Lake Street Initiated Coverage of Rumble With Buy Rating
Analyst coverage suggests significant potential upside for the platform as it pivots toward AI infrastructure services.
Updated on Oct. 10, 2026 in Stock Picks
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Lake Street has initiated coverage of Rumble Group with a Buy rating and a $25 price target, signaling confidence in the company's expansion. This move follows a period of growth that has seen Rumble shares rise 21% year to date.
Why it matters
The analyst firm attributes its optimistic valuation to Rumble's strategic pivot toward cloud services and high-performance AI infrastructure. This shift is bolstered by long-term revenue visibility from significant enterprise agreements and expanded power capacity.
Lake Street sets a $25 price target for Rumble, which projects a 226% upside for the stock. This follows the June acquisition of Northern Data for roughly $767 million, providing 250 megawatts of power capacity.
The players
Rumble Group
This company operates a media platform and is actively expanding into cloud computing and AI infrastructure.
Lake Street
This is an investment firm that provides research and equity coverage on various market sectors.
Anthropic
This is an artificial intelligence research and safety company that has entered into a major multi-year service agreement with Rumble.
Northern Data
This German-based firm specializes in high-performance computing and was acquired by Rumble to bolster its power capacity.
The details
Rumble is scaling its operations by integrating its media platform with the Quake AI infrastructure unit, utilizing newly acquired power to support data center development. The company also secured a six-year, $13.7 billion agreement with Anthropic to solidify its position in the cloud and AI sectors.
Timeline
In June 2026, Rumble acquired Northern Data for approximately $767 million.
On Tuesday, October 6, 2026, Rumble shares gained 3%.
On Wednesday, October 7, 2026, Rumble shares rose nearly 4% in premarket trading.
Market Dynamics
This move reflects the broader industry-wide pivot toward AI-dedicated cloud infrastructure that is currently reshaping the tech sector. By securing massive power capacity, Rumble is positioning itself to compete directly with legacy data center providers.
Retail investors should note that the analyst's high price target is predicated on successful execution of long-term AI infrastructure goals rather than immediate media platform growth. Potential shareholders must weigh this growth potential against the historical volatility associated with speculative tech pivots.
The takeaway
Rumble's rapid transition from a media-focused platform to an AI infrastructure player highlights the massive capital expenditure required to stay relevant in the current tech landscape. Investors should closely monitor whether the company successfully integrates its high-capacity power assets to meet long-term revenue targets.
Further reading
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Source note: This article includes information reported by Icohol.
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