IREN: $19M Of Ebitda Against $30B Of CapEx

IREN Limited is downgraded to Strong Sell due to unsustainable economics and mounting financial risks. IREN's AI cloud revenue surpassed mining, but FY revenue missed estimates and adjusted EBITDA was insufficient to cover soaring stock-based compensation. Operating cash flow is inflated by deferred revenue, masking weak underlying business economics and significant liabilities. Valuation metrics are unattractive, with forward EV/EBITDA requiring a massive earnings ramp and CapEx commitments far outpacing true cash generation.

A lot has happened for IREN (IREN) since I last covered it back in early July. Between the earnings release, the completion of Mirantis, and various other dynamics, it is fair to say that IREN has been