Tearsheet

Algorhythm (RIME)


Market Price (12/4/2025): $1.39 | Market Cap: $3.4 Mil
Sector: Consumer Discretionary | Industry: Consumer Electronics

Algorhythm (RIME)


Market Price (12/4/2025): $1.39
Market Cap: $3.4 Mil
Sector: Consumer Discretionary
Industry: Consumer Electronics

Investment Highlights Why It Matters Which of these 2 stories sounds closer for this stock?

1. Generates cash flow

The stock generated 4% or more of the share price (called cash flow yield), and shows moderate 10-15% or more growth.

2. Riding a trend

Think Tesla during the pandemic of 2020 when EVs were riding a cultural high, or Nvidia in the current AI boom, or even Figma. These companies don’t have enough yield, or, enough growth, or both - however - they are riding a trend. They have momentum. These can be more volatile - they don’t have the floor of strong cash flow


0 Megatrend and thematic drivers
Megatrends include Artificial Intelligence, and Autonomous Technologies. Themes include AI Software Platforms, Edge AI, Show more.
Weak multi-year price returns
2Y Excs Rtn is -150%, 3Y Excs Rtn is -173%
Not profitable at operating income level
Op Inc LTMOperating Income, Last Twelve Months is -9.4 Mil, Op Mgn LTMOperating Margin = Operating Income / Revenue Reflects profitability before taxes and before impact of capital structure (interest payments). is -40%
1   Weak revenue growth
Rev Chg 3Y AvgRevenue Change % averaged over trailing 3 years is -19%
2   Not cash flow generative
CFO/Rev LTMCash Flow from Operations / Revenue (Sales), Last Twelve Months (LTM) is -37%, FCF/Rev LTMFree Cash Flow / Revenue (Sales), Last Twelve Months (LTM) is -37%
3   Valuation getting more expensive
P/S 6M Chg %Price/Sales change over 6 months. Declining P/S indicates valuation has become less expensive. is 2844%
4   Yield minus risk free rate is negative
ERPEquity Risk Premium (ERP) = Total Yield - Risk Free Rate, Reflects the premium above risk free assets offered by the investment. is -409%
5   High stock price volatility
Vol 12M is 149%
0 Megatrend and thematic drivers
Megatrends include Artificial Intelligence, and Autonomous Technologies. Themes include AI Software Platforms, Edge AI, Show more.
1 Weak multi-year price returns
2Y Excs Rtn is -150%, 3Y Excs Rtn is -173%
2 Not profitable at operating income level
Op Inc LTMOperating Income, Last Twelve Months is -9.4 Mil, Op Mgn LTMOperating Margin = Operating Income / Revenue Reflects profitability before taxes and before impact of capital structure (interest payments). is -40%
3 Weak revenue growth
Rev Chg 3Y AvgRevenue Change % averaged over trailing 3 years is -19%
4 Not cash flow generative
CFO/Rev LTMCash Flow from Operations / Revenue (Sales), Last Twelve Months (LTM) is -37%, FCF/Rev LTMFree Cash Flow / Revenue (Sales), Last Twelve Months (LTM) is -37%
5 Valuation getting more expensive
P/S 6M Chg %Price/Sales change over 6 months. Declining P/S indicates valuation has become less expensive. is 2844%
6 Yield minus risk free rate is negative
ERPEquity Risk Premium (ERP) = Total Yield - Risk Free Rate, Reflects the premium above risk free assets offered by the investment. is -409%
7 High stock price volatility
Vol 12M is 149%

Valuation, Metrics & Events

RIME Stock


Why The Stock Moved


Qualitative Assessment

AI Generated Analysis | Feedback

Here are the key points explaining the -36% stock movement for Algorhythm (RIME) from approximately August 31, 2025, to December 4, 2025: 1. Poor Q2 2025 Earnings and Weak Financial Health. Algorhythm's stock experienced a significant drop following its Q2 2025 earnings report on August 20, 2025, falling 22.57% in regular trading and an additional 6.95% in premarket trading. The report highlighted a "Weak" overall financial health rating, profitability concerns, decreased sales with major customers like Walmart, reduced gross margins, and a substantial net loss partly due to a non-cash write-off of impaired operating lease assets. This negative sentiment likely carried over and contributed to the stock's continued decline in the subsequent period.

2. Strategic Business Transformation and Associated Uncertainty. The company completed the sale of its legacy Singing Machine karaoke business for $4.5 million, marking a strategic shift to become an AI technology-focused distribution and logistics firm, primarily through its SemiCab subsidiary. While this transformation aims for future growth, such significant changes can introduce short-term market uncertainty and volatility as investors evaluate the company's new direction and the execution risks involved.

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Stock Movement Drivers

Return vs. Risk


Price Returns Compared

 202020212022202320242025Total [1]
Returns
RIME Return42%-25%1632%-77%-91%-92%-97%
Peers Return59%10%-48%2%12%-2%0%
S&P 500 Return16%27%-19%24%23%16%112%

Monthly Win Rates [3]
RIME Win Rate42%50%33%25%33%30% 
Peers Win Rate55%45%35%48%47%50% 
S&P 500 Win Rate58%75%42%67%75%70% 

Max Drawdowns [4]
RIME Max Drawdown-66%-38%-48%-84%-93%-93% 
Peers Max Drawdown-48%-10%-56%-32%-28%-48% 
S&P 500 Max Drawdown-31%-1%-25%-1%-2%-15% 


[1] Cumulative total returns since the beginning of 2020
[2] Peers: GRMN, SONO, GPRO, UEIC, TBCH.
[3] Win Rate = % of calendar months in which monthly returns were positive
[4] Max drawdown represents maximum peak-to-trough decline within a year
[5] 2025 data is for the year up to 12/3/2025 (YTD)

How Low Can It Go

Unique KeyEventRIMES&P 500
2022 Inflation Shock2022 Inflation Shock  
2022 Inflation Shock% Loss% Loss-92.5%-25.4%
2022 Inflation Shock% Gain to Breakeven% Gain to Breakeven1238.6%34.1%
2022 Inflation ShockTime to BreakevenTime to BreakevenNot Fully Recovered days464 days
2020 Covid Pandemic2020 Covid Pandemic  
2020 Covid Pandemic% Loss% Loss-68.4%-33.9%
2020 Covid Pandemic% Gain to Breakeven% Gain to Breakeven216.6%51.3%
2020 Covid PandemicTime to BreakevenTime to Breakeven100 days148 days
2018 Correction2018 Correction  
2018 Correction% Loss% Loss-68.0%-19.8%
2018 Correction% Gain to Breakeven% Gain to Breakeven212.7%24.7%
2018 CorrectionTime to BreakevenTime to Breakeven1015 days120 days
2008 Global Financial Crisis2008 Global Financial Crisis  
2008 Global Financial Crisis% Loss% Loss-98.1%-56.8%
2008 Global Financial Crisis% Gain to Breakeven% Gain to Breakeven5133.3%131.3%
2008 Global Financial CrisisTime to BreakevenTime to Breakeven4548 days1480 days

Compare to GRMN, SONO, GPRO, UEIC, TBCH


In The Past

Algorhythm's stock fell -92.5% during the 2022 Inflation Shock from a high on 8/19/2022. A -92.5% loss requires a 1238.6% gain to breakeven.

Preserve Wealth

Limiting losses and compounding gains is essential to preserving wealth over time.

Asset Allocation

Actively managed asset allocation strategies protect wealth. Learn more.

About Algorhythm (RIME)

Better Bets than Algorhythm (RIME)

Latest Trefis Analyses

Title
0ARTICLES

Trade Ideas

Select past ideas related to RIME. For more, see Trefis Trade Ideas.

Unique KeyDateTickerCompanyCategoryTrade Strategy6M Fwd Rtn12M Fwd Rtn12M Max DD
BBWI_11302025_Dip_Buyer_1M_Insider_Buying_GTE_1Mil_EBITp+DE11302025BBWIBath & Body WorksDip BuyDB | Insider Buys | Low D/EDip Buy with Strong Insider Buying
Buying dips for companies with strong insider buying in the last 1 month, positive operating income and reasonable debt / market cap
6.8%6.8%0.0%
HRB_11262025_Dip_Buyer_FCFYield11262025HRBH&R BlockDip BuyDB | FCFY OPMDip Buy with High FCF Yield and High Margin
Buying dips for companies with high FCF yield and meaningfully high operating margin
0.5%0.5%0.0%
LRN_11262025_Dip_Buyer_FCFYield11262025LRNStrideDip BuyDB | FCFY OPMDip Buy with High FCF Yield and High Margin
Buying dips for companies with high FCF yield and meaningfully high operating margin
-2.6%-2.6%-2.6%
ABNB_11212025_Dip_Buyer_FCFYield11212025ABNBAirbnbDip BuyDB | FCFY OPMDip Buy with High FCF Yield and High Margin
Buying dips for companies with high FCF yield and meaningfully high operating margin
3.7%3.7%0.0%
MTN_11212025_Dip_Buyer_FCFYield11212025MTNVail ResortsDip BuyDB | FCFY OPMDip Buy with High FCF Yield and High Margin
Buying dips for companies with high FCF yield and meaningfully high operating margin
1.3%1.3%-1.6%
Unique KeyDateTickerCompanyCategoryTrade Strategy6M Fwd Rtn12M Fwd Rtn12M Max DD
BBWI_11302025_Dip_Buyer_1M_Insider_Buying_GTE_1Mil_EBITp+DE11302025BBWIBath & Body WorksDip BuyDB | Insider Buys | Low D/EDip Buy with Strong Insider Buying
Buying dips for companies with strong insider buying in the last 1 month, positive operating income and reasonable debt / market cap
6.8%6.8%0.0%
HRB_11262025_Dip_Buyer_FCFYield11262025HRBH&R BlockDip BuyDB | FCFY OPMDip Buy with High FCF Yield and High Margin
Buying dips for companies with high FCF yield and meaningfully high operating margin
0.5%0.5%0.0%
LRN_11262025_Dip_Buyer_FCFYield11262025LRNStrideDip BuyDB | FCFY OPMDip Buy with High FCF Yield and High Margin
Buying dips for companies with high FCF yield and meaningfully high operating margin
-2.6%-2.6%-2.6%
ABNB_11212025_Dip_Buyer_FCFYield11212025ABNBAirbnbDip BuyDB | FCFY OPMDip Buy with High FCF Yield and High Margin
Buying dips for companies with high FCF yield and meaningfully high operating margin
3.7%3.7%0.0%
MTN_11212025_Dip_Buyer_FCFYield11212025MTNVail ResortsDip BuyDB | FCFY OPMDip Buy with High FCF Yield and High Margin
Buying dips for companies with high FCF yield and meaningfully high operating margin
1.3%1.3%-1.6%

Recent Active Movers

Recent Active Movers

More From Trefis

Peer Comparisons for Algorhythm

Peers to compare with:

Financials

RIMEGRMNSONOGPROUEICTBCHMedian
NameAlgorhyt.Garmin Sonos GoPro Universa.Turtle B. 
Mkt Price1.42199.4619.051.853.3313.988.66
Mkt Cap0.038.42.30.30.00.30.3
Rev LTM236,9431,411651391347521
Op Inc LTM-91,778-70-89-623-8
FCF LTM-91,33257-65273430
FCF 3Y Avg-51,22257-59152420
CFO LTM-91,56396-61343635
CFO 3Y Avg-51,419107-56262827

Growth & Margins

RIMEGRMNSONOGPROUEICTBCHMedian
NameAlgorhyt.Garmin Sonos GoPro Universa.Turtle B. 
Rev Chg LTM-0.4%16.6%-10.0%-27.4%2.4%6.4%1.0%
Rev Chg 3Y Avg-19.3%12.2%-7.7%-17.3%-11.0%12.2%-9.4%
Rev Chg Q11.3%11.7%-13.2%-37.1%-11.3%-14.7%-12.2%
QoQ Delta Rev Chg LTM1.2%2.7%-3.6%-12.9%-2.9%-3.9%-3.2%
Op Mgn LTM-40.1%25.6%-5.0%-13.7%-1.5%6.5%-3.2%
Op Mgn 3Y Avg-26.3%23.2%-2.6%-10.4%-3.8%-0.3%-3.2%
QoQ Delta Op Mgn LTM7.0%-0.4%-1.1%-2.9%-1.1%-0.9%-1.0%
CFO/Rev LTM-36.8%22.5%6.8%-9.4%8.8%10.5%7.8%
CFO/Rev 3Y Avg-21.9%23.9%7.1%-6.9%6.4%9.2%6.7%
FCF/Rev LTM-37.0%19.2%4.0%-9.9%6.9%9.7%5.5%
FCF/Rev 3Y Avg-22.3%20.5%3.9%-7.2%3.7%8.1%3.8%

Valuation

RIMEGRMNSONOGPROUEICTBCHMedian
NameAlgorhyt.Garmin Sonos GoPro Universa.Turtle B. 
Mkt Cap0.038.42.30.30.00.30.3
P/S0.36.80.90.50.20.90.7
P/EBIT-0.326.7-16.7-2.9-10.811.0-1.6
P/E-0.230.2-17.0-2.8-2.817.5-1.5
P/CFO-0.730.313.5-5.51.88.85.3
Total Yield-405.2%4.7%-5.9%-36.1%-35.5%5.7%-20.7%
Dividend Yield0.0%1.3%0.0%0.0%0.0%0.0%0.0%
FCF Yield 3Y Avg-6,917.6%4.0%3.8%-19.7%19.6%11.0%3.9%
D/E0.50.00.00.60.50.30.4
Net D/E0.3-0.1-0.10.4-0.00.20.1

Returns

RIMEGRMNSONOGPROUEICTBCHMedian
NameAlgorhyt.Garmin Sonos GoPro Universa.Turtle B. 
1M Rtn-32.1%-5.3%13.3%0.5%-13.3%-15.9%-9.3%
3M Rtn-30.4%-15.5%35.4%25.0%-30.0%-5.9%-10.7%
6M Rtn-50.5%-1.9%87.5%169.6%-52.4%14.6%6.4%
12M Rtn-96.3%-4.7%34.2%48.0%-72.8%-20.7%-12.7%
3Y Rtn-99.9%125.4%5.0%-66.6%-85.5%39.5%-30.8%
1M Excs Rtn-32.0%-5.2%13.4%0.6%-13.2%-15.9%-9.2%
3M Excs Rtn-31.0%-21.1%27.2%21.4%-36.7%-14.3%-17.7%
6M Excs Rtn-65.2%-16.6%72.8%154.9%-67.1%-0.1%-8.4%
12M Excs Rtn-110.2%-18.3%26.4%36.9%-84.8%-32.8%-25.5%
3Y Excs Rtn-172.7%64.3%-62.6%-137.8%-157.8%-20.5%-100.2%

Financials

Price Behavior

Short Interest

Short Interest: As Of Date11142025
Short Interest: Shares Quantity104,691
Short Interest: % Change Since 1031202524.1%
Average Daily Volume67,133
Days-to-Cover Short Interest1.56
Basic Shares Quantity2,472,464
Short % of Basic Shares4.2%

SEC Filings

Expand for More

Report DateFiling DateFiling
6302025819202510-Q 6/30/2025
3312025515202510-Q 3/31/2025
12312024415202510-K 12/31/2024
93020241119202410-Q 9/30/2024
6302024819202410-Q 6/30/2024
3312024515202410-Q 3/31/2024
12312023415202410-KT 12/31/2023
93020231120202310-Q 9/30/2023
6302023818202310-Q 6/30/2023
3312023714202310-K 3/31/2023
12312022221202310-Q 12/31/2022
93020221114202210-Q 9/30/2022
6302022822202210-Q 6/30/2022
3312022714202210-K 3/31/2022
12312021214202210-Q 12/31/2021
93020211122202110-Q 9/30/2021

Insider Activity

Expand for More

 OwnerTitleFiling DateActionPriceSharesTransacted
Value
Value of
Held Shares
Form
0Stingray Group Inc.2192025Sell0.265,4941,428708Form