Riot Platforms (RIOT): Assessing Valuation After Record Bitcoin Production and Strong Cost Control in August 2025

Riot Platforms (RIOT) just posted its highest-ever monthly Bitcoin production, cranking out 477 BTC in August 2025. This marks a jump of 48% over last year’s August numbers. The company not only increased its output but did so while holding power costs steady at just 2.6 cents per kilowatt hour. For investors watching the mining space, this combination of record production and disciplined costs is stirring up plenty of fresh debate about where Riot stands in the ever-challenging world of Bitcoin mining.

This milestone comes after a year of steady momentum for Riot. The stock is up nearly 97% over the past twelve months, and almost 29% in the past three months alone, signaling a clear shift in how the market is digesting Riot’s operational consistency and scale-up strategy. Recent gains have been supported by steady revenue growth, operational updates, and Riot’s growing Bitcoin reserves. The company’s disciplined approach appears to be earning investor trust for now, even as the sector continues to face swings in Bitcoin’s price and regulatory headlines.

But here is the big question for anyone eyeing the stock today: is Riot Platforms actually undervalued after this year’s run, or is the market already looking ahead and pricing in more growth?

Most Popular Narrative: 22.7% Undervalued

According to the most widely followed narrative, Riot Platforms stock is seen as undervalued. Current prices are viewed as reflecting a significant discount compared to future earnings expectations, which are based on aggressive expansion and operational scale.

The company's expansion of vertically integrated mining operations, along with ongoing deployment of new, more efficient hardware and a continued focus on operational efficiency, supports increased hash rate and lower unit costs. This enhances Bitcoin production and potential gross profit even as mining difficulty rises.

Eager to understand what is fueling this bullish outlook? The narrative points to surging growth ambitions, operational pivots, and several notable financial projections. Which key assumptions shape that fair value target, and do they defy the norm for typical miners? Explore the full narrative to uncover the specific profit assumptions and cash flow estimates behind this intriguing valuation.

Result: Fair Value of $17.40 (UNDERVALUED)

Have a read of the narrative in full and understand what's behind the forecasts.

However, shifting Bitcoin prices or delays in data center leasing could quickly undermine Riot’s optimism and put pressure on the company’s ambitious growth outlook.

Find out about the key risks to this Riot Platforms narrative.

Another View: High Revenue, But Shares Look Pricey

Looking at things another way, valuation based on sales suggests the stock is expensive compared to the industry average. This view challenges the bullish earnings assumptions. Which side of the debate will prove right?

See what the numbers say about this price — find out in our valuation breakdown.

Stay updated when valuation signals shift by adding Riot Platforms to your watchlist or portfolio. Alternatively, explore our screener to discover other companies that fit your criteria.

Build Your Own Riot Platforms Narrative

If you think there might be more to the story or prefer to dive into the numbers yourself, it is simple to create your own take on Riot Platforms in just a few minutes. Do it your way.

A great starting point for your Riot Platforms research is our analysis highlighting 3 key rewards and 3 important warning signs that could impact your investment decision.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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