Iris Energy (NASDAQ:IREN) Shares Gap Down - What's Next?

Iris Energy Limited (NASDAQ:IREN) saw its shares gap down significantly on Tuesday before the market opened. The stock was previously trading at $11.99 when it closed but opened at a lower price of $11.22. As of the last trade, Iris Energy's shares were priced at $10.26, with a notable trading volume of 7,730,613 shares.

Analyst Assessments

Various equity analysts have commented on Iris Energy recently. BTIG Research began coverage of the company on December 20th and issued a "buy" rating, setting a price target of $33.00. Meanwhile, Roth MKM initiated coverage on October 2nd, giving Iris Energy a "buy" rating with a target price of $14.00. On November 27th, HC Wainwright revised their price target for the stock from $13.00 to $16.00, while maintaining a "buy" rating. Canaccord Genuity also increased their price target from $15.00 to $17.00 with a "buy" recommendation that same day. Additionally, B. Riley raised their target price from $15.00 to $16.00 on December 19th, also assigning a "buy" rating. In total, two analysts have issued a hold rating, nine have given a buy rating, and one has provided a strong buy rating. The stock has an average rating of "Moderate Buy" based on data from MarketBeat.com, with an average price target of $19.50.

Recent Performance

Iris Energy’s stock has demonstrated positive movement, increasing by 5.3%. The company has a fifty-day moving average of $11.71 and a 200-day moving average of $9.96. On November 26th, Iris Energy released its quarterly earnings report, showing a loss of ($0.22) earnings per share (EPS) for the quarter, which fell short of the consensus estimate of ($0.11) by $0.11. The company reported a negative net margin of 36.10% and a negative return on equity of 8.01%. Analysts anticipate that Iris Energy Limited will achieve an EPS of 0.12 for the current year.

Institutional Investor Activity

Recently, several hedge funds and institutional investors have altered their positions in Iris Energy. Marshall Wace LLP increased its stake by 33.6% in the second quarter, owning 3,811,780 shares valued at approximately $43,035,000 after purchasing an additional 958,494 shares. Van ECK Associates Corp augmented its holdings by 56.1% during the third quarter, now holding 1,605,671 shares worth $13,938,000 following an acquisition of 576,726 shares during that period. Bank of Montreal Can also established a new position in Iris Energy valued at about $9,969,000 in the second quarter. Regal Partners Ltd grew its holdings by 2.7% during the third quarter, owning 875,303 shares worth approximately $7,388,000 after buying an additional 23,132 shares. Furthermore, Geode Capital Management LLC increased its stake by 56.3%, owning 735,071 shares valued at $6,204,000 after acquiring 264,883 more shares. In total, institutional investors and hedge funds own approximately 41.08% of Iris Energy's stock.

About Iris Energy

Iris Energy Limited operates bitcoin mining data centers and was incorporated in 2018, with its headquarters located in Sydney, Australia.

Should You Invest $1,000 in Iris Energy Right Now?

Before making any investment in Iris Energy, it is worth considering the perspectives of market analysts. MarketBeat tracks the most highly rated research analysts who recommend stocks to their clients. Currently, Iris Energy isn't among the top picks as several analysts suggest other stocks that may present more significant opportunities.

As the market evolves, investors should keep abreast of the developments within Iris Energy and examine comparative investments.

Iris, Shares, Investing