Goldman Sachs Initiates Iren (IREN) With Neutral Rating, Cites AI Growth and High Valuation

The centerpiece of Iren’s maturation strategy is simply a landmark $9.7 cardinal AI unreality declaration with Microsoft. Under the five-year agreement, Iren volition supply Microsoft with entree to 200MW of captious IT load powered by NVIDIA’s latest GB300 GPUs. This azygous declaration is expected to lend $1.94 cardinal successful yearly recurring gross astatine an estimated 85% task EBITDA margin. To enactment this, Iren is accelerating operation of its Horizon 1–4 liquid-cooled information centers astatine the Childress, Texas site, which are engineered to Tier 3 standards and susceptible of supporting utmost rack densities of 130kW to 200kW.

In FQ1 2026, Iren reported gross of $240.3 million, which was a monolithic 355% year-over-year summation compared to the $52.8 cardinal reported successful FQ1 2025. This momentum translated into a grounds nett income of $384.6 million, mostly supported by unrealized gains connected fiscal instruments.

Iren Limited (NASDAQ:IREN) operates successful the vertically integrated information halfway concern successful Australia and Canada. The institution owns and operates computing hardware, arsenic good arsenic electrical infrastructure and information centers.

While we admit the imaginable of IREN arsenic an investment, we judge definite AI stocks connection greater upside imaginable and transportation little downside risk. If you’re looking for an highly undervalued AI banal that besides stands to payment importantly from Trump-era tariffs and the onshoring trend, spot our escaped study connected the best short-term AI stock.

READ NEXT: 30 Stocks That Should Double successful 3 Years and 11 Hidden AI Stocks to Buy Right Now.

Disclosure: None. This nonfiction is primitively published at Insider Monkey.