Why Is Riot Platforms Stock Falling Friday?

by | Jan 30, 2026 | General

Riot Platforms, Inc. (NASDAQ:RIOT) stock tumbled during Friday’s trading session as Bitcoin’s (CRYPTO: BTC) sharp decline weighed on cryptocurrency mining stocks.

The decline came as Bitcoin traded at $82,757, posting a 2.98% drop over 24 hours but reflecting recent volatility that has pressured cryptocurrency mining company valuations.

The broader cryptocurrency mining sector faced headwinds as Bitcoin’s price movements continued to drive sentiment among investors. Cryptocurrency mining companies like Riot remain particularly sensitive to Bitcoin price fluctuations, as the digital asset’s value directly impacts mining profitability and revenue potential.

Recent Strategic Developments

The selloff follows Riot’s recent announcement of a major pivot toward artificial intelligence infrastructure. On Jan. 16, the company detailed the completion of a land purchase and its first hyperscale data center lease with Advanced Micro Devices, Inc. (NASDAQ:AMD).

Riot acquired full ownership of approximately 200 acres at its Rockdale facility in Milam County, Texas, funding the $96 million purchase entirely through Bitcoin sales from its balance sheet. The company also signed a 10-year data center lease with AMD covering an initial 25 megawatts of critical IT load, with projected revenue of approximately $311 million.

Earnings & Analyst Outlook

Investors are looking ahead to the next earnings report on Feb. 23.

  • EPS Estimate: Loss of 26 cents (Down from $0.44 YoY)
  • Revenue Estimate: $159.09 million (Up from $142.56 million YoY)
  • Valuation: P/E of 32.6x (Indicates premium valuation)

Analyst Consensus & Recent Actions: The stock carries a Buy Rating with an average price target of $23.43. Recent analyst moves include:

  • Keefe, Bruyette & Woods: Outperform (Raises Target to $23.00) (Jan. 27)
  • Needham: Buy (Raises Target to $30.00) (Jan. 20)
  • Citigroup: Buy (Lowers Target to $23.00) (Dec. 22, 2025)

Valuation Insight: While the stock trades at a premium P/E multiple, the strong consensus and rising estimates suggest analysts view the growth prospects as justification for the 56% upside to analyst targets.

RIOT Price Action: Riot Platforms shares were down 8.01% at $15.61 at the time of publication on Friday, according to Benzinga Pro data.

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