📊 RIOT Key Takeaways
Is RIOT a Good Investment? Thesis Analysis
Riot Platforms demonstrates severe fundamental deterioration masked by 71.9% revenue growth; the company is burning $774.3M in annual free cash flow while operating at -102.4% net margins with effectively zero gross profit, indicating critical unit economics or operational dysfunction. With $233.5M in cash against $840.8M long-term debt and negative operating cash flow, the company faces material solvency risk within 12 months absent immediate operational restructuring or significant capital raises.
Why Buy RIOT? Key Strengths
- Strong revenue growth of 71.9% YoY, suggesting market demand for core services
- Moderate debt-to-equity ratio of 0.29x provides some deleveraging capacity
- Substantial asset base of $3.9B with $2.9B stockholders' equity
RIOT Investment Risks to Consider
- Catastrophic cash burn of -$774.3M in free cash flow with only 3.6 months of cash runway remaining
- Negative operating cash flow of -$572.9M despite $647.4M revenue, indicating structural profitability problem
- Current ratio of 0.96x suggests acute liquidity stress and working capital crisis
- Near-zero gross profit ($6.4K on $647.4M revenue) indicates fundamental unit economics failure or major operational cost issue
- Negative interest coverage ratio signals inability to service debt from operations
- Zero insider form 4 filings in 90 days during period of massive losses signals management confidence crisis
Key Metrics to Watch
- Operating cash flow trend and path to positive cash generation
- Gross margin expansion and breakdown of cost structure driving near-zero gross profit
- Monthly cash burn rate relative to available liquidity and debt maturity schedule
- Capital expenditure levels and return on invested capital
RIOT Financial Metrics
💡 AI Analyst Insight
The current ratio below 1.0x warrants monitoring of short-term liquidity.
RIOT Profitability Ratios
RIOT vs Finance Sector
How Riot Platforms, Inc. compares to Finance sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is RIOT Overvalued or Undervalued?
Based on fundamental analysis, Riot Platforms, Inc. has mixed fundamental signals relative to the Finance sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
RIOT Balance Sheet & Liquidity
RIOT 5-Year Financial Trend & Growth Analysis
5-Year Trend Summary: Riot Platforms, Inc.'s revenue has grown significantly by 204% over the 5-year period, indicating strong business expansion. The most recent EPS of $-0.28 indicates the company is currently unprofitable.
RIOT Growth Metrics (YoY)
RIOT Quarterly Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q3 2025 | $84.8M | -$27.0M | $0.08 |
| Q2 2025 | $70.0M | -$76.9M | $-0.23 |
| Q1 2025 | $79.3M | $211.8M | $0.81 |
| Q3 2024 | $51.9M | -$27.0M | $-0.10 |
| Q2 2024 | $70.0M | -$8.9M | $-0.16 |
| Q1 2024 | $73.2M | $18.5M | $0.11 |
| Q3 2023 | $46.3M | -$32.4M | $-0.21 |
| Q2 2023 | $72.9M | -$27.7M | $-0.01 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
RIOT Capital Allocation
RIOT SEC 10-K & 10-Q Filing Analysis
Access official SEC EDGAR filings for Riot Platforms, Inc. (CIK: 0001167419)
📋 Recent SEC Filings
❓ Frequently Asked Questions about RIOT
What is the AI rating for RIOT?
Riot Platforms, Inc. (RIOT) has an AI rating of STRONG SELL with 95% confidence, based on fundamental analysis of SEC EDGAR filings.
What are RIOT's key strengths?
Claude: Strong revenue growth of 71.9% YoY, suggesting market demand for core services. Moderate debt-to-equity ratio of 0.29x provides some deleveraging capacity.
What are the risks of investing in RIOT?
Claude: Catastrophic cash burn of -$774.3M in free cash flow with only 3.6 months of cash runway remaining. Negative operating cash flow of -$572.9M despite $647.4M revenue, indicating structural profitability problem.
What is RIOT's revenue and growth?
Riot Platforms, Inc. reported revenue of $647.4M.
Does RIOT pay dividends?
Riot Platforms, Inc. pays dividends, with $9.6M distributed to shareholders in the trailing twelve months.
Where can I find RIOT SEC filings?
Official SEC filings for Riot Platforms, Inc. (CIK: 0001167419) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is RIOT's EPS?
Riot Platforms, Inc. has a diluted EPS of $-1.95.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined rating reflects both perspectives for balanced insights.
Is RIOT a good stock to buy right now?
Based on our AI fundamental analysis in April 2026, Riot Platforms, Inc. has a STRONG SELL rating with 95% confidence. Review the strengths and risks sections above before making a decision. This is not investment advice.
Is RIOT stock overvalued or undervalued?
Valuation metrics for RIOT: ROE of -23.2% (sector avg: 12%), net margin of -102.4% (sector avg: 25%). Compare these metrics with sector averages to assess valuation.
Should I buy RIOT stock in 2026?
Our dual AI analysis gives Riot Platforms, Inc. a combined STRONG SELL rating for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is RIOT's free cash flow?
Riot Platforms, Inc.'s operating cash flow is $-572.9M, with capital expenditures of $201.4M. FCF margin is -119.6%.
How does RIOT compare to other Finance stocks?
Vs Finance sector averages: Net margin -102.4% (avg: 25%), ROE -23.2% (avg: 12%), current ratio 0.96 (avg: 1.2).