MSTR vs. RIOT: A Head-to-Head Stock Comparison
UpdatedHere’s a clear look at MSTR and RIOT, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.
Company Overview
MSTR’s market capitalization of 100.39 billion USD is substantially larger than RIOT’s 3.31 billion USD, indicating a significant difference in their market valuations.
With betas of 3.76 for MSTR and 4.54 for RIOT, both stocks show similar sensitivity to overall market movements.
| Symbol | MSTR | RIOT |
|---|---|---|
| Company Name | MicroStrategy Incorporated | Riot Platforms, Inc. |
| Country | US | US |
| Sector | Technology | Financial Services |
| Industry | Software - Application | Financial - Capital Markets |
| CEO | Mr. Phong Q. Le | Mr. Jason Les |
| Price | 367.18 USD | 9.27 USD |
| Market Cap | 100.39 billion USD | 3.31 billion USD |
| Beta | 3.76 | 4.54 |
| Exchange | NASDAQ | NASDAQ |
| IPO Date | June 11, 1998 | March 31, 2016 |
| ADR | No | No |
Historical Performance
This chart compares the performance of MSTR and RIOT over the past year by tracking the growth of an initial $10,000 investment in each (starting one year ago).
Data is adjusted for dividends and splits.
Profitability
Return on Equity
MSTR
-81.73%
Software - Application Industry
- Max
- 48.87%
- Q3
- 14.81%
- Median
- 2.18%
- Q1
- -11.36%
- Min
- -47.72%
MSTR has a negative Return on Equity of -81.73%. This indicates the company is generating a loss for its shareholders, which can be a result of unprofitability or negative shareholder equity and is often a sign of financial distress.
RIOT
-13.96%
Financial - Capital Markets Industry
- Max
- 42.02%
- Q3
- 20.08%
- Median
- 12.98%
- Q1
- 1.97%
- Min
- -21.32%
RIOT has a negative Return on Equity of -13.96%. This indicates the company is generating a loss for its shareholders, which can be a result of unprofitability or negative shareholder equity and is often a sign of financial distress.
Return on Invested Capital
MSTR
-12.06%
Software - Application Industry
- Max
- 26.81%
- Q3
- 8.27%
- Median
- 0.11%
- Q1
- -9.25%
- Min
- -34.12%
MSTR has a negative Return on Invested Capital of -12.06%. This indicates that its operations are failing to generate a profit on the total capital invested, signaling significant inefficiency or value destruction.
RIOT
-7.93%
Financial - Capital Markets Industry
- Max
- 30.24%
- Q3
- 11.10%
- Median
- 5.61%
- Q1
- -5.05%
- Min
- -16.91%
Return on Invested Capital is often not a primary measure of capital efficiency in the Financial - Capital Markets industry.
Net Profit Margin
MSTR
-1,163.04%
Software - Application Industry
- Max
- 48.14%
- Q3
- 13.41%
- Median
- 0.82%
- Q1
- -14.07%
- Min
- -53.57%
MSTR has a negative Net Profit Margin of -1,163.04%, indicating the company is operating at a net loss as its expenses exceeded its revenues.
RIOT
-86.92%
Financial - Capital Markets Industry
- Max
- 28.67%
- Q3
- 14.12%
- Median
- 10.31%
- Q1
- 0.32%
- Min
- -18.13%
RIOT has a negative Net Profit Margin of -86.92%, indicating the company is operating at a net loss as its expenses exceeded its revenues.
Operating Profit Margin
MSTR
-1,648.40%
Software - Application Industry
- Max
- 44.15%
- Q3
- 11.87%
- Median
- -0.07%
- Q1
- -13.25%
- Min
- -45.17%
MSTR has a negative Operating Profit Margin of -1,648.40%. This signifies the company is unprofitable at the operational level, as its core business expenses exceed its revenue.
RIOT
-61.96%
Financial - Capital Markets Industry
- Max
- 67.17%
- Q3
- 32.91%
- Median
- 15.91%
- Q1
- 1.17%
- Min
- -19.18%
RIOT has a negative Operating Profit Margin of -61.96%. This signifies the company is unprofitable at the operational level, as its core business expenses exceed its revenue.
Profitability at a Glance
| Symbol | MSTR | RIOT |
|---|---|---|
| Return on Equity (TTM) | -81.73% | -13.96% |
| Return on Assets (TTM) | -12.16% | -10.72% |
| Return on Invested Capital (TTM) | -12.06% | -7.93% |
| Net Profit Margin (TTM) | -1163.04% | -86.92% |
| Operating Profit Margin (TTM) | -1648.40% | -61.96% |
| Gross Profit Margin (TTM) | 70.95% | 31.78% |
Financial Strength
Current Ratio
MSTR
0.66
Software - Application Industry
- Max
- 5.09
- Q3
- 2.83
- Median
- 1.68
- Q1
- 1.12
- Min
- 0.04
MSTR’s Current Ratio of 0.66 falls into the lower quartile for the Software - Application industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.
RIOT
3.23
Financial - Capital Markets Industry
- Max
- 5.89
- Q3
- 3.69
- Median
- 1.32
- Q1
- 0.92
- Min
- 0.05
For the Financial - Capital Markets industry, the Current Ratio is often not the most suitable measure of short-term liquidity.
Debt-to-Equity Ratio
MSTR
0.08
Software - Application Industry
- Max
- 1.86
- Q3
- 0.81
- Median
- 0.19
- Q1
- 0.05
- Min
- 0.00
MSTR’s Debt-to-Equity Ratio of 0.08 is typical for the Software - Application industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.
RIOT
0.01
Financial - Capital Markets Industry
- Max
- 3.63
- Q3
- 1.75
- Median
- 0.40
- Q1
- 0.11
- Min
- 0.00
Falling into the lower quartile for the Financial - Capital Markets industry, RIOT’s Debt-to-Equity Ratio of 0.01 points to a conservative financing strategy. This results in lower financial risk but potentially limits strategic investments compared to more leveraged competitors.
Interest Coverage Ratio
MSTR
-229.74
Software - Application Industry
- Max
- 31.61
- Q3
- 7.22
- Median
- 0.27
- Q1
- -13.93
- Min
- -39.97
MSTR has a negative Interest Coverage Ratio of -229.74. This indicates that its earnings were insufficient to cover even its operational costs, let alone its interest payments, signaling significant financial distress.
RIOT
-36.30
Financial - Capital Markets Industry
- Max
- 12.71
- Q3
- 7.77
- Median
- 2.10
- Q1
- 0.25
- Min
- -7.71
The Interest Coverage Ratio is often not a primary indicator of debt servicing capacity in the Financial - Capital Markets industry.
Financial Strength at a Glance
| Symbol | MSTR | RIOT |
|---|---|---|
| Current Ratio (TTM) | 0.66 | 3.23 |
| Quick Ratio (TTM) | 0.66 | 3.23 |
| Debt-to-Equity Ratio (TTM) | 0.08 | 0.01 |
| Debt-to-Asset Ratio (TTM) | 0.00 | 0.01 |
| Net Debt-to-EBITDA Ratio (TTM) | -0.01 | -1.13 |
| Interest Coverage Ratio (TTM) | -229.74 | -36.30 |
Growth
The following charts compare key year-over-year (YoY) growth metrics for MSTR and RIOT. These metrics are based on the companies’ annual financial reports.
Revenue Growth (YoY)
EPS Growth (YoY)
Free Cash Flow Growth (YoY)
Dividend
Dividend Yield
MSTR
0.00%
Software - Application Industry
- Max
- 3.77%
- Q3
- 0.00%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
MSTR currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.
RIOT
0.00%
Financial - Capital Markets Industry
- Max
- 5.89%
- Q3
- 1.82%
- Median
- 0.48%
- Q1
- 0.00%
- Min
- 0.00%
RIOT currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.
Dividend Payout Ratio
MSTR
0.00%
Software - Application Industry
- Max
- 105.87%
- Q3
- 0.00%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
MSTR has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.
RIOT
0.00%
Financial - Capital Markets Industry
- Max
- 128.06%
- Q3
- 42.94%
- Median
- 13.62%
- Q1
- 0.00%
- Min
- 0.00%
RIOT has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.
Dividend at a Glance
| Symbol | MSTR | RIOT |
|---|---|---|
| Dividend Yield (TTM) | 0.00% | 0.00% |
| Dividend Payout Ratio (TTM) | 0.00% | 0.00% |
Valuation
Price-to-Earnings Ratio
MSTR
-17.63
Software - Application Industry
- Max
- 187.96
- Q3
- 100.57
- Median
- 52.22
- Q1
- 24.40
- Min
- 1.42
MSTR has a negative P/E Ratio of -17.63. This occurs when a company has negative earnings (a net loss), making the ratio unsuitable for valuation analysis.
RIOT
-7.66
Financial - Capital Markets Industry
- Max
- 39.29
- Q3
- 26.64
- Median
- 19.77
- Q1
- 13.59
- Min
- 5.38
RIOT has a negative P/E Ratio of -7.66. This occurs when a company has negative earnings (a net loss), making the ratio unsuitable for valuation analysis.
Forward P/E to Growth Ratio
MSTR
0.06
Software - Application Industry
- Max
- 14.09
- Q3
- 6.49
- Median
- 2.64
- Q1
- 0.46
- Min
- 0.02
In the lower quartile for the Software - Application industry, MSTR’s Forward PEG Ratio of 0.06 is a positive indicator. It suggests that the stock may be attractively valued relative to its expected earnings growth.
RIOT
0.02
Financial - Capital Markets Industry
- Max
- 3.89
- Q3
- 2.11
- Median
- 1.41
- Q1
- 0.68
- Min
- 0.02
RIOT’s Forward PEG Ratio of 0.02 is below the typical range for the Financial - Capital Markets industry. This is a strong indicator that the stock may be undervalued, as its price appears low given its future growth prospects.
Price-to-Sales Ratio
MSTR
218.58
Software - Application Industry
- Max
- 18.42
- Q3
- 9.74
- Median
- 5.36
- Q1
- 2.83
- Min
- 0.23
With a P/S Ratio of 218.58, MSTR trades at a valuation that eclipses even the highest in the Software - Application industry. This implies the market has priced in exceptionally optimistic scenarios for future revenue growth, posing considerable valuation risk.
RIOT
7.22
Financial - Capital Markets Industry
- Max
- 13.65
- Q3
- 7.53
- Median
- 2.52
- Q1
- 1.40
- Min
- 0.03
The P/S Ratio is often not a primary valuation tool in the Financial - Capital Markets industry.
Price-to-Book Ratio
MSTR
72.19
Software - Application Industry
- Max
- 19.82
- Q3
- 9.71
- Median
- 5.30
- Q1
- 2.84
- Min
- 0.12
The P/B Ratio is often not a primary valuation metric for the Software - Application industry.
RIOT
1.04
Financial - Capital Markets Industry
- Max
- 9.06
- Q3
- 4.99
- Median
- 2.63
- Q1
- 1.14
- Min
- 0.11
RIOT’s P/B Ratio of 1.04 is in the lower quartile for the Financial - Capital Markets industry. From a value investing perspective, this is favorable, as it suggests the stock is trading at a discount to its net asset value and may offer a greater margin of safety.
Valuation at a Glance
| Symbol | MSTR | RIOT |
|---|---|---|
| Price-to-Earnings Ratio (P/E, TTM) | -17.63 | -7.66 |
| Forward PEG Ratio (TTM) | 0.06 | 0.02 |
| Price-to-Sales Ratio (P/S, TTM) | 218.58 | 7.22 |
| Price-to-Book Ratio (P/B, TTM) | 72.19 | 1.04 |
| Price-to-Free Cash Flow Ratio (P/FCF, TTM) | -4.89 | -2.33 |
| EV-to-EBITDA (TTM) | -13.26 | 27.62 |
| EV-to-Sales (TTM) | 218.68 | 6.94 |