Richie lives and works on a farm outside Tucson, Arizona, but he would rather play guitar in a rock band. When his father sends him into town for supplies, Richie stops at “Dr. Free-Zee” for an ice cream bar and learns from Lorraine, an employee, that Magic, his friend Donnie’s band, is auditioning at the Rat Trap club. Richie stops by the club, and Donnie greets him warmly. He wishes Richie would replace “Jimbo,” the new guitarist, but vocalist and co-leader “Skip” dislikes him. That night, Donnie picks up Richie at the farm and takes him to Tucson’s “Thunder Alley, a street lined with rock and roll clubs, where the group Surgical Steel is performing at the Palace, the most popular venue. Donnie insists that Surgical Steel is “not that good,” and Magic would be better if Richie was playing guitar. At the club, Richie is surprised that Lorraine, Donnie’s girl friend, arranged a blind date for him with Beth, her Dr. Free-Zee coworker. Despite his initial reluctance, Richie enjoys Beth’s company, walks her home, and gives her a goodnight kiss, but that moment her alcoholic father bursts out the door and orders him to stay away. The next day, Richie argues with his father, Jesse, who wants him to forget his rock and roll dreams and take over the farming business. When Richie goes to the Rat Trap that night to watch Magic, Donnie asks him to play because Jimbo got drunk and passed out. Skip is against the idea, but when Donnie reminds him that “Fatman,” the Palace talent booker, is in the audience, the singer agrees to let Richie stand in. After a successful performance, Donnie asks Richie to join the band, but needs a quick decision because Fatman is sending Magic on tour. As Richie drives Beth home from the club, she praises his talent and encourages him to follow his dream. The following day, when Richie informs his parents that he is relinquishing his farm chores, his mother convinces Jesse to let him go, on the condition that Richie will start paying room and board from his musical earnings. Fatman assigns the band a road manager named “Weasel,” whose job is to negotiate with club owners and keep everyone organized. For the first time, Richie experiences the life of a touring rock group, staying in cheap motels and partying all night with local girls. He also becomes alarmed by Donnie cocaine use. At Bronco Billy’s nightclub, Skip refuses to sing a new song Donnie has written, so Richie performs it and wins over the rowdy audience. When the owner tries to pay them with a check, Weasel forces him to pay cash. After the band travels to Salt Lake City, Utah, Weasel announces that Fatman wants them to rush back to Tucson and play at the Palace. On Magic’s opening night, the club is packed. Over Skip’s objection, Donnie changes the song list so that Richie sings the first number, and the performance goes over well with the audience. Fatman books Magic at the Palace for a three-week engagement, and arranges for them to open for Surgical Steel at the Rainbow Festival. He also invites the members to his private pool party. Weasel privately praises Richie for being talented, but warns him not to trust Fatman. When Star, a beautiful, naked woman in the swimming pool, propositions Richie, he turns her down. He tells Beth he is worried that the music business has changed Donnie for the worse. The couple leaves the party and spends the night together at a waterfall outside of town, making love. Donnie, meanwhile, abandons Lorraine for Star, increases his drug consumption, and becomes erratic on stage. When Donald arrives at the Palace high on drugs and starts a fight with Richie, Fatman suggests firing him and combining the best musicians from Magic and Surgical Steel to form another band. Donnie apologizes to Richie, and swears he is not using hard drugs, but admits he likes getting high onstage because it make him feel more confident. After Richie leaves, Donnie opens his intravenous drug kit. The next morning, Richie’s mother awakens him with the news that Donnie died from a drug overdose. Ritchie grieves after the funeral, becomes estranged from the other band members, and fights with Skip. He also starts drinking, and when Star propositions him again, he joins her for sex. Afterward, as Star offers cocaine, she lets it slip that Fatman told her to get Donnie addicted to drugs, in order to make him easier to control. Richie returns to the Palace and vandalizes Fatman’s Rolls Royce automobile with a sledgehammer. Later, Weasel visits Richie at the farm to tell him Fatman will not press charges, but he has torn up Magic’s contract. He also mentions that Beth was at the club, looking brokenhearted. Weasel convinces Richie to make an unscheduled performance after Surgical Steel plays at the Rainbow Festival. He gives Richie a wireless guitar microphone and backstage pass, but Richie claims he is done with rock and roll. Disappointed, Weasel gives the backstage pass and microphone to Jesse, in case Richie changes his mind. Beth is also unable to convince him. However, when Weasel makes arrangements for the remaining members of Magic to perform at the festival after Surgical Steel, Richie joins his band mates on stage at the last second. Fatman tries to shut them down, but Weasel stops him. After Richie’s mesmerizing performance brings a hush over the crowd, he dedicates the next song to Donnie’s memory. Within minutes, the audience is on its feet, cheering, and Richie exchanges meaningful looks with Beth.