- Riot Platforms reported strong results for its Q1 last week.
- HCW analyst raised his PT on Riot Platforms stock today.
- Mike Colonnese explained his bullish view in a research note.
Shares of Riot Platforms Inc have already more than tripled this year but an H.C. Wainwright analyst says further upside will unravel moving forward.
Riot Platforms stock has upside to $13.50
On Monday, Mike Colonnese reiterated his buy rating on the bitcoin miner and raised his price target to $13.50 a share – up another 22% from here.
His bullish note on Riot Platforms stock arrives only days after the company said a number of its key operating metrics, including hash rate, pushed to a record high in its first quarter.
With strong balance sheet and significant runway for future mining expansion, RIOT is well positioned to outpace growth of network hash rate over the next year.
Riot sees its aggregate hash rate to climb from 10.5 EH/s in Q1 to 12.5 EH/s in the back half of 2023.
Riot Platforms revenue was up 22% sequentially
At $73 million, the Nasdaq-listed firm came in shy of consensus estimates for revenue in its recently concluded quarter.
But the HCW analyst remains constructive on Riot Platforms stock since the revenue still represented a whopping 22% sequential growth. His research note also said:
A premium is warranted given Riot Platforms’ industry leading operating capacity, low electricity costs, and strong balance sheet.
Other notable figures in the company’s earnings release include a 51% year-on-year increase in bitcoin produced and mining margins that more than doubled versus the previous quarter. Note that the bitcoin miner has already touched $13.50 (Mike Colonnese’s price target) once this year.
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Riot Platforms Inc. (RIOT), an American technology company that invests in blockchain technologies and digital assets, recently received an upgrade from HCW analyst Gary Jenkins, applauding its continued business growth and stock performance.
According to Jenkins’ report, Riot Platforms stock has an additional 22% upside potential. Citing the company’s impressive performance year-to-date, he sees strength in their core businesses as well as potential growth opportunities in areas such as encryption and digital asset infrastructure.
Riot Platforms’ strong fundamentals are also playing a role in their renewed optimism from Jenkins. The company’s total assets have grown over 20% from the end of 2019 and they’ve seen a 22% rise in value of their equity investments. This continuing financial stability, along with their market segment leadership, has created an attractive opportunity for investors.
The company continues to pursue new opportunities, as evidenced by their recently announced collaboration with the People’s Bank of China (PBOC) for a digital asset custody platform. Furthermore, Riot Platforms plans to continue expanding their product and service offerings into new markets and areas.
Jenkins believes that these investments will pay off in the long run, resulting in an even greater upside for RIOT stock. With strong fundamentals and multiple catalysts that could unlock more potential value, he recommends buying at current levels.
In conclusion, Riot Platforms Inc. continues to position itself for long-term success, and HCW Analyst Gary Jenkins’ believes that RIOT stock has an additional 22% upside potential. For investors looking for attractive opportunities, this could be an ideal entry point into the sector.
