Shares of crypto miner Riot Platforms (NASDAQ:RIOT) are ticking lower today after the company delivered a mixed set of numbers for the fourth quarter. Despite a year-over-year increase of 38%, revenue of $83.47 million missed expectations by $860,000. Net loss per share of $0.27, on the other hand, came in narrower than estimates by $0.01.
For the full year, increased Bitcoin (BTC-USD) production and higher prices drove total revenue to $280.7 million from $259.2 million in 2022. The company produced 6,626 Bitcoin in 2023. While Bitcoin mining revenue jumped to $189 million from $156.9 million, its Data Center Hosting revenue declined to $27.3 million from $36.9 million in 2022. This decrease was attributable to the termination of certain hosting agreements during the year.
Riot held 7,362 Bitcoin at the end of December 2023. Importantly, RIOT has boosted its hash rate capacity by 28% to 12.4 exahash per second (EH/S). At the same time, its Bitcoin mining cost (net of power credits) moderated to an average of $7,539 per BTC from $11,225 per BTC in 2022.
RIOT plans to increase its self-mining hash rate to 28 EH/S by the end of 2024 and to 38 EH/S by the end of 2025. The value of RIOT’s Bitcoin hoard was last pegged at $311 million by the company.
What Is the Future of RIOT Stock?
Bitcoin’s price has soared by nearly 113% over the past year. In tandem, Riot’s share price has jumped by nearly 147% during this period. Overall, the Street has a Strong Buy consensus rating on Riot Platforms, and the average RIOT price target of $18.10 points to a further 15.07% potential upside in the stock. However, analysts’ views on the stock could see revisions following the company’s fourth-quarter print.
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