Why IREN (IREN) Is Up 15.2% After Nvidia Partnership and Earnings Reveal AI Shift

• IREN Limited recently announced robust earnings for the fourth quarter and full year ended June 30, 2025, including a significant jump in sales and a return to profitability, as well as designation as a preferred partner by Nvidia and expansion of its GPU fleet.
• This shift highlights IREN's evolving business model, which now emphasizes both renewable energy-powered Bitcoin mining and rapidly growing AI infrastructure services.
• We will explore how IREN’s new status as a Nvidia preferred partner impacts its long-term transition toward AI and high-performance computing.

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IREN Investment Narrative Recap

To be a shareholder in IREN today, you have to believe in its transformation from a crypto miner into a renewable energy-powered, AI and data infrastructure provider. The latest surge in profitability, Nvidia partnership, and GPU expansion add momentum to growth catalysts, but do not eliminate short-term risks around funding and dilution, which remain the most important issues to watch for now.

Of the recent announcements, the $20 million NYDIG legal settlement stands out as immediately relevant, resolving a major dispute and removing an overhang tied to defaulted bitcoin mining equipment loans. This clarifies IREN’s balance sheet at a time when access to capital and financial flexibility is crucial for realizing its AI ambitions.

Yet in contrast to these positive headlines, investors should be alert to...

Read the full narrative on IREN (it's free!)

IREN's outlook anticipates $1.5 billion in revenue and $560.9 million in earnings by 2028. This is based on a forecasted annual revenue growth rate of 57.6% and a $596.6 million increase in earnings from the current level of -$35.7 million.

Uncover how IREN's forecasts yield a $27.55 fair value, a 4% upside to its current price.

Exploring Other Perspectives

Simply Wall St Community members provided 11 distinct fair value opinions for IREN, ranging from US$11 to US$27.78. With such a wide spread, it is clear that while anticipated growth in AI and digital infrastructure is a catalyst, opinions on what that means for future performance can differ significantly, so reviewing multiple viewpoints is important before making decisions.

Explore 11 other fair value estimates on IREN - why the stock might be worth less than half the current price!

Build Your Own IREN Narrative

Disagree with existing narratives? Create your own in under 3 minutes - extraordinary investment returns rarely come from following the herd.

• A great starting point for your IREN research is our analysis highlighting 3 key rewards and 3 important warning signs that could impact your investment decision.
• Our free IREN research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate IREN's overall financial health at a glance.

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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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