Riot Platforms (RIOT) AI Stock Analysis

• Market Cap: $4.36B
• Dividend Yield: N/A
• Average Volume (3M): 40.64M
• Price to Earnings (P/E): 24.4
• Beta (1Y): 2.34
• Revenue Growth: 59.99%
• EPS Growth: -283.24%
• Country: US
• Employees: 783
• Sector: Financial
• Sector Strength: 82
• Industry: Financial - Capital Markets
• EPS (TTM): -0.90
• Shares Outstanding: 357,263,730
• 10 Day Avg. Volume: 46,116,110
• 30 Day Avg. Volume: 40,643,246
• PEG Ratio: 0.02
• Price to Book (P/B): 1.07
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -2.40
• Enterprise Value/Market Cap: 0.75
• Enterprise Value/Revenue: 2.30
• Enterprise Value/Gross Profit: 22.54
• Enterprise Value/Ebitda: 3.21
• 1Y Price Target: $15.44
• Price Target Upside: 26.87% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 9

• Rating: 60 Neutral
• Price Target: $12.00 ▼(-1.40%Downside)

Riot Platforms' score is driven by strong technical indicators and promising revenue growth, offset by financial concerns related to profitability and cash flow. The recent operational improvements and strategic initiatives are positive, but financial stability risks remain a key concern.

Positive Factors

Financial Growth Potential

Riot Platforms is benefiting from forecasted growth in Bitcoin prices and increased global hash rates, which are expected to drive revenue higher.

Infrastructure Advantage

Corsicana is the largest site in the universe capable of supporting specific workloads, with significant infrastructure advantages.

Strategic Expansion

Riot Platforms is actively expanding into high-performance computing (HPC) to capitalize on higher-value opportunities beyond its core Bitcoin mining operations.

Negative Factors

Financial Performance

RIOT reported a miss on adj. EBITDA as SG&A and 'other COGS' increased more than expected for the quarter.

Market Readiness

HPC remains "early" as Riot does not have an LOI in place with potential tenants.

Profitability Concerns

Adjusted EBITDA was reported at a loss of -$176.3M in 1Q25, down from positive AEBITDA in the previous quarter.

Riot Platforms Business Overview & Revenue Model

Company Description

Riot Platforms, Inc., together with its subsidiaries, operates as a Bitcoin mining company in the United States. The company operates in two segments, Bitcoin Mining and Engineering. It offers comprehensive and critical infrastructure for institutional-scale Bitcoin mining facilities in Rockdale and Navarro counties, Texas; and two Bitcoin mining sites in Paducah, Kentucky. The company also designs and manufactures power distribution equipment and custom engineered electrical products; and electricity distribution product design, manufacturing, and installation services for large-scale commercial and governmental customers, as well as data center, power generation, utility, water, industrial, and alternative energy markets. The company was founded in 2000 and is based in Castle Rock, Colorado.

How the Company Makes Money

Riot Platforms makes money primarily through its Bitcoin mining operations. The company earns revenue by solving complex cryptographic puzzles, which validates Bitcoin transactions and adds them to the blockchain. For each block successfully mined, Riot receives a fixed Bitcoin reward, which constitutes a significant portion of its revenue. Additionally, Riot may generate revenue by selling the Bitcoin it mines on cryptocurrency exchanges, taking advantage of favorable market prices. The company might also engage in strategic partnerships or investments to enhance its mining capabilities and increase operational efficiency. Factors such as energy cost management, technological advancements, and scaling of operations play crucial roles in Riot's profitability.

Riot Platforms Financial Statement Overview

Summary

Riot Platforms shows strong revenue growth but struggles with profitability, evidenced by negative margins and cash flows. The balance sheet is stable with strong equity, but negative net income affects overall financial health. The financial performance reflects potential growth opportunities but significant challenges in profitability and cash flow management.

Income Statement

Riot Platforms has shown strong revenue growth with a significant increase from $376.7M to $458.7M (21.8%) in the TTM, which is positive. However, the company is struggling with profitability as evidenced by negative EBIT and net income margins in the TTM (-61.9% and -86.9% respectively). This indicates high operational costs or inefficiencies. The gross profit margin at 31.8% is reasonable, but overall, profitability is a concern given the negative net profit margin.

Balance Sheet

The balance sheet shows a solid equity position with an equity ratio of 79.2% in the TTM, indicating financial stability. The debt-to-equity ratio is low at 0.01, reflecting prudent financial management regarding leverage. However, the negative net income affects the return on equity, which is also negative. The company's assets have grown, but the net loss impacts overall financial health.

Cash Flow

Operating cash flow is negative at -$319.3M in the TTM, indicating cash outflows from core operations. Free cash flow is also negative, but an improvement in cash from financing activities provides liquidity. The free cash flow to net income ratio is not favorable due to negative values, highlighting cash constraints. Despite these challenges, the company has managed to secure financing to support liquidity.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	458.75M	376.66M	280.68M	259.17M	213.24M	12.08M
Gross Profit	145.77M	113.90M	26.34M	65.47M	131.15M	5.83M
EBITDA	115.21M	324.18M	-2.79M	25.37M	11.71M	-7.81M
Net Income	-398.74M	109.40M	-49.47M	-509.55M	-7.93M	-12.67M
Balance Sheet
Total Assets	3.72B	3.94B	2.05B	1.32B	1.53B	280.15M
Cash, Cash Equivalents and Short-Term Investments	234.75M	412.13M	908.35M	339.75M	482.66M	235.01M
Total Debt	33.61M	613.16M	21.34M	22.25M	13.44M	0.00
Total Liabilities	774.18M	791.62M	163.06M	168.52M	173.62M	3.08M
Stockholders Equity	2.94B	3.14B	1.89B	1.15B	1.36B	277.07M
Cash Flow
Free Cash Flow	-1.42B	-1.52B	-391.05M	-352.33M	-508.36M	-52.42M
Operating Cash Flow	-319.26M	-255.05M	33.09M	530.00K	-86.38M	-11.15M
Investing Cash Flow	-1.37B	-1.51B	-414.77M	-354.86M	-490.33M	-32.83M
Financing Cash Flow	1.24B	1.52B	748.52M	272.35M	665.64M	259.92M

Riot Platforms Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 12.17
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For RIOT, the sentiment is Positive. The current price of 12.17 is above the 20-day moving average (MA) of 10.33, above the 50-day MA of 9.16, and above the 200-day MA of 9.81, indicating a bullish trend. The MACD of 0.72 indicates Negative momentum. The RSI at 71.35 is Negative, neither overbought nor oversold. The STOCH value of 90.34 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for RIOT.

Riot Platforms Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	67 Neutral	$17.01B	11.90	9.70%	3.76%	11.63%	-9.47%
RIOT	60 Neutral	$4.36B	24.36	-14.71%	―	59.99%	-283.24%
BMBL	58 Neutral	$672.43M	―	-46.57%	―	-2.39%	-2961.26%
CLSK	58 Neutral	$3.44B	54.04	-11.36%	―	89.47%	-737.43%
ANY	47 Neutral	$16.53M	―	-40.72%	―	-24.19%	72.41%
NUKK		$58.62M	0.61		―	―	―
BTDR	43 Neutral	$2.71B	―	-32.09%	―	―	―

Riot Platforms Corporate Events

Riot Platforms Expands Credit Agreement with Coinbase

On May 19, 2025, Riot Platforms, Inc. entered into an amended and restated credit agreement with Coinbase Credit, Inc., increasing the principal amount from $100 million to $200 million and extending the availability period. This agreement aims to enhance Riot Platforms’ financial flexibility and operations by allowing more borrowings and securing obligations with financial assets, including bitcoin and cash.

The most recent analyst rating on (RIOT) stock is a Buy with a $16.00 price target. To see the full list of analyst forecasts on Riot Platforms stock, see the RIOT Stock Forecast page.

Riot Platforms Renews CFO Agreement with Clear Capital

On April 12, 2025, Riot Platforms, Inc. renewed its professional services agreement with Clear Capital Management Corporation to continue Mr. Colin Yee’s role as Chief Financial Officer. The amended agreement outlines procedures for severance agreements and specifies the timing and form of severance payments, which will be paid in a lump sum.