Canaccord Raises IREN Target to $70 on Microsoft AI Cloud Deal
November 10, 2025 — Canaccord Genuity has reaffirmed its buy rating on IREN and raised its price target to $70 from $42, saying the company’s new $9.7 billion GPU cloud contract with Microsoft (MSFT) marks a major shift toward AI infrastructure.
The five-year agreement, analysts said, represents a turning point for the bitcoin miner, expanding its reach beyond crypto and into the fast-growing field of artificial intelligence. The deal includes a 20% upfront payment from Microsoft and offers a 32% projected levered internal rate of return (IRR), according to Canaccord’s research note.
Despite the positive assessment, IREN shares closed 6.8% lower on Friday at $62.38.
Under the deal, IREN will deliver Nvidia GB300 GPUs from its Horizon data centers in Texas, with proceeds expected to finance about half of the $3 billion Horizon buildout. While chip and power availability pose potential risks, Microsoft’s prepayment and credit backing help offset near-term uncertainty.
Canaccord also identified IREN’s two-gigawatt Sweetwater 1 facility, scheduled for 2026, as a key catalyst amid tightening power supply for hyperscale operators. The broker raised its valuation of the Sweetwater project to $32 per share.
IREN’s latest quarterly results showed $240.3 million in revenue, up 355% year-over-year. Canaccord said IREN’s scale, energy efficiency, and vertical integration position it strongly at the intersection of crypto mining and AI computing.
