Bitcoin miner IREN is attracting attention on Wall Street after Bernstein raised its price target from $20 to $75, suggesting an 80% potential upside. This change reflects IREN's strategic shift towards building its own AI cloud business, moving away from reliance on partner co-location deals. Analysts are optimistic about IREN's ability to generate substantial revenue, forecasting $500 million in annual recurring revenue by Q1 2026, up significantly from $14 million in Q1 2025. The transition to an AI-focused operation is seen as credible despite initial doubts regarding the company's capability to execute such a capital-intensive venture. IREN has seen impressive gains, rising over eight-fold since its low of $5.13 earlier this year. Bernstein's new valuation method assigns 87% of the company's value to its AI efforts, indicating potential for valuation growth compared to established competitors. IREN's power portfolio enhances its ability to balance AI and bitcoin mining revenues, with current operations generating significant EBITDA that supports expansion plans.

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