IREN Shares Drop Despite Strong AI Demand and Bullish Analyst Ratings
Despite strong demand for its AI infrastructure with most of 2026 capacity already sold, IREN shares fell by over 13% on Friday. Cantor Fitzgerald reiterated an Overweight rating and a $99 price target following the company's fiscal results. Other analysts also remain largely bullish, though JPMorgan issued a more cautious Sell rating at $46. IREN reported significant revenue growth in its AI Cloud Services business, with quarterly revenue jumping to $70.5 million from $33.6 million previously and reaching $128.8 million for the full fiscal year. The company is expanding rapidly but faces high costs; it recorded a net loss of $684 million in Q2 2026 due largely to impairment charges related to decommissioned Bitcoin mining hardware. IREN's Bitcoin mining segment generated $66.7 million in quarterly revenue, while the firm aims for substantial IT capacity growth through 2027 and beyond.
Tickers: $IREN
Topics: AI infrastructure bullish analyst ratings cryptocurrency stocks