Shares in Sydney-based data center operator (IREN) climbed about 8% during the first hour of trading on Monday, extending the 11.51% gain seen on Friday. The stock appears to continue to ride on the recent sentiment-shifting quarterly earnings results from AI chipmaker Micron (MU).
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What’s Happening?
On Friday, Iren’s stock soared after Micron’s Q1 2026 earnings results comfortably beat the consensus on Wall Street. Shares of Iren’s neo-cloud rivals, New Jersey-based CoreWeave (CRWV) and Amsterdam-based Nebius (NBIS), also surged by 22.64% and 14.56%, respectively.
All three stocks plunged on December 11th after cloud company and software giant Oracle’s (ORCL) Q2 2026 earnings sparked investor concern about AI cloud pending and resulted in an ORCL stock sell-off. While Oracle beat the earnings per share estimates on Wall Street, its revenue of $16.2 billion missed analysts’ projections.
However, Micron’s latest earnings — the chipmaker grew its earnings per share and revenue by 167% and 57%, respectively — improved investor sentiment on AI infrastructure stocks and shares such as Iren’s, which are seen as a proxy for this theme.
Analysts Defend IREN Stock amid Selloff
The changing tide for Iren’s shares comes days after B. Riley analysts Nick Giles and Fedor Shabalin contended that the sell-off seen in IREN is sentiment-driven rather than a balance-sheet problem. They urged investors to position themselves for gains when sentiment toward AI companies improves.
Despite recently tumbling more than 47% from its November 5 high of $76.41 per share and falling over 21% in November, IREN stock has surged over 300% since the start of the year. Nonetheless, Goldman Sachs analyst Mike Ng has urged caution on the stock, noting that Iren’s valuation is “relatively full” despite the data center operator and Bitcoin miner’s “hypergrowth.”
Is IREN Stock a Good Buy?
Across Wall Street, Iren Limited’s shares remain a Moderate Buy based on analysts’ consensus. This breaks down to nine Buys, two Holds, and two Sells issued by 13 analysts over the past three months.
However, the average IREN price target of $79.91 implies more than 88% growth potential from current trading levels.
