IREN (NASDAQ:IREN) Trading Down 12.5% – Time to Sell?

IREN Limited (NASDAQ:IREN)’s share price dropped 12.5% during trading on Friday . The stock traded as low as $34.81 and last traded at $35.45. 88,734,130 shares traded hands during mid-day trading, an increase of 106% from the average session volume of 43,171,043 shares. The stock had previously closed at $40.53.

Key IREN News

Here are the key news stories impacting IREN this week:

• Positive Sentiment: AI demand and financing milestones strengthen the growth case. IREN said it has approximately $4 billion of contracted annualized recurring revenue tied to 2026 capacity, with operating ARR around $1 billion today. Its fiscal 2026 AI cloud capacity is largely sold out, and a new multi-year contract with a leading frontier AI laboratory adds to customer visibility. IREN Reports FY26 Results
• Positive Sentiment: Blue Owl is leading $2.4 billion of secured financing—a $1.2 billion term loan and $1.2 billion of senior secured notes—to fund NVIDIA Blackwell Ultra GPU purchases for IREN’s Mackenzie data center campus in British Columbia. The financing supports expansion while limiting the immediate need for equity capital, although it increases leverage. Blue Owl AI Factory Financing for IREN
• Positive Sentiment: Several analysts maintained bullish ratings after the results, including Canaccord Genuity, BTIG Research and Cantor Fitzgerald, with price targets ranging from $79 to $99. These calls suggest some analysts view the selloff as an opportunity ahead of the expected AI revenue ramp. Cantor Fitzgerald Analyst Comment
• Neutral Sentiment: Fiscal fourth-quarter revenue was approximately $137.2 million, while the per-share loss of $0.41 beat some consensus estimates. However, revenue declined sequentially as mining hardware was decommissioned ahead of GPU installations, and other reports cited a wider adjusted loss and higher revenue expectations.
• Negative Sentiment: A nearly $640 million impairment tied to mining equipment contributed to a roughly $684 million quarterly net loss. The charge highlights the cost of abandoning the legacy Bitcoin-mining business and overshadowed more than doubling AI cloud revenue. IREN Mining Rig Writedown
• Negative Sentiment: Management indicated sustained profitability may not arrive until 2029–2030, keeping valuation, cash-burn, execution and financing risks elevated. A broader selloff in AI data-center stocks and concerns that NVIDIA may shelve revenue-sharing arrangements added pressure to the group. IREN AI Pivot After Earnings

Wall Street Analysts Forecast Growth

A number of equities analysts have issued reports on IREN shares. Weiss Ratings lowered shares of IREN from a “hold (c-)” rating to a “sell (d+)” rating in a research report on Tuesday, July 7th. Sanford C. Bernstein reissued an “outperform” rating and issued a $100.00 price target on shares of IREN in a report on Thursday, August 13th. JPMorgan Chase & Co. raised their price objective on shares of IREN from $39.00 to $46.00 and gave the stock an “underweight” rating in a research note on Monday, May 11th. The Goldman Sachs Group reaffirmed a “neutral” rating on shares of IREN in a report on Monday, July 20th. Finally, HC Wainwright reiterated a “buy” rating and issued a $90.00 target price on shares of IREN in a research note on Friday. One research analyst has rated the stock with a Strong Buy rating, fourteen have assigned a Buy rating, four have given a Hold rating and two have assigned a Sell rating to the company’s stock. Based on data from MarketBeat, the company presently has an average rating of “Moderate Buy” and an average price target of $81.57.

IREN Price Performance

The company has a debt-to-equity ratio of 1.44, a current ratio of 3.72 and a quick ratio of 3.72. The stock has a market capitalization of $12.67 billion, a price-to-earnings ratio of 73.85 and a beta of 4.29. The stock has a 50 day moving average price of $41.68 and a 200-day moving average price of $45.59.

IREN (NASDAQ:IREN) last announced its quarterly earnings data on Thursday, August 27th. The company reported ($0.41) earnings per share for the quarter, beating analysts’ consensus estimates of ($0.55) by $0.14. IREN had a negative return on equity of 13.13% and a net margin of 20.90%.The company had revenue of $137.22 million for the quarter, compared to analyst estimates of $132.29 million. On average, analysts forecast that IREN Limited will post -1.41 earnings per share for the current year.

Institutional Trading of IREN

Large investors have recently bought and sold shares of the business. Situational Awareness LP grew its holdings in IREN by 34.5% in the 1st quarter. Situational Awareness LP now owns 11,698,835 shares of the company’s stock valued at $401,036,000 after buying an additional 2,998,214 shares in the last quarter. Sumitomo Mitsui Trust Group Inc. acquired a new position in shares of IREN during the 1st quarter valued at about $20,878,000. Triglav Investments D.O.O. purchased a new stake in shares of IREN in the first quarter valued at about $871,000. Oppenheimer & Co. Inc. raised its stake in IREN by 257.8% during the fourth quarter. Oppenheimer & Co. Inc. now owns 26,958 shares of the company’s stock worth $1,018,000 after purchasing an additional 19,423 shares during the period. Finally, Sanctuary Advisors LLC boosted its holdings in IREN by 282.2% in the 4th quarter. Sanctuary Advisors LLC now owns 46,224 shares of the company’s stock valued at $1,746,000 after purchasing an additional 34,129 shares during the last quarter. Hedge funds and other institutional investors own 41.08% of the company’s stock.

IREN Company Profile

IREN Limited, formerly known as Iris Energy Limited, owns and operates bitcoin mining data centers. The company was incorporated in 2018 and is headquartered in Sydney, Australia.