IREN Limited (NASDAQ:IREN) is one of the Best WallStreetBets Stocks to Invest In. On September 24, Bernstein analyst Gautam Chhugani maintained a bullish stance on the company’s stock, giving a “Buy” rating and increasing the price objective to $75 from the prior target of $20. The analyst’s rating is backed by a combination of factors demonstrating IREN Limited (NASDAQ:IREN)’s strategic advancements and growth potential. As per the analyst, the company is distinguishing itself among Bitcoin miners as it i ...

IREN, formerly known as Iris Energy Limited, which recently adopted an AI-focused strategy, is projected to benefit from its move. As per estimations shared by Bernstein, the Bitcoin mining firm is likely to see a hike in its share prices. Related: What is Bitcoin mining? Explained Bernstein's outlook on IREN IREN stock reflected a gain of 12.86% on Sep. 25. With this, its current price has come to $47.14. Estimations from Bernstein analysts predict that the stock price could hit a historic high of $75. ...

Core Viewpoint - IREN Limited is strategically expanding its AI cloud capacity, which is expected to significantly enhance its financial performance and market position, with a notable price target set by analysts indicating substantial growth potential [1][6]. Group 1: Company Developments - IREN has expanded its AI cloud capacity by acquiring 12,400 additional GPUs, increasing its total to 23,000 GPUs, with an investment of $674 million [2]. - The company aims for an annualized run-rate revenue (ARR) of $500 million from its AI Cloud by the first quarter of fiscal 2026 [2][6]. - IREN purchased 4,200 Blackwell B200 GPUs from NVIDIA, which are known for enhanced AI compute performance and energy efficiency, aligning with the company's strategy to improve operational efficiency [3]. Group 2: Stock Performance - IREN's stock has shown a year-to-date increase of 314.5%, significantly outperforming sector and industry averages [4][6]. - The current stock price is $41.81, reflecting a slight decrease of 0.21% or $0.09, with fluctuations between $41.32 and $44.25 on the day [4]. - The company has a market capitalization of approximately $8.97 billion, indicating a strong presence in the market [5][6]. Group 3: Analyst Insights - Darren Aftahi from Roth Capital has set a new price target of $82 for IREN, indicating a potential increase of about 96.67% from the current stock price [1][6].

Group 1 - IREN has expanded its AI Cloud capacity to approximately 23,000 GPUs and raised its annualized run-rate revenue target for the service to $500 million by the end of Q1 2026 [1] - The company has placed orders for an additional 12,400 GPUs at a cost of about $674 million, including various models from NVIDIA and AMD, with deliveries staged over the coming months [2] - Upon full commissioning, IREN's AI Cloud fleet will consist of multiple GPU types, including 1,900 H100 and H200 GPUs, 19,100 B200 and B300 GPUs, 1,200 GB300 GPUs, and 1,100 MI350X GPUs [3] Group 2 - Financing arrangements are in place to support the GPU deployments without materially impacting the company's mining activities [4] - IREN controls 2.91 GW of grid-connected power across the U.S. and Canada, with 810 MW of operating data-center capacity and a pipeline for multi-gigawatt expansion [4] - Following an earnings beat in late August, IREN shares experienced a significant rally, making the company the largest publicly traded bitcoin miner with a market value of $10.5 billion [5]

Core Industry Insights - A significant wave of investment is transforming the AI sector, with specialized computing infrastructure being the driving force behind this change [1] - CoreWeave and Nebius Group are two companies at the forefront of this investment trend, attracting considerable investor interest due to their unique offerings [2] CoreWeave Overview - CoreWeave is focused on dominating the U.S. market through a strategy that emphasizes building a defensible competitive advantage [3] - The company is pursuing a $9 billion all-stock acquisition of Core Scientific to secure critical energy and data center capacity, which is essential for AI operations [4] - This acquisition is projected to eliminate over $10 billion in future lease obligations and generate approximately $500 million in annual cost savings, enhancing future profitability without increasing debt [5] - CoreWeave has established a revenue backlog of $25.9 billion, providing strong visibility into future earnings [6] Nebius Group Overview - Nebius Group is pursuing aggressive international expansion, with a remarkable 385% year-over-year revenue increase reported in its latest quarterly results [7][8] - The company is implementing a $2 billion capital investment plan for 2025 to build new data centers across Europe, the U.S., and the Middle East, which may impact near-term profits but positions it for future growth [8] - Nebius expects to achieve operational profitability, as measured by adjusted EBITDA, in the second half of 2025, supported by a strong balance sheet with a current ratio of 18.0 [9] Competitive Landscape - CoreWeave, valued at around $68 billion, is a larger, more established player focusing on vertical integration, while Nebius, valued at approximately $13 billion, represents a smaller, agile competitor with significant upside potential [10] - Analyst sentiment reflects this dynamic, with CoreWeave holding a Hold consensus rating and Nebius receiving a Buy rating, indicating more growth potential for Nebius [11] Future Outlook - The ongoing build-out of AI infrastructure is characterized as a long-term, generational technology shift, with both CoreWeave and Nebius positioned as key players in this evolving landscape [13] - CoreWeave is seen as a market leader with a secure supply chain, while Nebius offers a compelling case for rapid international growth driven by strategic market capture [14]

Core Insights - The report by Jingya Capital outlines the current state and future trends of the AI Cloud industry in China, highlighting industry dynamics and opportunities. Group 1: Industry Financing and Capital Investment - Global AI financing has shown remarkable performance, with total financing in 2024 increasing by 7% year-on-year, while AI financing surged by 79.6% [2][15][20] - In contrast, China's total financing decreased by 13.6% year-on-year, with AI financing dropping by 14.2%, although AI project financing still accounted for 16% of the total [20][22] - Major cloud companies in China are significantly increasing their investments in AI Cloud, with Alibaba planning to invest 380 billion yuan over the next three years, and Tencent's capital expenditure soaring by 221% year-on-year [25][28] Group 2: Technological Development and Model Competition - China has made significant advancements in AI models, with no clear superiority between domestic and foreign foundational models, while Chinese reasoning models exhibit a cost-performance advantage [3][44] - The lead of American foundational large models has decreased from over a year to less than three months, with Chinese open-source models Qwen3 235B and DeepSeek R1 outperforming the latest American open-source models [3][35] Group 3: Industry Applications and Market Dynamics - The application layer is expected to present substantial opportunities in 2024, with multi-modal content editing and generation in AI for Content being the most recognized by users, accounting for 47.8% [4] - AI for Productivity is evolving from Copilot to Autopilot, with products like Cursor achieving significant commercial value [4] - In the AI for Insight sector, Palantir's stock price has increased 4.5 times over the past year, indicating strong market performance [4] Group 4: Future Development Trends - The AI Cloud industry is anticipated to follow five major trends, including the upgrade of AI applications from Copilot to Autopilot, leveraging GenAI and smart hardware for scalable commercial value, and the rapid development of edge AI [5] - High-quality data is expected to drive embodied intelligence from L0.5 to L1, with a positive correlation between the volume of training data and intelligence level [5] Group 5: Company Analysis and Rankings - The 2024 AI Cloud 100 China list saw 34 new entrants, with the majority of companies located in Beijing, Shanghai, and Hangzhou, and 33 unicorns expected in 2025 with an average valuation of 12.5 billion yuan [6] - 38 companies reported that GenAI revenue exceeded 50%, underscoring the importance of GenAI in the industry [6]