Algorhythm Holdings (RIME)
NASDAQ:RIME
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Algorhythm Holdings
(NASDAQ:RIME)
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Rating:46Neutral
Price Target:
$1.00
▼(-16.67% Downside)
Action:ReiteratedDate:04/02/26
The score is held down primarily by weak financial performance (revenue collapse, negative gross profit, negative equity, and accelerating cash burn) and a technically weak downtrend (below key moving averages with negative MACD). Positive earnings-call guidance around SemiCab/Apex and growth targets provides some offset, but is not yet reflected in the financial statements, while valuation signals are limited due to a negative P/E and no dividend support.
Positive Factors
High-margin SaaS launch
SemiCab Apex represents a structural shift toward cloud-based, recurring revenue with higher gross margins than asset-heavy logistics. Over 2–6 months, SaaS adoption and integration into U.S./global markets can materially improve margin sustainability, scalability, and predictable cash flows if execution and customer conversions proceed.
Negative Factors
Severe revenue decline and negative gross profit
A dramatic revenue collapse and negative gross profit indicate core product economics are impaired. Restoring topline and correcting unit economics are prerequisites for durable recovery; without meaningful improvement, scaling new SaaS offerings will be harder and margin recovery slower, extending funding needs.
Read all positive and negative factors
Positive Factors
Negative Factors
High-margin SaaS launch
SemiCab Apex represents a structural shift toward cloud-based, recurring revenue with higher gross margins than asset-heavy logistics. Over 2–6 months, SaaS adoption and integration into U.S./global markets can materially improve margin sustainability, scalability, and predictable cash flows if execution and customer conversions proceed.
Read all positive factors
Algorhythm Holdings (RIME) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$15.53M
Dividend YieldN/A
Average Volume (3M)60.76K
Price to Earnings (P/E)―
Beta (1Y)-0.49
Revenue GrowthN/A
EPS GrowthN/A
CountryUS
Employees25
SectorTechnology
Sector Strength88
IndustryConsumer Electronics
Share Statistics
EPS (TTM)N/A
Shares Outstanding14,651,665
10 Day Avg. Volume43,346
30 Day Avg. Volume60,758
Financial Highlights & Ratios
PEG Ratio>-0.01
Price to Book (P/B)-21.37
Price to Sales (P/S)0.57
P/FCF Ratio-0.34
Enterprise Value/Market Cap0.79
Enterprise Value/Revenue1.58
Enterprise Value/Gross Profit25.40
Enterprise Value/Ebitda-0.80
Forecast
1Y Price TargetN/A
Price Target UpsideN/A
Rating ConsensusN/A
Number of Analyst Covering0
EPS Forecast (FY)N/A
Revenue Forecast (FY)N/A
Algorhythm Holdings Business Overview & Revenue Model
Company Description
Algorhythm Holdings, Inc., together with its subsidiaries, engages in the development, marketing, and sale of consumer karaoke audio equipment, accessories, and musical recordings in North America, Australia, the United Kingdom, Europe, and intern...
Algorhythm Holdings Financial Statement Overview
Summary
Income Statement
18
Very Negative
Balance Sheet
24
Negative
Cash Flow
15
Very Negative
| Breakdown | Mar 2026 | Mar 2025 | Jun 2023 | Jun 2022 | Jun 2021 |
|---|---|---|---|---|---|
Income Statement | |||||
| Total Revenue | 4.39M | 23.49M | 38.93M | 39.30M | 47.51M |
| Gross Profit | -1.31M | 4.78M | 8.25M | 9.21M | 10.81M |
| EBITDA | -14.17M | -22.02M | -7.81M | -2.18M | 1.91M |
| Net Income | -16.05M | -23.26M | -8.53M | -4.64M | 230.00K |
Balance Sheet | |||||
| Total Assets | 12.72M | 18.30M | 27.71M | 16.65M | 34.06M |
| Cash, Cash Equivalents and Short-Term Investments | 1.63M | 7.55M | 6.70M | 2.90M | 7.38M |
| Total Debt | 11.40M | 650.00K | 4.01M | 735.65K | 10.78M |
| Total Liabilities | 14.58M | 28.82M | 20.14M | 6.32M | 22.26M |
| Stockholders Equity | -117.00K | -9.48M | 7.58M | 10.33M | 11.80M |
Cash Flow | |||||
| Free Cash Flow | -7.32M | -8.63M | 457.33K | -574.00K | -2.13M |
| Operating Cash Flow | -7.31M | -8.56M | 548.00K | -330.00K | -2.01M |
| Investing Cash Flow | -167.00K | -2.25M | -109.00K | -244.00K | -118.00K |
| Financing Cash Flow | 8.93M | 11.65M | 1.67M | 1.18M | 4.02M |
Algorhythm Holdings Technical Analysis
Negative
1.20
Price Trends
1.47
Negative
1.38
Negative
1.84
Negative
Market Momentum
-0.12
Positive
42.74
Neutral
30.40
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For RIME, the sentiment is Negative. The current price of 1.2 is below the 20-day moving average (MA) of 1.22, below the 50-day MA of 1.47, and below the 200-day MA of 1.84, indicating a bearish trend. The MACD of -0.12 indicates Positive momentum. The RSI at 42.74 is Neutral, neither overbought nor oversold. The STOCH value of 30.40 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for RIME.
Algorhythm Holdings Risk Analysis
Algorhythm Holdings disclosed 46 risk factors in its most recent earnings report. Algorhythm Holdings reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 3 New Risks
1.
Our charter provides for limitations of director liability and indemnification of directors and officers and employees. Q1, 2023
2.
If securities analysts do not publish research or reports about our business or if they publish negative evaluations of our stock, the price of our common stock could decline. Q1, 2023
3.
A possible "short squeeze" due to a sudden increase in demand of our common stock that largely exceeds supply may lead to price volatility in our common stock. Q1, 2023
Algorhythm Holdings Peers Comparison
UnderperformOutperform
Sector (61)
RIME
Algorhythm Holdings
1.08
-1.45
-57.31%
MSN
Emerson Radio
0.41
0.01
3.50%
WTO
UTime
2.53
-797.47
-99.68%
FOXX
Foxx Development Holdings
5.36
0.75
16.36%
WLDS
Wearable Devices Ltd.
1.44
-3.93
-73.18%
FEBO
Fenbo Holdings Limited
1.11
-0.05
-4.31%
Algorhythm Holdings Corporate Events
Business Operations and StrategyExecutive/Board Changes
Algorhythm Holdings Amends CEO Contract and Equity Incentives
Positive
Feb 27, 2026
On February 23, 2026, Algorhythm Holdings entered into an amended and restated three-year employment agreement with Chief Executive Officer Gary Atkinson, replacing his April 22, 2022 contract and providing for automatic one-year renewals. The new...
Business Operations and StrategyPrivate Placements and Financing
Algorhythm Holdings Secures New Pre-Paid Financing Agreement
Neutral
Feb 23, 2026
On February 17, 2026, Algorhythm Holdings, Inc. entered into a fourth secured pre-paid purchase agreement with Streeterville Capital, LLC under an existing securities purchase framework of up to $20 million, issuing a $10.355 million pre-paid purc...
Other
Algorhythm Holdings Updates Outstanding Common Share Count
Neutral
Jan 23, 2026
As of January 21, 2026, Algorhythm Holdings, Inc. reported that it had 5,758,102 shares of common stock, with a par value of $0.01 per share, issued and outstanding. This share count disclosure provides investors and other stakeholders with an upd...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.