Analyst Joseph Vafi of Canaccord Genuity maintained a Buy rating on Iris Energy, boosting the price target to $42.00.
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Joseph Vafi has given his Buy rating due to a combination of factors surrounding Iris Energy’s strategic positioning and potential growth. The company’s Sweetwater 1 site near Abilene is poised to benefit from the increasing demand for AI data centers, as Abilene has become a significant hub for such developments. The proximity to major AI data center activities, like those involving Microsoft-Nebius and OpenAI-Oracle, suggests a strong likelihood of Iris Energy securing high-value tenants.
Furthermore, recent deals in the sector have led to significant stock re-ratings for other companies, indicating a favorable market environment for Iris Energy. The anticipated energization of Sweetwater 1 in the first half of 2026, combined with the company’s existing and potential revenue streams from BTC mining and GPU cloud businesses, supports a positive outlook. Vafi’s valuation approach, considering peer comparisons and the sum of parts, underpins the new price target of $42, reflecting confidence in Iris Energy’s future performance.
According to TipRanks, Vafi is a 5-star analyst with an average return of 28.0% and a 52.14% success rate. Vafi covers the Technology sector, focusing on stocks such as Circle Internet Group, Inc. Class A, Strategy, and Globant SA.
In another report released yesterday, Bernstein also initiated coverage with a Buy rating on the stock with a $20.00 price target.