We feel now is a pretty good time to analyse RumbleOn, Inc.'s (NASDAQ:RMBL) business as it appears the company may be on the cusp of a considerable accomplishment. RumbleOn, Inc. primarily operates as a powersports retailer in the United States. With the latest financial year loss of US$214m and a trailing-twelve-month loss of US$191m, the US$179m market-cap company alleviated its loss by moving closer towards its target of breakeven. Many investors are wondering about the rate at which RumbleOn will turn a profit, with the big question being “when will the company breakeven?” Below we will provide a high-level summary of the industry analysts’ expectations for the company.

View our latest analysis for RumbleOn

RumbleOn is bordering on breakeven, according to the 4 American Specialty Retail analysts. They anticipate the company to incur a final loss in 2025, before generating positive profits of US$17m in 2026. So, the company is predicted to breakeven just over a year from today. What rate will the company have to grow year-on-year in order to breakeven on this date? Using a line of best fit, we calculated an average annual growth rate of 86%, which is rather optimistic! Should the business grow at a slower rate, it will become profitable at a later date than expected.

Underlying developments driving RumbleOn's growth isn’t the focus of this broad overview, however, bear in mind that by and large a high forecast growth rate is not unusual for a company that is currently undergoing an investment period.

Before we wrap up, there’s one issue worth mentioning. RumbleOn currently has a debt-to-equity ratio of over 2x. Typically, debt shouldn’t exceed 40% of your equity, which in this case, the company has significantly overshot. Note that a higher debt obligation increases the risk around investing in the loss-making company.

Next Steps:

This article is not intended to be a comprehensive analysis on RumbleOn, so if you are interested in understanding the company at a deeper level, take a look at RumbleOn's company page on Simply Wall St. We've also put together a list of important factors you should look at:

1. Valuation: What is RumbleOn worth today? Has the future growth potential already been factored into the price? The intrinsic value infographic in our free research report helps visualize whether RumbleOn is currently mispriced by the market.
2. Management Team: An experienced management team on the helm increases our confidence in the business – take a look at who sits on RumbleOn’s board and the CEO’s background.
3. Other High-Performing Stocks: Are there other stocks that provide better prospects with proven track records? Explore our free list of these great stocks here.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.