Rumble stock surges 34.6% after $775 million investment from Tether, potential crypto ties

From Nasdaq: 2024-12-26 12:20:30

Rumble (NASDAQ: RUM) stock is surging, up 34.6% as of midday trading. The company is set to receive a $775 million investment from Tether, turning it into a meme stock and driving speculative gains. Rumble stock is up 133% over the past week, with $250 million of the investment going towards business operations and growth, and $525 million for share buybacks. Investors are excited about potential crypto ties and future financial support from Tether. However, the stock’s recent gains may be more hype-driven than fundamental.

Rumble announced plans to make Bitcoin investments a significant part of its balance sheet, leading to stock gains. While the stock is currently driven by hype and meme stock status, there is high downside risk at current prices due to weak engagement and monetization metrics. Potential investors should consider The Motley Fool’s recommended 10 best stocks to buy now, which doesn’t include Rumble. Stock Advisor provides a blueprint for success with regular updates and stock picks, outperforming the S&P 500 since 2002.



Read more at Nasdaq: Why Rumble Stock Is Skyrocketing Today