The stock of cryptocurrency miner Riot Platforms (RIOT) has received multiple upgrades on Wall Street.
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Analysts at JPMorgan Chase (JPM) and Citigroup (C) have each raised their ratings and price targets on RIOT stock, citing changing industry economics and a shift toward high-performance computing at the company, which specializes in Bitcoin (BTC) mining.
JPMorgan Chase lifted its rating on Riot to a Buy-equivalent overweight from neutral and raised its price target to $19 from $15, calling it the most attractive investment option among cryptocurrency miners. Citigroup raised its rating on the stock to Buy from a Hold-equivalent neutral and lifted its price target to $24 from $13.75.
AI Impacts
In their assessments of RIOT stock, both JPMorgan and Citigroup highlighted Riot Platforms’ pivot to artificial intelligence (AI) and cloud-computing services as providing potential future catalysts and growth drivers. Those are important as mining profitability tightens, said the banks.
Along with its upgrade of RIOT stock, JPMorgan Chase downgraded rival crypto miner IREN (IREN) to a Sell-equivalent underweight rating, and took the stock of CleanSpark (CLSK) down to a neutral rating from Buy previously. JPMorgan said it was reevaluating the entire crypto mining sector.
Is Bitcoin a Buy?
Most analysts don’t offer ratings or price targets on Bitcoin. So instead, we’ll look at the three-month performance of BTC. As one can see in the chart below, the price of Bitcoin has risen 5.02% in the last 12 weeks.
