Analyst John Todaro of Needham maintained a Buy rating on Riot Platforms (RIOT – Research Report), reducing the price target to $13.50.
John Todaro has given his Buy rating due to a combination of factors including Riot Platforms’ strategic initiatives and operational performance. Despite missing the adjusted EBITDA estimates, the company’s top-line results were in line with expectations, and power costs were more favorable than anticipated. Additionally, Riot Platforms’ recent strategic pivot towards evaluating Corsicana for AI and HPC suitability suggests potential growth opportunities in these areas. Management’s ongoing discussions with hyperscalers, despite broader industry commentary, indicate a proactive approach to leveraging these opportunities. However, the rating comes with a lowered price target due to current challenges such as weak bitcoin prices and a persistently high global hash rate, which are seen as obstacles for the mining business.
In another report released today, H.C. Wainwright also reiterated a Buy rating on the stock with a $17.00 price target.