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Strength Seen in Riot Blockchain, Inc. (RIOT): Can Its 11.9% Jump Turn into More Strength?

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Riot Blockchain, Inc. (RIOT - Free Report) shares rallied 12% in the last trading session to close at $6.23. This move can be attributable to notable volume with a higher number of shares being traded than in a typical session. This compares to the stock's 19.8% gain over the past four weeks.

The stock recorded price increase in response to the increase in price of Bitcoin, the world's largest cryptocurrency, over the weekend.

This company is expected to post quarterly earnings of $0.08 per share in its upcoming report, which represents a year-over-year change of -38.5%. Revenues are expected to be $77.24 million, up 124.9% from the year-ago quarter.

Earnings and revenue growth expectations certainly give a good sense of the potential strength in a stock, but empirical research shows that trends in earnings estimate revisions are strongly correlated with near-term stock price movements.

For Riot Blockchain, Inc., the consensus EPS estimate for the quarter has been revised 67.6% lower over the last 30 days to the current level. And a negative trend in earnings estimate revisions doesn't usually translate 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 >>>>

Riot Blockchain, Inc. belongs to the Zacks Technology Services industry. Another stock from the same industry, Paymentus (PAY - Free Report) , closed the last trading session 0.7% higher at $13.60. Over the past month, PAY has returned 2.7%.

Paymentus' consensus EPS estimate for the upcoming report has remained unchanged over the past month at $0.01. Compared to the company's year-ago EPS, this represents a change of -50%. Paymentus currently boasts a Zacks Rank of #2 (Buy).

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