Bernstein Lowers IREN Target to $100: AI Outperform

Bernstein analysts revised the price target for IREN stock from $125 to $100 but maintained the Outperform rating as the preferred stock among AI-focused Bitcoin miners. This downgrade stems from shrinking Bitcoin mining operations and an increase in share count due to recent share issuances; not from any weakening in AI targets. IREN is rapidly transforming from BTC detailed analysis operations to AI cloud services and will completely phase out crypto activities in the coming years. The massive deal signed with Microsoft’la is the cornerstone of this strategic shift.

IREN's Rapid Transformation from Bitcoin Mining to AI Cloud

The company reduced Bitcoin mining to zero value in the model by upgrading its existing infrastructure with GPUs. This move provides protection against BTC futures volatility. The 4.5 gigawatt power assets in Texas, British Columbia, and Oklahoma support AI expansion and offer attractive valuation with undeveloped capacity.

Technical and Financial Details of the Microsoft Deal

IREN leased 77,000 of its 150,000 GPUs to Microsoft for five years; the contract generates $1.94 billion in annual revenue. While the remaining capacity is offered to spot cloud customers, an additional $400 million contract was signed in February. Purchases with Dell and low-interest GPU-collateralized financing covered 95% of the capital needs for the Microsoft deal. This is an expert strategy that increases efficiency in AI infrastructure investments.

Bernstein's AI Revenue Projections and GPU Targets

Year	AI Cloud Revenue (Billion $)	GPU Count	EBITDA Margin (%)
2027	2,6	-	-
2030	6	275 bin	82

Bernstein positions IREN as a leader in the AI sector with these projections. Strong margins stem from the scalable cloud model.

BTC Price and Miners' Transition Strategy to AI

Today's BTC price is 76.368$, sideways trend with 24h -0,60% (RSI 56, Supertrend bearish). The AI transition is critical for miners: Companies like IREN are abandoning crypto and focusing on GPU leasing. Sector peers are making similar moves.

Level	Price ($)	Score	Distance (%)
S1 Support	73.722	84/100 ⭐	-3,47
R1 Resistance	76.836	77/100 ⭐	+0,61

These BTC dynamics justify IREN's AI pivot.

Long-Term Potential and Risks for IREN Stock

As other BTC miners in the sector embrace AI, IREN's share value will rise in the long term. Share dilution is a short-term risk, but the 2030 vision gives a strong signal. Experts emphasize that power assets are undervalued.