Riot stock tumbles after bitcoin production decreases
Bitcoin mining and digital infrastructure company Riot Platforms is tumbling this morning, dropping as much as 8% before recovering to about 5% down as of 10:50 a.m. ET. Meanwhile, bitcoin is somewhat stable, hovering around $91,000, as the crypto industry is in a wait-and-see mode until tomorrow’s inaugural White House Crypto Summit.
Riot released fourth-quarter and full-year financial earnings on February 24. The company’s results exceeded expectations, primarily due to bitcoin mining revenue, but it didn’t lift the stock. On March 4, the company said its bitcoin production declined month over month, mining 470 bitcoin in February vs. 527 in January.
Production was “impacted by planned maintenance, elevated curtailment driven by higher power prices as a result of colder weather, and a shortened month,” Riot CEO Jason Les said in a press release.
Today, Seeking Alpha analyst Deep Value Investing downgraded Riot to a strong sell “due to anticipated inflation risks impacting bitcoin’s performance, similar to 2022.”
“I foresee rising inflation due to tariffs and government cost-cutting measures, which could delay interest rate cuts until 2026. Historically, bitcoin has struggled in such environments,” the analyst wrote.
Riot overall is down nearly 20% year to date as uncertainty around bitcoin’s price puts pressure on the company’s outlook. At the end of February 2025, the company’s bitcoin holdings stood at 18,692, worth roughly $1.7 billion. This places Riot as the third-largest public company holding bitcoin, behind Strategy and MARA Holdings.
