Broker Canaccord Genuity Says Iren’s (IREN) New Graphics Processing Unit (GPU) Cloud Contract with Microsoft (MSFT) Marks a Point for Bitcoin Miner, it’s pushing hard into the AI infrastructure space.
The broker reiterated its buy rating on shares and raised its price target to $70 from $42, citing the five-year, $9.7 billion deal and upside from Iren’s Data Center expansion.
The distributors It closed 6.8% lower on Friday, at $ 62.38.
The contract includes a 20% prepayment from Microsoft, an expected 32% leveraged internal rate of return (IRR), and the potential to shift investor focus from mining to AI, analysts led by Joseph Vafi wrote.
Microsoft’s Iren will supply NVIDIA’s GB300 GPUs from Horizon’s Texas data centers, a project expected to fund nearly half of Horizon’s $3 billion buildout. While chip and power risks remain, Microsoft’s upward payment and credit backing will help reduce uncertainty, analysts said.
Canaccord calls the upcoming two-gilawatt sweetwater 1 site, Due online in 2026the next major catalyst as power shortage drives hyperscaler demand.
The broker also raised Sweetwater’s valuation to $32 per share.
Irene’s Latest quarter showed $240.3 million in revenue, up 355% year-over-year, with Canaccord featuring scale, cheap power and integration as advantages bridging crypto and AI.
Read more: Wall Street’s Biggest Iren Bull Raises Price Target to $142 After $9.7B Microsoft AI Deal
