IREN Update: GPU Purchases and NVIDIA Cloud Contract

IREN has secured a $1.6 billion agreement with Dell for NVIDIA Blackwell systems to support its pivot from Bitcoin mining to AI cloud services. Goldman Sachs maintains a Neutral rating but raises the price target to $50 due to better-than-expected procurement costs.

Key Takeaways

• 1.IREN signed a $1.6 bn deal with Dell for NVIDIA Blackwell-based systems as part of a 5-year AI cloud contract.
• 2.The company is pivoting away from Bitcoin mining, planning to wind down those operations by the end of 2026.
• 3.Price target raised to $50.00 from $44.00 due to a lower-than-expected GPU purchase price ($1.6bn vs $2.0-2.5bn previously estimated).

Table of Contents

• Estimate changes
• Price target and risks
• Key Data
• GS Forecast
• Ratios & Valuation
• Growth & Margins (%)
• Price Performance
• Income Statement ($ mn)
• Balance Sheet ($ mn)
• Cash Flow ($ mn)
• Disclosure Appendix

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