Oppenheimer Reiterates Perform Rating on Rumble, Inc. (RUM)

Oppenheimer analyst Jason Helfstein reiterated a Perform rating and {REMOVEPT} price target on Rumble, Inc. (NASDAQ: RUM).

The analyst commented, "While MAUs growing, engagement and monetization were weaker than expected, offset by content/opex moderation, resulting in higher EBITDA/FCF. MAUs +16% q/q vs. minutes -2% q/q on migration to proprietary content network and YouTube removing automatic creator sync. Revenue +13% q/q, but 28% below Opco, while gross profit $1M above on lower content costs (guarantees $106M vs. 3Q's $123M). While mgmt. seeing momentum from new adtech stack beginning in March, it doesn't expect a revenue impact until 2Q. Now forecasting '24E/'25E revenue +27%/+8% y/y vs. prior +107%/+8%, with '24E/'25E EBITDA losses ($105M)/($20M) vs. prior ($102M)/($51M), with cumulative cash burn through '26E at $190M vs. current cash balance $218M. Maintaining Perform rating at 18x '25E sales vs. PINS/SNAP at 5.0x/3.5x."

For an analyst ratings summary and ratings history on Rumble, Inc. click here. For more ratings news on Rumble, Inc. click here.

Shares of Rumble, Inc. closed at $8.50 yesterday.

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