Cantor Fitzgerald maintains IREN stock with $23 target

Published 13/02/2025, 16:09
Cantor Fitzgerald maintains IREN stock with $23 target

On Thursday, Cantor Fitzgerald reaffirmed its positive stance on IREN Ltd. (NASDAQ:IREN), maintaining an Overweight rating and a price target of $23.00. The firm’s analyst highlighted IREN’s second fiscal quarter of 2025 results, which aligned with revenue expectations and exceeded in EBITDA performance. Currently valued at $2.8 billion, IREN has demonstrated impressive revenue growth of 120% over the last twelve months. The company’s average installed hash rate saw a significant year-over-year increase of 376%, while the average network hash rate climbed 61.2%. According to InvestingPro analysis, IREN shows strong growth potential with analysts expecting continued sales growth this year.

IREN’s Bitcoin mining endeavors in the quarter resulted in the production of 1,347 Bitcoin at an average price of $84.2k each. This is an increase from the 1,144 Bitcoin mined in the same quarter the previous year, when the average price was $36.7k. The substantial growth in Bitcoin mining contributed to a year-over-year revenue surge of 189%. The company maintains impressive gross profit margins of 88%, though InvestingPro data indicates it operates with moderate debt levels.

The analyst also pointed out improvements in IREN’s fleet efficiency, which reached 15 joules per terahash (J/TH) at the end of the quarter, a significant improvement from 29.5 J/TH at the end of the second quarter of 2024. This advancement positions IREN as the operator of the most efficient Bitcoin mining fleet among publicly traded companies.

Moreover, IREN has successfully restructured its energy contracts, achieving the lowest cost to mine a Bitcoin in the industry. This strategic move began to reflect positively in the company’s financials, with IREN reporting $53.7 million in operating cash flow for the quarter. The analyst’s remarks underscore the company’s strong performance and strategic positioning within the cryptocurrency mining sector.

In other recent news, IREN Ltd. has garnered attention from various analysts and reported strong operational results. Cantor Fitzgerald has upgraded IREN’s stock rating from Overweight to Neutral, maintaining a price target of $23. H.C. Wainwright also revised its stance, lifting the price target to $22 from $16 and maintaining a Buy rating, following IREN’s strong second-quarter fiscal year 2025 results and a strategic shift towards high-performance computing and artificial intelligence business expansion.

Canaccord Genuity also raised its price target for IREN to $23 from $17, keeping its Buy rating, applauding IREN’s strategic initiatives and recent operational progress. Moreover, IREN Ltd. disclosed its January 2025 operational results, reporting an average operating hashrate of 29.0 EH/s for January, leading to the mining of 1,521 Bitcoins.

The company’s total revenue for January reached $52.0 million, and it maintained a robust hardware profit margin of 75%. IREN’s AI Cloud Services also showed positive results, with revenues of $0.8 million and a high hardware profit margin of 96%. These are the recent developments that investors need to keep an eye on.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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