Last Updated: 14 Nov 2024
Executive Summary
Riot Blockchain Inc. (RIOT) is a cryptocurrency mining company that focuses on North American operations. The company has a market capitalization of $4.21 billion and an analyst target price of $16.44. RIOT's latest stock price is $12.67, which is within the range of its 52-week high of $18.75 and low of $6.36. The company's trailing PE ratio is 97.46, and its forward PE ratio is 20.88. RIOT is a speculative investment with high growth potential, but investors should be aware of the risks involved.
Company Overview
Riot Blockchain Inc. was founded in 2017 and is headquartered in Castle Rock, Colorado. The company operates a fleet of cryptocurrency mining rigs and has a total hashrate of 7.7 EH/s. RIOT is one of the largest publicly traded cryptocurrency mining companies in the world.
Fundamental Analysis
RIOT's financial performance has been mixed in recent quarters. The company reported revenue of $312.9 million in the most recent quarter, up 0.634% year-over-year. However, the company's net income fell to $12.9 million, down from $22.6 million in the prior-year quarter. RIOT's profitability metrics have also declined in recent quarters. The company's gross profit margin fell to 20.9% in the most recent quarter, down from 27.3% in the prior-year quarter. The company's operating margin fell to -1.26%, down from 6.5% in the prior-year quarter.
RIOT's balance sheet is strong. The company has $257.3 million in cash and equivalents and no debt. The company's current ratio is 1.59, which is a measure of a company's ability to meet its short-term obligations.
Technical Analysis
RIOT's stock price has been in a downtrend since reaching a high of $18.75 in November 2021. The stock price has been trading below its 50-day and 200-day moving averages. The stock's relative strength index (RSI) is 39.67, which is below the neutral level of 50. This indicates that the stock is oversold and may be due for a rebound.
Short Term Outlook
RIOT's stock price is likely to remain volatile in the short term. The company's financial performance has been mixed, and the cryptocurrency market is still in a state of flux. However, the stock's technical indicators suggest that it may be due for a rebound. Investors should consider buying RIOT stock on a pullback.
Long Term Outlook
RIOT's long-term outlook is positive. The company is a leader in the cryptocurrency mining industry, and the cryptocurrency market is expected to grow significantly in the coming years. RIOT is well-positioned to benefit from this growth. Investors should consider buying RIOT stock for the long term.
Analyst Recommendations
Analysts are bullish on RIOT stock. The consensus analyst rating is "Buy," and the average analyst target price is $16.44. Three analysts have a "Strong Buy" rating on the stock, and 10 analysts have a "Buy" rating.
