Riot Blockchain Stock Scores Bull Note as Bitcoin Soars

D.A. Davidson initiated coverage of RIOT with a "buy" rating

Deputy Editor
Oct 15, 2021 at 10:29 AM
facebook X logo linkedin


The shares of crypto-adjacent stock Riot Blockchain Inc (NASDAQ:RIOT) are popping, last seen up 7.4% at $28.05, after Bitcoin (BTC) surged overnight to reach the $60,000 mark, marking its highest trading level since April. This follows news the U.S. Securities and Exchange Commission (SEC) will allow the first Bitcoin futures exchange-traded fund (ETF), ProShares Bitcoin Strategy ETF, to start trading on the New York Stock Exchange (NYSE) on Tuesday, Oct. 19.

At least one analyst has chimed in so far. Specifically, D.A. Davidson initiated coverage of Riot Blockchain stock with a "buy" rating and a $42 price target. The firm joins an already bullish brokerage bunch, with all four in coverage rating RIOT a "strong buy." What's more, the 12-month consensus price target of $54 is a jaw-dropping 91.1% premium to current levels.

Riot Blockchain stock looks ripe for a short squeeze, too, with short interest rising 8.4% in the most recent reporting period. The 18.19 million shares sold short now account for 22.7% of RIOT's available float. It would take nearly two days to buy back these bearish bets, at the equity's average pace of daily trading.

Options traders have been quick to jump in on today's action. So far, 58,000 calls and 13,000 puts have crossed the tape, or three times the intraday average. The October 28 call is the most popular, followed by 29 call in the same series, with new positions being opened at both. This mean traders expect even more upside for the security by the time these contracts expire at the end of the session.

In the last six months, RIOT has shed roughly 37%, falling below multiple key trendlines as BTC failed to find its footing. And while the shares are trading well below a Feb. 17, 10-year high of $79.50, the stock's most recent pullback was contained by the $24.50 area, as well as the 320-day moving average. Year-to-date, RIOT is up 64.9%.

 

Target Effortless Triple-Digit Gains Every Sunday Evening For Life!

This is your chance to triple your profit potential on Sunday evenings, without spending all your free time watching the market.

On Sundays, as a Weekend Plus subscriber, you’ll get up to 6 trades every Sunday, each targeting gains of 200% or more.

Start targeting gains like the ones our subscribers have seen recently, including:

213.3% GAIN on AutoNation calls
100.0% GAIN on Monster Beverage calls
100.4% GAIN on Walgreens Boots Alliance puts
100.4% GAIN on ON Semiconductor calls
257.7% GAIN on Dell calls

101.0% GAIN on Apollo Global Management calls
103.6% GAIN on JP Morgan  Chase calls
105.3% GAIN on DraftKings calls
101.3% GAIN on Airbnb calls
203.0% GAIN on Shopify calls
102.0% GAIN on Cboe Global Markets calls
100.9% GAIN on Boeing calls
102.1% GAIN on Microsoft puts
102.3% GAIN on First Solar calls
101.5% GAIN on PulteGroup calls
101.0% GAIN on Apple calls
209.4% GAIN on NXP Semiconductors calls
100.8% GAIN on Uber Technologies calls
100.4% GAIN on Academy Sports and Outdoors puts
102.2% GAIN on Trade Desk calls
100.8% GAIN on DoorDash calls
100.0% GAIN on Camping World Holdings puts
100.0% GAIN on Cboe Global Markets calls
100.2% GAIN on C3.ai calls
238.5% GAIN on Oracle calls

 
 
 


 
 

Rainmaker Ads CGI