Goldman Sachs initiated coverage of IREN Ltd. on Thursday. The firm assigned a 'Neutral' rating and set a price target of $39.00 per share.
Analyst Michael Ng acknowledged the company's "hypergrowth" trajectory. This growth is significantly bolstered by a five-year, $9.7 billion contract with Microsoft.
Projections show potential revenue expanding from $501 million in fiscal 2025 to $3.8 billion by fiscal 2028.
Despite the strong forecast, Goldman Sachs expressed caution. The firm cited that the stock's valuation appears "relatively full." Uncertainty regarding Iren’s growth prospects beyond its major existing deals also contributed to the neutral stance.