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Riot Platforms: Too Late to Buy?

Ellis HobbsAvatar
Written by Ellis Hobbs
Updated 4/29/2025, 5:04 pm ET 6 min read

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  • RIOT-3.15%
    RIOT - NASDAQRiot Platforms Inc.
    $7.39-0.24 (-3.15%)
    Volume:  43.77M
    Float:  326.01M
    $7.24Day Low/High$7.74

Riot Platforms Inc. stocks have been trading down by -3.41 percent amid rising uncertainty in Bitcoin regulation impacting future revenues.

Market Highlights Impacting Stocks

  • Investors fired up as RIOT Platforms shows a solid three-day upward trend, with the stock hitting a high of $7.79 on Apr 24, 2025, before dipping slightly due to natural market corrections.
  • Analysts note the company’s expanding Bitcoin mining operations as a key factor bolstering confidence, promising increased profitability despite volatile crypto market conditions.
  • Recent quarterly earnings report reveals a robust revenue growth rate of over 123% over five years, suggesting sustainable long-term gains and keeping traders on their toes.
  • The sharp fluctuations in debt issuance and repayment might concern stakeholders; yet Riot’s focus on innovation continues to fuel optimism and market resilience.
  • The rapid rally post earnings speaks to Riot’s improved cost management strategies, drawing more attention from retail investors hungry for action.

Candlestick Chart

Live Update At 17:04:19 EST: On Tuesday, April 29, 2025 Riot Platforms Inc. stock [NASDAQ: RIOT] is trending down by -3.41%! Discover the key drivers behind this movement as well as our expert analysis in the detailed breakdown below.

Financial Metrics and Performance

In the world of trading, success is not solely defined by the number of trades won but also by how well one can safeguard their capital for the long run. As millionaire penny stock trader and teacher Tim Sykes, says, “The goal is not to win every trade but to protect your capital and keep moving forward.” By adopting this mindset, traders focus on sustainable growth and longevity in the trading landscape, rather than getting caught up in short-term gains and losses.

It is essential to dig into Riot Platforms’ latest earnings report to grasp why this stock stirred such buzz. Over a period of five years, the revenue growth has been tremendous, clocking in an impressive average increase of over 123%. This rapid growth signifies continued investor confidence and justifies the recent jump in stock prices.

The operating revenue caught the attention of many, standing firm at $142.56M. Profitability, however, faced some pressure as expenses continued to rise. Their EBITDA margin is a notable 86.6%, indicating their impressive ability to generate earnings from their operating activities. Despite a slight hurdle in profitability underscored by a pretax profit margin of -27.8%, this firm seems poised for a turnaround.

Looking at the balance sheet, Riot shows a high current ratio of 3.7, solidifying its capacity in handling short-term liabilities comfortably. A leverage ratio at 1.3 highlights prudent debt management, but cash flow statements point towards significant capital spending, with a whopping $782.62M sinking into investment activities. The hefty operating cash outflow of $98.36M suggests Riot is deep in the growth phase.

More Breaking News

Recently, stock-based compensation has sparked some scrutiny among investors, yet it remains a minor blip in the overarching positive trend captured through improved operational efficiency and strategic growth initiatives.

Revealing Insights on Stock Price Swings

Riot Platforms, over the past weeks, has reported swings in its stock price, attributed largely to investor reactions to fluctuations within the broader crypto market. Shares soared initially, following the news of their Bitcoin mining expansions intends to optimize block rewards and decrease production costs. This vital aspect is integral to stakeholder pricing expectations.

On Apr 28, 2025, the stock experienced an exuberant gain, primarily driven by optimistic earnings reports. However, the celebration was short-lived as the relentless volatility pulled the price back. On Apr 29, 2025, RIOT closed slightly lower at $7.42, a minor respite amid a bustling free-for-all market crowding blockchain-linked stocks.

Adding fuel to the fire, buzz around fresh debt issuance saw investors taking a cautious approach to lock in profits following the surge. This dynamic serves as testimony to the volatility characteristic of tech growth stocks and the importance of seizing opportune market entries or exits judiciously.

News Impacting Market Trends for RIOT

Bitcoin Market Growth:

Riot’s ascendant trajectory in stock value is inseparable from the broader crypto movement. As Bitcoin’s value rose, so too did the expectations surrounding Riot Platforms; yet seasoned investors are wary of the capricious nature of crypto markets. Riot’s tactical moves, aligned with Bitcoin’s upward momentum, have drawn institutional attention, illuminating a clear advantage in the ever-competitive mining landscape.

Debt Financing Developments:

Riot’s management has adeptly navigated through debt financing hurdles, resulting in substantial liquidity to cover expanding operations. While retaining a prudent eye on debt-equity ratios, Riot’s balance sheet remains robust due to strategic capital allocation enhancing long-term strategic goals. It is the quintessential balancing act of growth versus stability in a volatile sphere.

Key Metrics Showcase Strength:

While financials sometimes question Riot’s resilience, the encouraging climb in revenue and strategic focus on tech innovations point to a bright outlook. Riot’s gross margin at 100% reflects an unwavering confidence in their core offerings. Within the industry, they remain a calculated risk for investors valuing high prospective returns over stability.

Conclusion

When we peel back layers in Riot Platforms’ trajectory, one observes a company anchored firmly in the visionary realm of blockchain decentralization. The narrative is one of growth—a redirection from traditionalism toward innovation. With mixed sentiment against a backdrop of volatile price actions in stock charts, potential upsides remain enticing for adventurers with an appetite for the thrill of future technology. As millionaire penny stock trader and teacher Tim Sykes, says, “It’s better to go home at zero than to go home in the red.” This sentiment rings true for the traders navigating the exciting waters of Riot’s prospects.

Through strategic financial maneuvers and steady industry positioning, Riot stands as a captivating prospect in tomorrow’s financial markets. The question begs itself: in this technological age, will you join the ride or watch from the sidelines?

This is stock news, not investment advice. Timothy Sykes News delivers real-time stock market news focused on key catalysts driving short-term price movements. Our content is tailored for active traders and investors seeking to capitalize on rapid price fluctuations, particularly in volatile sectors like penny stocks. Readers come to us for detailed coverage on earnings reports, mergers, FDA approvals, new contracts, and unusual trading volumes that can trigger significant short-term price action. Some users utilize our news to explain sudden stock movements, while others rely on it for diligent research into potential investment opportunities.

Dive deeper into the world of trading with Timothy Sykes, renowned for his expertise in penny stocks. Explore his top picks and discover the strategies that have propelled him to success with these articles:

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Ellis Hobbs

Trainer and Mentor on Tim Sykes’ Trading Challenge
He teaches webinars on Tim Sykes’ Trading Challenge He treats trading like a business, not a hobby He emphasizes taking small risks — “If you get the process right, money is a forgone conclusion.”
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In this article (YTD Performance)


* Results are not typical and will vary from person to person. Making money trading stocks takes time, dedication, and hard work. There are inherent risks involved with investing in the stock market, including the loss of your investment. Past performance in the market is not indicative of future results. Any investment is at your own risk. See Terms of Service here

The available research on day trading suggests that most active traders lose money. Fees and overtrading are major contributors to these losses.

A 2000 study called “Trading is Hazardous to Your Wealth: The Common Stock Investment Performance of Individual Investors” evaluated 66,465 U.S. households that held stocks from 1991 to 1996. The households that traded most averaged an 11.4% annual return during a period where the overall market gained 17.9%. These lower returns were attributed to overconfidence.

A 2014 paper (revised 2019) titled “Learning Fast or Slow?” analyzed the complete transaction history of the Taiwan Stock Exchange between 1992 and 2006. It looked at the ongoing performance of day traders in this sample, and found that 97% of day traders can expect to lose money from trading, and more than 90% of all day trading volume can be traced to investors who predictably lose money. Additionally, it tied the behavior of gamblers and drivers who get more speeding tickets to overtrading, and cited studies showing that legalized gambling has an inverse effect on trading volume.

A 2019 research study (revised 2020) called “Day Trading for a Living?” observed 19,646 Brazilian futures contract traders who started day trading from 2013 to 2015, and recorded two years of their trading activity. The study authors found that 97% of traders with more than 300 days actively trading lost money, and only 1.1% earned more than the Brazilian minimum wage ($16 USD per day). They hypothesized that the greater returns shown in previous studies did not differentiate between frequent day traders and those who traded rarely, and that more frequent trading activity decreases the chance of profitability.

These studies show the wide variance of the available data on day trading profitability. One thing that seems clear from the research is that most day traders lose money .

Millionaire Media 66 W Flagler St. Ste. 900 Miami, FL 33130 United States (888) 878-3621 This is for information purposes only as Millionaire Media LLC nor Timothy Sykes is registered as a securities broker-dealer or an investment adviser. No information herein is intended as securities brokerage, investment, tax, accounting or legal advice, as an offer or solicitation of an offer to sell or buy, or as an endorsement, recommendation or sponsorship of any company, security or fund. Millionaire Media LLC and Timothy Sykes cannot and does not assess, verify or guarantee the adequacy, accuracy or completeness of any information, the suitability or profitability of any particular investment, or the potential value of any investment or informational source. The reader bears responsibility for his/her own investment research and decisions, should seek the advice of a qualified securities professional before making any investment, and investigate and fully understand any and all risks before investing. Millionaire Media LLC and Timothy Sykes in no way warrants the solvency, financial condition, or investment advisability of any of the securities mentioned in communications or websites. In addition, Millionaire Media LLC and Timothy Sykes accepts no liability whatsoever for any direct or consequential loss arising from any use of this information. This information is not intended to be used as the sole basis of any investment decision, nor should it be construed as advice designed to meet the investment needs of any particular investor. Past performance is not necessarily indicative of future returns.

Citations for Disclaimer

Barber, Brad M. and Odean, Terrance, Trading is Hazardous to Your Wealth: The Common Stock Investment Performance of Individual Investors. Available at SSRN: “Day Trading for a Living?”

Barber, Brad M. and Lee, Yi-Tsung and Liu, Yu-Jane and Odean, Terrance and Zhang, Ke, Learning Fast or Slow? (May 28, 2019). Forthcoming: Review of Asset Pricing Studies, Available at SSRN: “https://ssrn.com/abstract=2535636”

Chague, Fernando and De-Losso, Rodrigo and Giovannetti, Bruno, Day Trading for a Living? (June 11, 2020). Available at SSRN: “https://ssrn.com/abstract=3423101”

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