IREN (NASDAQ:IREN) Trading Down 12.4% After Earnings Miss

IREN Limited (NASDAQ:IREN)’s stock price dropped 12.4% on Thursday following a weaker than expected earnings announcement. The stock traded as low as $66.67 and last traded at $66.96. Approximately 49,102,572 shares traded hands during trading, an increase of 101% from the average daily volume of 24,456,287 shares. The stock had previously closed at $76.41.

The company reported $0.19 earnings per share for the quarter, beating analysts’ consensus estimates of $0.17 by $0.02. The company had revenue of $187.30 million for the quarter, compared to analysts’ expectations of $187.51 million. IREN had a return on equity of 1.34% and a net margin of 33.03%.

Analyst Upgrades and Downgrades

Several equities research analysts recently weighed in on the company. Jones Trading cut IREN from a “buy” rating to a “hold” rating in a research note on Tuesday, September 2nd. HC Wainwright reissued a “sell” rating on shares of IREN in a report on Tuesday. Macquarie upped their target price on shares of IREN to $86.00 and gave the company an “outperform” rating in a report on Wednesday, October 22nd. Canaccord Genuity Group lifted their price target on shares of IREN from $37.00 to $42.00 and gave the stock a “buy” rating in a research note on Tuesday, September 16th. Finally, Cantor Fitzgerald boosted their price target on shares of IREN from $27.00 to $41.00 and gave the company an “overweight” rating in a research report on Friday, August 29th. Ten analysts have rated the stock with a Buy rating, three have assigned a Hold rating and three have assigned a Sell rating to the company. Based on data from MarketBeat.com, IREN has a consensus rating of “Hold” and a consensus target price of $60.64.

Insider Buying and Selling

In related news, CEO Daniel John Roberts sold 1,000,000 shares of the stock in a transaction on Thursday, September 11th. The shares were sold at an average price of $33.13, for a total transaction of $33,130,000.00. Following the completion of the sale, the chief executive officer owned 13,989,696 shares in the company, valued at $463,478,628.48. This represents a 6.67% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. 5.02% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

A number of institutional investors have recently bought and sold shares of IREN. Global Retirement Partners LLC purchased a new position in shares of IREN during the third quarter worth about $25,000. Quarry LP acquired a new stake in IREN during the 1st quarter worth approximately $40,000. Sherman Asset Management Inc. purchased a new position in shares of IREN in the 3rd quarter valued at approximately $59,000. Delta Financial Group Inc. acquired a new position in shares of IREN in the first quarter valued at approximately $61,000. Finally, R Squared Ltd raised its stake in shares of IREN by 170.1% during the first quarter. R Squared Ltd now owns 10,290 shares of the company’s stock worth $63,000 after purchasing an additional 6,480 shares during the last quarter. 41.08% of the stock is currently owned by institutional investors and hedge funds.

IREN Price Performance

The company has a debt-to-equity ratio of 0.53, a current ratio of 4.29 and a quick ratio of 4.29. The company has a 50 day moving average price of $49.18 and a 200 day moving average price of $25.60. The firm has a market cap of $18.21 billion, a PE ratio of 113.49 and a beta of 4.21.

IREN Company Profile

IREN Limited, formerly known as Iris Energy Limited, owns and operates bitcoin mining data centers. The company was incorporated in 2018 and is headquartered in Sydney, Australia.