IREN (NASDAQ:IREN) Stock Price Down 1.1% After Analyst Downgrade

IREN Limited (NASDAQ:IREN) traded down 1.1% during mid-day trading on Monday after JPMorgan Chase & Co. lowered their price target on the stock from $65.00 to $55.00. JPMorgan Chase & Co. currently has an overweight rating on the stock. IREN traded as low as $20.05 and last traded at $21.41. 83,626,934 shares traded hands during mid-day trading, an increase of 87% from the average daily volume of 44,769,125 shares. The stock had previously closed at $21.64.

A number of other brokerages have also recently commented on IREN. BTIG Research reaffirmed a “buy” rating on shares of IREN in a research report on Friday. Citigroup restated a “market outperform” rating on shares of IREN in a research note on Friday, August 28th. Rothschild & Co Redburn initiated coverage on IREN in a research note on Monday, September 21st. They issued a “neutral” rating and a $40.00 price objective for the company. Northland Securities initiated coverage on shares of IREN in a report on Friday, September 18th. They issued an “outperform” rating and a $99.00 price target on the stock. Finally, Canaccord Genuity Group reiterated a “buy” rating and issued a $79.00 price target on shares of IREN in a report on Friday, August 28th. One research analyst has rated the stock with a Strong Buy rating, fifteen have issued a Buy rating, four have given a Hold rating and one has assigned a Sell rating to the stock. According to MarketBeat.com, IREN presently has an average rating of “Moderate Buy” and an average price target of $64.57.

IREN News Summary

Here are the key news stories impacting IREN this week:

• Positive Sentiment: IREN’s fiscal Q1 report showed AI-cloud revenue of about $200 million, up 182% quarter over quarter, and adjusted EBITDA margins of 29%. Bullish commentary points to rising GPU lease prices, capacity expansion and the company’s substantial contracted backlog as potential growth drivers. IREN Could Be 70% Undervalued
• Positive Sentiment: JonesTrading upgraded IREN to Buy with a $40 target, while JPMorgan maintained Overweight despite lowering its target from $65 to $55. Both targets remain well above the share price cited in the reports.
• Neutral Sentiment: A Seeking Alpha contributor upgraded their view, arguing IREN’s AI pivot makes the shares more attractive. This is an individual analyst’s opinion, rather than a company announcement. IREN’s AI Pivot Ends My Sell Rating
• Negative Sentiment: IREN’s goal of more than $4 billion in annual recurring revenue has shifted into early 2027. Reports cite a Microsoft deployment delay, rising costs and an estimated $6 billion funding gap as risks to the pace and economics of its AI-cloud buildout, despite a reported $20.3 billion backlog. IREN’s $4B Revenue Goal Delayed
• Negative Sentiment: Several firms cut their targets, including Cantor Fitzgerald, which lowered its target from $99 to $47 and reduced estimates after contracted ARR shifted into early 2027. Wider concerns about lending to AI data-center developers are also adding pressure. Cantor Cuts IREN Price Target

Institutional Investors Weigh In On IREN

Several hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. Phoenix Financial Ltd. raised its stake in shares of IREN by 11.7% during the 3rd quarter. Phoenix Financial Ltd. now owns 11,000 shares of the company’s stock valued at $451,000 after buying an additional 1,150 shares during the last quarter. Eurizon Capital SGR S.p.A. lifted its holdings in shares of IREN by 13.1% in the 3rd quarter. Eurizon Capital SGR S.p.A. now owns 34,405 shares of the company’s stock valued at $1,406,000 after buying an additional 3,990 shares during the period. R Squared Ltd purchased a new stake in shares of IREN in the third quarter worth about $218,000. Nan Fung Trinity HK Ltd. purchased a new stake in shares of IREN in the third quarter worth about $12,058,000. Finally, Jacobi Capital Management LLC acquired a new stake in IREN during the third quarter worth about $100,000. 41.08% of the stock is owned by institutional investors and hedge funds.

IREN Stock Performance

The stock has a market capitalization of $8.44 billion, a price-to-earnings ratio of -5.25 and a beta of 4.33. The firm has a fifty day moving average of $35.87 and a 200 day moving average of $43.60. The company has a debt-to-equity ratio of 1.77, a current ratio of 1.60 and a quick ratio of 1.60.

IREN (NASDAQ:IREN) last announced its quarterly earnings results on Thursday, November 5th. The company reported ($0.66) earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of ($0.72) by $0.06. IREN had a negative return on equity of 16.36% and a negative net margin of 194.36%. The company had revenue of $228.00 million during the quarter, compared to the consensus estimate of $228.26 million. On average, sell-side analysts anticipate that IREN Limited will post -0.49 earnings per share for the current fiscal year.

About IREN

IREN Limited, formerly known as Iris Energy, develops and operates data centers for bitcoin mining and artificial intelligence cloud services. Its AI business provides access to high-performance computing infrastructure, including GPU-based services, for customers with demanding computing needs.

Founded in Australia in 2018 by brothers Daniel and Will Roberts, the company has expanded its data-center operations into North America, including locations in British Columbia, Canada, and Texas.