RYTHM (RYM) AI Stock Analysis

• Market Cap: $67.05M
• Dividend Yield: N/A
• Average Volume (3M): 151.92K
• Price to Earnings (P/E): ―
• Beta (1Y): 2.20
• Revenue Growth: -15.48%
• EPS Growth: -155.83%
• Country: US
• Employees: 11
• Sector: Industrials
• Sector Strength: 72
• Industry: Agricultural - Machinery
• EPS (TTM): -5.33
• Shares Outstanding: 2,149,128
• 10 Day Avg. Volume: 418,718
• 30 Day Avg. Volume: 151,923
• PEG Ratio: <0.01
• Price to Book (P/B): 1.06
• Price to Sales (P/S): 3.06
• P/FCF Ratio: -2.55
• Enterprise Value/Market Cap: 2.05
• Enterprise Value/Revenue: 15.63
• Enterprise Value/Gross Profit: -274.31
• Enterprise Value/Ebitda: -4.95
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 39 Underperform
• Price Target: $22.50 ▲(14.85% Upside)

The overall stock score is primarily impacted by significant financial challenges, including declining revenues, persistent losses, and negative cash flows. Technical analysis indicates a bearish trend, further weighing on the score. The negative P/E ratio and lack of dividend yield highlight valuation concerns. The strategic shift in discontinuing the extraction business adds to the negative outlook.

Positive Factors

Business Model Diversification

A diversified business model with multiple revenue streams enhances resilience against market fluctuations and supports long-term growth.

Strategic Partnerships

Partnerships with industry players strengthen market position and attract a larger user base, contributing to sustainable revenue growth.

Technology Integration

Integration of advanced technology into its platform positions RYTHM as an innovative leader, enhancing user experience and competitive edge.

Negative Factors

Declining Revenue

Consistent revenue decline indicates challenges in market demand or competitive pressures, impacting long-term financial stability.

Negative Cash Flow

Inability to generate positive cash flow limits reinvestment capacity and may hinder future growth and operational flexibility.

Discontinuation of Extraction Business

Discontinuing a business segment reflects operational restructuring, which may lead to short-term disruptions and financial adjustments.

RYTHM Business Overview & Revenue Model

Company Description

RYTHM (RYM) is a technology company focused on enhancing user experience through innovative solutions in the fields of music streaming, wellness, and social connectivity. The company leverages cutting-edge technology to provide a unique platform that integrates music, mental wellness resources, and community engagement, catering to diverse user needs across various demographics and regions.

How the Company Makes Money

RYTHM generates revenue through multiple streams, including subscription fees from users accessing premium features on its music streaming platform, advertising revenue from free-tier users, and partnerships with wellness brands for integrated services. Additionally, the company may earn income from affiliate marketing through sales of wellness-related products and services promoted on its platform. Strategic collaborations with music labels and content creators further enhance its content offerings and attract a larger user base, contributing to overall earnings.

RYTHM Financial Statement Overview

Summary

Agrify is facing significant financial challenges. The income statement shows declining revenues and persistent losses, while the balance sheet indicates issues with equity and leverage. The cash flow statement underscores the company's struggle to generate positive cash flows, raising concerns about its financial health and sustainability.

Income Statement

Agrify has experienced a significant decline in revenue over the past few years, with a severe drop in total revenue from 2022 to 2023. The company also shows negative net and gross profit margins, indicating a lack of profitability. The consistently negative EBIT and EBITDA margins further highlight operational challenges.

Balance Sheet

The balance sheet reveals a moderately concerning financial situation with fluctuating equity. While the company has reduced its total debt significantly, the debt-to-equity ratio remains unfavorable due to negative equity in previous years. The equity ratio is improving, yet it is still below optimal levels for financial stability.

Cash Flow

Agrify's cash flow statement indicates negative free cash flow across multiple years, showing an inability to generate positive cash flow from operations. The operating cash flow to net income ratio is unfavorable, pointing to challenges in converting earnings into cash. The lack of sustainable free cash flow growth is a concern.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	8.78M	9.68M	15.14M	58.26M	59.86M	12.09M
Gross Profit	-500.00K	665.00K	4.02M	-31.80M	5.23M	570.00K
EBITDA	-27.73M	-26.68M	-9.39M	-119.62M	-32.35M	-12.21M
Net Income	-44.01M	-41.75M	-18.65M	-188.17M	-32.47M	-21.62M
Balance Sheet
Total Assets	115.15M	54.02M	45.69M	69.69M	182.05M	21.84M
Cash, Cash Equivalents and Short-Term Investments	35.57M	31.17M	434.00K	10.92M	56.56M	8.11M
Total Debt	90.62M	11.04M	21.80M	31.71M	2.77M	13.47M
Total Liabilities	103.43M	25.93M	60.40M	78.73M	44.62M	28.29M
Stockholders Equity	11.72M	27.86M	-14.94M	-9.27M	137.06M	-6.68M
Cash Flow
Free Cash Flow	-25.86M	-11.59M	-31.03M	-80.16M	-32.47M	-14.92M
Operating Cash Flow	-25.85M	-11.58M	-30.97M	-72.02M	-30.15M	-14.78M
Investing Cash Flow	-55.47M	-54.00K	25.17M	-2.32M	-104.74M	-1.23M
Financing Cash Flow	116.63M	42.37M	-4.23M	72.78M	138.79M	23.91M

RYTHM Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 19.59
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For RYM, the sentiment is Negative. The current price of 19.59 is below the 20-day moving average (MA) of 20.80, below the 50-day MA of 30.30, and below the 200-day MA of 27.43, indicating a neutral trend. The MACD of -0.49 indicates Negative momentum. The RSI at 53.85 is Neutral, neither overbought nor oversold. The STOCH value of 39.92 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for RYM.

RYTHM Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
VATE	48 Neutral	$61.58M	-0.97	―	―	-10.69%	-81.71%
BLNK	46 Neutral	$110.66M	-0.65	-88.52%	―	-23.14%	14.29%
SHIM	45 Neutral	$97.78M	-1.58	―	―	-3.64%	53.82%
SUNE	44 Neutral	$3.78M	>-0.01	-116.57%	―	-1.41%	98.90%
RYM	39 Underperform	$67.05M	-1.46	-378.51%	―	-15.48%	-155.83%

RYTHM Corporate Events

RYTHM Shifts Strategy by Discontinuing Extraction Business

On March 30, 2025, RYTHM, Inc. decided to discontinue its legacy extraction business, marking a strategic shift in its operations. This decision led to the reclassification of the extraction business as discontinued operations in the company’s financial statements for 2023 and 2024, reflecting a major impact on its financial results and operations.