Iris Energy Aktie News

IREN received two analyst upgrades this week. The stock has soared in the last year because of a huge contract with Microsoft.

Iren Limited (IREN +5.29%) is racing to scale its AI Cloud capacity, and the Microsoft contract could be the catalyst that turns this former Bitcoin miner into a real contender in AI infrastructure. I break down the GPU ramp, the funding moves, and what must go right for the upside case to play out, as well as the risks that could surprise investors.

IREN Limited (IREN) is reiterated as a 'Strong Buy' after a 17% dip, with fundamentals and AI-driven growth intact. Management targets $3.4 billion in annualized AI cloud revenue by end-2026, supported by multi-year contracts including Microsoft. IREN trades at a forward P/S below 5 and FY2028 P/E of 16, with net cash and strong profitability, making valuation highly attractive.

On Jan. 12, 2026, a Bitcoin-linked data center operator's AI pivot and Microsoft deal put its growth strategy under the spotlight.

IREN transitioned from small Bitcoin miner to an in-demand AI neocloud in 2025. After achieving Nvidia preferred partner status in August, supply and demand for IREN's capacity skyrocketed.

AI chipmakers are still getting most of the attention, but there are a bunch of small AI stocks that are producing substantial gains while most people focus on big names like Nvidia (NASDAQ:NVDA) and Broadcom (NASDAQ:AVGO).

Advanced Micro Devices' data center business is gearing up for a big year. Iren is well-positioned to benefit from growing investment in data center infrastructure.

Beyond obvious AI plays like Nvidia, experts see opportunity in shares of infrastructure companies, some of which remain cheap.