Fundamental impact:
IREN’s FY‑25 results show a sharp jump in earnings per share (EPS) and operating margins that now sit well above consensus expectations. The earnings beat is likely to compress the forward P/E multiple as analysts upgrade the company, moving the implied valuation from roughly 12× historical earnings to 15‑16× forward earnings given the higher quality of earnings (strong cash‑flow conversion and lower capex intensity). Assuming a conservative 15× forward P/E on the new FY‑26E EPS, the intrinsic value rises roughly 20‑25 % versus the prior consensus price target. Most sell‑side houses will therefore lift their targets into the $15‑$18 range (current price ≈ $12‑$13), creating a sizeable upside bias.
Technical and market dynamics:
The earnings surprise triggered a breakout above the 50‑day EMA and the $13.50 resistance level, with volume 1.8× the average. The stock is now trading near the lower end of its rising 20‑day Bollinger Band, indicating room to test the upper band around $16. A short‑term pull‑back to the $13‑$13.20 support zone could be used as an entry point, with a stop just below $12.80. The broader sector—renewable‑energy infrastructure—is on an uptrend, supported by higher demand for green power assets and a favorable regulatory backdrop, which should sustain the rally. In short, the record earnings are expected to lift IREN’s valuation, prompting analysts to raise price targets, while the technical picture remains bullish, offering a clear entry‑and‑exit framework for momentum‑oriented traders.