Iren, an infrastructure company that has transitioned from bitcoin mining to providing AI cloud services, has seen its shares increase by 493% in the last year. Jefferies initiated coverage on Iren with a 'buy' rating and a price target of $79, highlighting the company's strategic position in the AI infrastructure market.
Analyst Jonathan Petersen noted that Iren's substantial land bank of approximately 6 GW and its vertically integrated GPU cloud approach give it a competitive edge. The company has secured contracts with major hyperscalers like Microsoft and Nvidia, which are expected to generate $3.1 billion in annual recurring revenue.
This strategic pivot has positioned Iren as a credible competitor in the AI space, with 10 out of 15 analysts recommending a buy or strong buy on the stock, indicating strong market confidence in its future growth