Update shared on29 Sep 2025
Fair value Increased 49%Analysts have sharply raised IREN’s price target to $43.92, driven by the company’s accelerated expansion into AI cloud infrastructure, aggressive GPU scaling, strong partnership milestones, and robust execution, while some caution persists regarding capex intensity and sustainability after a major rally.
Analyst Commentary
- Bullish analysts are raising price targets significantly due to IREN’s clear differentiation from other Bitcoin miners by aggressively building out its own AI cloud infrastructure, rather than relying on capital-light co-location deals.
- Substantial capex commitment, rapid scaling of GPU purchases (up to 23,000 GPUs), and clear targets for $500M+ in annualized AI Cloud revenues are increasing confidence in future growth and justifying expanded multiples.
- Recent record quarterly results, significant expansion of the AI cloud business, and achieving Nvidia preferred partner status are boosting analyst conviction in the company’s growth trajectory and access to critical technology.
- Execution on infrastructure build, flexible business model (combining full-stack AI Cloud and high-performance compute co-location), and ~3GW power flexibility are seen as key to meeting future demand and optimizing ROI.
- Bearish analysts are expressing caution after the stock’s 400%+ rally from lows, citing risks of capex intensity shifting from Bitcoin mining to AI cloud, potential erosion of supply-side advantages, and concerns over the sustainability of current client demand.
What's in the News
- IREN expanded its AI Cloud capacity to 23,000 GPUs with a $674 million procurement of NVIDIA and AMD hardware, targeting over $500 million in AI Cloud ARR by Q1 2026; deliveries will be staged at the Prince George campus to meet rising demand amid global GPU shortages.
- The company is diversifying its GPU offering to address a broader market and has the infrastructure to support significant further expansion, while managing any impact on its Bitcoin mining capacity by relocating ASICs.
- Anthony Lewis was appointed as Chief Financial Officer, succeeding Belinda Nucifora; he joined IREN in July 2025 as Chief Capital Officer and brings 22 years of capital markets experience from Macquarie Group.
- IREN reported average operating hashrate of 45.4 EH/s and mined 728 BTC in July, following 620 Bitcoin mined in June.
Valuation Changes
Summary of Valuation Changes for IREN
- The Consensus Analyst Price Target has significantly risen from $29.55 to $43.92.
- The Future P/E for IREN has significantly risen from 15.30x to 23.77x.
- The Net Profit Margin for IREN has significantly fallen from 52.68% to 43.64%.
Disclaimer
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