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Strength Seen in Riot Blockchain, Inc. (RIOT): Can Its 6.6% Jump Turn into More Strength?

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Riot Blockchain, Inc. (RIOT - Free Report) shares soared 6.6% in the last trading session to close at $27.85. The move was backed by solid volume with far more shares changing hands than in a normal session. This compares to the stock's 11.1% loss over the past four weeks.

The stock recorded price increase on the expectation of the launch of first bitcoin futures ETF very soon.

This company is expected to post quarterly earnings of $0.41 per share in its upcoming report, which represents a year-over-year change of +1125%. Revenues are expected to be $77.35 million, up 3044.3% from the year-ago quarter.

While earnings and revenue growth expectations are important in evaluating the potential strength in a stock, empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements.

For Riot Blockchain, Inc., the consensus EPS estimate for the quarter has been revised 29% higher over the last 30 days to the current level. And a positive trend in earnings estimate revision usually translates into price appreciation. So, make sure to keep an eye on RIOT going forward to see if this recent jump can turn into more strength down the road.

The stock currently carries a Zacks Rank 3 (Hold). You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>

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