watch What a Trump Media shareholder owns now is a bet on the pivot working, a pending and unproven fusion acquisition, and a social platform with minimal revenue. Investors can watch for how the company funds and executes the media pivot, whether the TAE Technologies deal closes by year-end, what happens to the remaining bitcoin position, and whether Truth Social revenue grows from its current base.
The read-through for Strategy is more complicated. If Trump Media’s exit marks a broader loss of confidence in the corporate bitcoin treasury playbook, MSTR — the archetype of that model — faces both sentiment pressure and the tail risk that a large holder eventually becomes a forced seller.
For Rumble, today’s rotation is a reminder that the alt-media trade doesn’t require a crypto balance sheet. Execution on the Northern Data AI infrastructure integration and the Tether ad commitment will determine whether the RUM bid holds beyond a single session’s peer swap.
Contact [email protected] for any questions or corrections.
Rumble míří na AI infrastrukturu a z 250 MW připojeného výkonu v roce 2027 odhaduje potenciální roční tržby přes 3 miliardy USD. Video platformu ponechává odděleně.
Rumble’s $767M Acquisition Marks Bold Pivot Into AI InfrastructureRumble NASDAQ: RUM is positioning its recently combined operations as an AI compute infrastructure business with a substantial 2027 power pipeline, while continuing to operate its established video platform separately.
Speaking at an event with Canaccord Genuity Equity Research Senior Analyst Kingsley Crane, RUM Group CFO Mike Massey said the company now consists of two autonomous businesses: Rumble Video and Quake AI. Rumble Video has more than 50 million monthly active users, according to Massey, while Quake AI combines Rumble’s cloud, content-delivery network and data-center assets with GPU-as-a-service capabilities acquired through Northern Data.
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Rumble Stock Gets Ready to Rumble in its Second Quarter Massey said Rumble built much of its own infrastructure because of its history as a free-speech video platform, including its CDN and data centers. The company is also exploring potential AI-training applications for its video data after receiving outreach from robotics companies interested in spatial and temporal video datasets, he said.
Quake AI Focuses on Compute Expansion
The company’s primary financial opportunity is expected to come from Quake AI, Massey said. The business currently operates 22,000 Hopper-generation GPUs, mainly in Europe, serving more than 50 customers across inference, training, pre-training and QLoRA workloads.
Is Rumble Revving Up for Growth or Just Sputtering? According to Massey, utilization of the existing GPU fleet improved from less than 20% in the middle of last year to more than 83% consistently during the first half of the current year. He attributed the improvement to new management and a renewed focus on execution and customer credibility following the Northern Data acquisition.
Quake AI’s largest contract to date is a multiyear, $270 million agreement with Together AI for NVIDIA B300 GPUs, Massey said. He described the contract as an initial proof point that Quake can deliver latest-generation GPU capacity at scale.
RUM Group’s central expansion opportunity is 250 megawatts of grid-connected power expected to be available in 2027. Massey said monetizing that capacity could represent a revenue run rate of more than $3 billion at current market rates, though the company must still execute on construction, customer agreements and equipment deployment.
180 megawatts are associated with a site in Atlanta, Georgia.
A smaller Pittsburgh site is expected to serve AI-native customers.
The company also has 50 megawatts in Sweden and 20 megawatts in Norway.
Massey said the Atlanta location has use permits, a Georgia Power CES agreement, an installed substation and transformers already in place. The company is engaging with multiple hyperscalers as it seeks a partner for the site, he said.
Capital Needs and Equipment Supply
In discussing the buildout, Massey said data-center capital expenditures generally range from $8 million to $12 million per megawatt. The company is targeting NVIDIA’s Vera Rubin architecture for its next generation of deployment. For an 180-megawatt project, he said the required installation could amount to roughly 40,000 to 50,000 GPUs.
Massey said the company expects that a majority of construction capital could be financed when supported by long-term, take-or-pay customer agreements. He identified selecting financeable customers and partners as a key priority.
While GPU availability remains an industry concern, Massey said management is less concerned about chip supply than about construction-related constraints, such as skilled labor, steel, uninterruptible power systems and chillers. He said the Atlanta market offers a strong labor pool and that several long-lead items, including transformers, a substation and generators, are already available.
The company has a strategic relationship with Tether, which Massey said owns nearly 50% of the combined company. He said Tether’s position as a major investor is a “tailwind” in discussions with partners because of its capital base and international reach.
Pricing and Operating Strategy
Massey said Quake’s current Hopper GPU estate generates roughly $6 million to $7 million of annual revenue per megawatt. He said latest-generation Blackwell systems have been priced at more than $11 million per megawatt annually, while future Vera Rubin deployments are expected to command a premium.
He added that demand continues to exceed supply across AI compute markets and that pricing for Hopper capacity has strengthened. Massey also argued that older GPU generations could remain useful longer than some investors expect, as customers use different hardware generations for different tasks such as retraining and recursive inference.
Quake AI intends to remain focused on infrastructure rather than expanding into software or platform-as-a-service offerings, Massey said. He said the company wants to avoid competing with customers that provide higher-level AI services, arguing that operating GPU hardware and data centers at scale remains a valuable business in its own right.
While Rumble Video remains part of the company, Massey said Quake AI’s financial results are expected to “far outstrip” those of the video platform over time. He said management believes the broader market has not yet fully recognized RUM Group’s position in AI compute as a service.
About Rumble (NASDAQ:RUM)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].
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RUM Group oznámila tržby za 2. čtvrtletí ve výši 40,37 mil. USD, meziročně o 61 % více, a zvýšila výhled tržeb na 87 až 93 mil. USD. Přesto vykázala ztrátu 28 centů na akcii.
RUM Group Inc. (NASDAQ:RUM) shares are trading marginally lower on Friday as traders continue to digest the post-earnings AI-infrastructure storyline and acquisition-driven revenue jump.
RUM Group stock is facing resistance. What’s driving RUM stock lower? What’s Driving RUM Group’s Revenue Growth?Second-quarter revenue came in at $40.37 million (up 61% year-over-year), helped by the closed Northern Data acquisition, which contributed $10.1 million of quarterly revenue and pushed results to a company record. Management also guided third-quarter revenue to $87 million to $93 million versus a Street forecast of $65.2 million that may not yet reflect the closed deal.
Despite the revenue acceleration, the quarter included a net loss of 28 cents per share, wider than the Street’s loss-of-9-cents view, keeping profitability front-and-center even as the AI narrative expands.
Rum Group CEO Chris Pavlovski called this a “transformational quarter” for the company, establishing the Quake AI cloud and AI infrastructure business alongside the Rumble video platform business.
“With Quake AI’s existing GPU estate running at 85% utilization, a new multi-year agreement with Together AI, and 250 megawatts of targeted 2027 power, which we believe represents a $3 billion-plus annual run-rate opportunity, RUM Group is uniquely positioned to power the coming robotic and agentic AI era, combining scaled AI compute with the trove of Rumble’s video data and creator community that today’s neoclouds simply don’t have,” Pavlovski said.
Critical Moving Averages Levels for RUMRUM is trading above all major moving averages, which keeps the intermediate trend constructive: the stock is 18.4% above its 20-day SMA ($6.32) and 16.4% above its 200-day SMA ($6.42). That said, the 20-day SMA is still below the 50-day SMA (a bearish short-term alignment), even as the 50-day SMA remains above the 200-day SMA after the golden cross in June.
For momentum, MACD is the cleaner read right now: it’s above its signal line and the histogram is positive, which suggests upside pressure is improving versus the prior downswing. In plain terms, when MACD is above its signal line, it often means sellers are losing control and buyers are starting to press again.
Key Resistance: $8.50 — a nearby round-number area where rebounds can stall Key Support: $6.00 — a nearby round-number level where dip-buyers may defend RUM Stock Price Movement on FridayRUM Stock Price Activity: RUM Group shares were down 0.13% at $7.53 at the time of publication on Friday, according to Benzinga Pro data.
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RUM Group Inc. (RUM - Free Report) came out with a quarterly loss of $0.15 per share versus the Zacks Consensus Estimate of a loss of $0.1. This compares to a loss of $0.14 per share a year ago. These figures are adjusted for non-recurring items.
This quarterly report represents an earnings surprise of -50.00%. A quarter ago, it was expected that this company would post a loss of $0.09 per share when it actually produced a loss of $0.11, delivering a surprise of -22.22%.
Over the last four quarters, the company has not been able to surpass consensus EPS estimates.
RUM Group Inc., which belongs to the Zacks Internet - Content industry, posted revenues of $40.37 million for the quarter ended June 2026, surpassing the Zacks Consensus Estimate by 31.66%. This compares to year-ago revenues of $25.08 million. The company has topped consensus revenue estimates three times over the last four quarters.
The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call.
RUM Group Inc. shares have added about 1% since the beginning of the year versus the S&P 500's gain of 13.3%.
What's Next for RUM Group Inc.?While RUM Group Inc. has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock?
There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately.
Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions.
Ahead of this earnings release, the estimate revisions trend for RUM Group Inc. was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.
It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is -$0.02 on $88.71 million in revenues for the coming quarter and -$0.22 on $239.63 million in revenues for the current fiscal year.
Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Internet - Content is currently in the top 42% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.
One other stock from the same industry, PodcastOne, Inc. (PODC - Free Report) , is yet to report results for the quarter ended June 2026. The results are expected to be released on August 12.
This company is expected to post quarterly loss of $0.01 per share in its upcoming report, which represents a year-over-year change of +75%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days.
PodcastOne, Inc.'s revenues are expected to be $17.84 million, up 19% from the year-ago quarter.
RUM Group dnes po uzavření trhu zveřejní výsledky; čeká se ztráta 9 centů na akcii a tržby 31,24 milionu USD. Investoři sledují první formální výhled po rebrandingu.
RUM Group Inc. (NASDAQ:RUM) shares are in the spotlight Monday with earnings slated for release today after the market close.
RUM Group shares are advancing steadily. Why is RUM stock advancing? Earnings Preview & HistoryRUM Group is expected to report a loss of 9 cents per share along with revenue of $31.24 million. For the prior quarter, the company reported a loss of 12 cents per share, missing the consensus estimate of a 9-cent loss. It also reported revenue of $25.46 million, missing the consensus estimate of $25.98 million.
What to WatchInvestors will be closely tracking the company’s first formal financial guidance since rebranding as RUM Group, as management has signaled it plans to begin providing formal guidance with this report. Progress at Quake AI, the company’s cloud and AI infrastructure business formed from the Northern Data acquisition, will also be in focus, including GPU utilization rates and updates on the $270 million in multi-year contracts previously disclosed.
Commentary on the $100 million advertising commitment from Tether — expected to scale materially in the second half of 2026 — along with monthly active user trends on Rumble’s video platform, should offer additional signals on whether the company’s dual-business strategy is gaining traction.
RUM Trades Above Its 200-Day, Below Everything ElseAt $6.49, RUM is trading 9.1% above its 20-day SMA ($6.01), but it remains 2.7% below its 50-day SMA ($6.74) and 0.8% below its 100-day SMA ($6.61), keeping the intermediate trend in "prove it" mode. The stock is also 2.1% above its 200-day SMA ($6.42), a constructive longer-term tell as long as it can stay north of that line on pullbacks.
Momentum is neutral: RSI sits at 50.74, which generally signals the stock isn’t stretched and is still deciding between range trade and trend continuation. In that context, traders often watch for RSI to push and hold above the midline as confirmation that upside pressure is building rather than fading.
The moving-average structure is mixed, with the 20-day SMA still below the 50-day SMA (a bearish short-term alignment), even after the golden cross in June when the 50-day SMA moved above the 200-day SMA. That combination often shows up in "repair" phases—longer-term trend improving, but the stock still needs follow-through to reclaim the 50-day and 100-day areas.
Recent turning points also frame the current setup: a swing high formed in June, followed by a swing low in July, and the stock broke above resistance in July before later breaking below support in July—classic chop that can trap both sides. From here, a sustained hold above the 200-day area improves the odds that the July low becomes a more durable floor.
Key Resistance: $6.50 — a nearby round-number area that’s also close to the 100-day SMA zone, where rebounds can stall Key Support: $6.00 — a nearby psychological level that sits close to the 20-day SMA area and has been a spot where buyers previously stepped in Read Next
RUM Shares Race HigherRUM Price Action: At the time of publication, RUM shares are trading 2.90% higher at $6.57, according to data from Benzinga Pro.
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This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
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Digital media platform Rumble Inc. (RUM 0.24%), known for video sharing and livestreaming, just recorded a notable insider buy amid ongoing sector competition.
Tether Global Investments Fund reported an open-market acquisition of 4,599,365 shares for a transaction value of approximately $36.2 million, as disclosed in the SEC Form 4 filing.
Transaction summaryMetricValueShares traded4,599,365Transaction value$36.2 millionPost-transaction shares (direct)0Post-transaction shares (indirect)141,877,369Post-transaction value (direct ownership)~$0Transaction value based on SEC Form 4 weighted average purchase price ($7.88); post-transaction value based on June 17, 2026 SEC Form 4 reported position value ($0.00).
Key questionsWhat structure or mechanism governed the acquisition of Rumble shares in this transaction?
This acquisition was conducted through the exercise of derivative securities, specifically pre-funded warrants, by Tether Investments, S.A. de C.V, a wholly owned subsidiary of Tether Global Investments Fund, S.I.C.A.F. S.A, with all shares held indirectly post-transaction.How did this transaction affect the insider's overall ownership and stake in Rumble?
The transaction resulted in indirect Class A holdings of 141,877,369 shares after completion, while direct ownership remained unchanged at zero.What is the significance of the remaining pre-funded warrants and indirect holdings for future equity exposure?
With 154,408,073 pre-funded warrants still outstanding (all indirect), Tether Global Investments Fund, S.I.C.A.F. S.A. retains the capacity to further increase its Class A Common Stock exposure in line with voting limitations and capital allocation strategy.How does the transaction size compare to previous activity, and does it signal a change in cadence?
While the 4.6 million shares acquired are higher than the only other previously reported transaction (777,012 shares in February 2026), the overall cadence remains episodic, with only two acquisition events disclosed since February of this year, likely reflecting transaction-specific capacity constraints and contractual considerations rather than a trend shift.Company overviewMetricValuePrice (as of market close 2026-06-17)$7.88Market capitalization$2.71 billionRevenue (TTM)$102.38 millionNet income (TTM)-$109.45 million* 1-year performance is calculated using June 17th, 2026 as the reference date.
Company snapshotOffers a video sharing platform, livestreaming and monetization tools, an in-house advertising marketplace, and a crypto wallet; generates revenue from advertising, subscriptions, pay-per-view, and tipping services.Operates a multi-sided platform business model, monetizing both content creators and advertisers through digital media distribution and cloud infrastructure services.Serves content creators, media organizations, and audiences seeking alternative video platforms in the United States, Canada, and international markets.Rumble Inc. is a digital media and cloud services company specializing in video sharing, livestreaming, and advertising solutions. The company leverages a proprietary platform to enable content creators to reach audiences and monetize their work through multiple channels. Its integrated cloud and advertising offerings position it as a competitive alternative in the online video and digital infrastructure space.
What this transaction means for investorsThether continues to show faith in streaming platform Rumble by converting more of its warrants into shares. Tether’s buying habits over the past year have acted as a backstop for Rumble shares, with the El Salvador-based crypto business buying at what have turned out to be near-term lows.
This time, however, Tether hasn’t had time to see a bearish move play out, with shares continuing to slip after this reported purchase. That timing likely matters little to Tether, which has amassed a diverse portfolio of crypto, gold, and equity in multiple companies, worth at least $10 billion.
While it isn’t perfectly clear how a streaming business fits in with a primarily crypto-focused outlet, the two businesses have affinities among management that suggest Tether is a long-term investor in Rumble. Rumble management, for its part, sees Tether’s other portfolio companies as natural customers of its products.
For those considering an investment in Rumble, take the latest share buy as a sign that Tether will continue to support the business and its shares for the foreseeable future.
Brendan Coffey has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.
