JPMorgan: IREN's Shift to AI Infrastructure Brings Long-term Benefits, but May Increase Short-term Financial Pressure
Jinse Finance reported that JPMorgan analysts stated that the $9.7 billion contract signed between IREN and Microsoft marks an important step for the company in transitioning from bitcoin mining to artificial intelligence infrastructure, and predicted that its rapid expansion may put pressure on its balance sheet in the coming year. In a client report released Thursday, the bank raised IREN's target share price for December 2026 from $24 to $28, citing the strong momentum of IREN's AI cloud business and the validation of new hyperscale partnerships. However, the analysts also pointed out that as IREN expands its GPU clusters and data center scale, the company faces significant capital requirements and potential equity dilution risks.
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