Iren Ltd (IREN): Crypto Mining Giving Way to AI Data Centers

Iren Ltd (NASDAQ:IREN) is one of the most profitable cryptocurrency stocks to buy now. The stock is up roughly 45% year-to-date, and it has exploded more than 590% over the past year. Analysts continue to see upside potential in IREN shares.

Iren Ltd (IREN): Crypto Mining Giving Way to AI Data Centers

On June 4, B.Riley raised its price target on Iren Ltd (NASDAQ:IREN) shares to $96 from $88 while keeping a Buy rating on the stock. The updated target indicates roughly 55% upside from the current price. For this call, B.Riley cited progress in Iren’s Bundey data center project in Australia. According to B.Riley, Iren’s Australian background gives it an edge in a region where AI compute capacity demand is outpacing supply.

Iren Ltd generated $111.2 million in Bitcoin mining revenue in the March quarter, according to the company’s May 7 earnings release. The Bitcoin mining operation contributed roughly 77% of the company’s total revenue of $144.8 million.

During the March quarter, Iren faced lower Bitcoin prices that led to a decline in its Bitcoin revenue compared to the previous quarter. The Bitcoin revenue decline was also a result of the company reducing its mining capacity as it shifts the focus to data center operations to capitalize on the AI boom. Iren Ltd is rapidly building data centers to power AI and high-performance computing workloads.

Australia-based Iren Ltd (NASDAQ:IREN) runs a sprawling Bitcoin mining operation at facilities across North America. In addition to crypto mining, the company operates data centers for AI and cloud workloads. Iren data centers are powered by renewable energy.

While we acknowledge the risk and potential of IREN as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than IREN and that has 10,000% upside potential, check out our report about this cheapest AI stock.

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