Key Points:

• After IREN’s fourth-quarter report, broker Canaccord raised its price target from $24 to $37, citing enhanced visibility in AI and mining revenues.
• The company’s Q4 bitcoin mining earnings reached $187.3 million, supported by an efficient operation costing $36,000 to mine each bitcoin.
• Shares surged 25% in early trading on the news.

IREN’s Performance:

IREN (IREN) disclosed that it has made significant advancements in its bitcoin mining and AI sectors. According to a detailed analysis by Canaccord Genuity, the broker confirmed its buy rating and increased the price target considerably, influenced by the firm’s growing confidence in both mining and AI earnings.

In the initial trading period, IREN’s stock increased 25%, reaching a price of $28.75. The company’s mining division achieved an annual revenue run rate exceeding $1 billion, with a remarkable capacity of 50 exahash per second (EH/s) and operating costs notably low at 15 J/TH on 3.5 cent/kWh electricity.

The financial outcomes for bitcoin mining were impressive, with a quarterly revenue climb of 33%, while adjusted EBITDA rose by 46% to $121.9 million. Furthermore, IREN is progressing in its AI initiatives; it quadrupled its hashrate and expanded power capacity to 3 megawatts (MW), with prospects for additional growth in the coming fiscal year.

Canaccord pointed out that IREN had also become a preferred partner of NVIDIA (NVDA), which coincided with the announcement of acquiring 2,400 additional GPUs. With 2,910 MW of secured power capacity and competitive cost structures, Canaccord anticipates that IREN is poised to become one of the largest and most efficient publicly traded mining operations, capitalizing on high-performance computing opportunities.