IREN Stock Skyrockets as Bernstein’s Top Analyst Predicts 80% Upside from AI Expansion

IREN shares erupt after Bernstein's lead analyst drops bullish AI thesis.

The AI Power Play

Bernstein's heavyweight analyst sees explosive growth potential in IREN's artificial intelligence pivot. The firm's aggressive positioning in compute infrastructure positions it for massive upside.

Market Momentum Builds

Trading volume spikes as institutional investors scramble for exposure. The 80% upside projection triggers algorithmic buying waves across exchanges.

Infrastructure Arms Race

Data center expansion and GPU procurement accelerate as AI demand outstrips supply. IREN's strategic investments place it ahead of slower-moving competitors.

Another day, another analyst chasing momentum—because what's finance without a little herd mentality? The real test comes when the AI hype cycle inevitably meets reality.

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The stock is already up nearly 300% year-to-date, and the analyst’s latest MOVE indicates that he sees room for more run.

It must be mentioned that the rating comes after IREN bought GPUs worth $670 million from Nvidia (NVDA) and AMD (AMD) to grow its AI Cloud.

From Mining to AI Cloud

While many crypto miners have opted for “capital-light” partnerships with AI cloud providers like CoreWeave (CRWV), Chhugani noted IREN is taking a different route. It is building its own AI cloud vertical, which includes investment in infrastructure, GPUs, and data center capabilities.

Also, the five-star analyst said he initially doubted IREN’s ability to scale due to high costs, GPU needs, and tough competition from established AI players. However, Chhugani now believes, “IREN has made adequate progress for us to take the AI cloud business seriously, and build an investment case for re-rating.”

Importantly, IREN is guiding for a massive jump in its AI cloud business. It projects $500 million in annual recurring revenue (ARR) by Q1 2026, powered by 23,300 GPUs, mostly Nvidia’s next-gen Blackwell chips. This reflects a huge growth from the $14 million ARR in Q1 2025.

Is IREN a Good Stock to Buy?

Turning to Wall Street, analysts have a Moderate Buy consensus rating on IREN stock based on seven Buys and four Holds assigned in the past three months. Further, the average IREN price target of $36.50 per share implies 24.2% downside risk.