Chardan Initiates Coverage of Riot Platforms with Buy Rating Amid AI Shift
Chardan has initiated coverage on Riot Platforms (NASDAQ:RIOT) with a Buy rating and a target price of $27.50, reflecting the company's strategic pivot to AI and high-performance computing. Riot Platforms has reported a 4% decrease in bitcoin production year-over-year, signaling potential challenges as it navigates its transition and market fluctuations.
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Chardan's analysis of Riot Platforms indicates a projected target price of $27.50, backed by a sum-of-the-parts valuation covering Bitcoin mining operations and AI opportunities. Riot currently holds $1.5 billion in liquidity, including Bitcoin reserves, to support capital expenditures.
In Q1 2026, the company produced 1,473 bitcoins, down 4% from the previous year, and sold 3,778 bitcoins, generating $289.5 million in net revenue at an average price of $76,626. The firm also noted Riot's access to 1.7 gigawatts of energy capacity in Texas, with full energization expected by year-end. The recent increase in Bitcoin prices above $75,000 may positively impact pre-market trading for crypto-related stocks, including Riot Platforms.
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