From Nasdaq
June 11, 2025 06:30:00 AM:

Riot Platform’s stock (RIOT) is a Zacks Rank #5 (Strong Sell) Bitcoin mining company in the US. Despite Bitcoin’s highs, Riot struggles, missing earnings and trading sideways. Riot operates a large mining facility in Texas, valued at $3.6B with no dividend. Q1 earnings showed a loss due to a Bitcoin loss, but strategic progress was made with new mining power and hash rate increase.

Riot’s Bitcoin holdings grew to 19,000 BTC, worth $1.6 billion. Earnings estimates are falling, with current quarter and year estimates dropping significantly. RIOT stock has stayed flat despite Bitcoin’s rise, indicating potential issues. If Bitcoin prices fall, RIOT could drop. Despite operational improvements, financial strength and stock momentum remain weak.

For those interested in Bitcoin, MicroStrategy (MSTR) is a better option with a Zacks Rank #3 (Hold). The stock is more correlated to Bitcoin and shows better potential. Analysts are dropping earnings estimates for Riot Platforms, indicating more risk than reward. Until profitability improves, it’s best to avoid RIOT stock.

Read more at Nasdaq: Bear of the Day: Riot Platforms (RIOT)