Contrasting IREN (IREN) and Its Peers

IREN (NASDAQ:IREN) is one of 959 publicly-traded companies in the “Software” industry, but how does it compare to its rivals? We will compare IREN to related businesses based on the strength of its earnings, risk, analyst recommendations, valuation, institutional ownership, dividends and profitability.

Analyst Ratings

This is a summary of current ratings and target prices for IREN and its rivals, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
IREN	2	4	14	1	2.67
IREN Competitors	5448	21014	43907	1442	2.58

IREN currently has a consensus price target of $81.57, indicating a potential upside of 120.23%. As a group, “Software” companies have a potential upside of 259.40%. Given IREN’s rivals higher probable upside, analysts plainly believe IREN has less favorable growth aspects than its rivals.

Earnings and Valuation

This table compares IREN and its rivals gross revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
IREN	$707.01 million	-$702.62 million	-15.83
IREN Competitors	$1.82 billion	$387.52 million	100.61

IREN’s rivals have higher revenue and earnings than IREN. IREN is trading at a lower price-to-earnings ratio than its rivals, indicating that it is currently more affordable than other companies in its industry.

Institutional and Insider Ownership

41.1% of IREN shares are held by institutional investors. Comparatively, 42.4% of shares of all “Software” companies are held by institutional investors. 5.0% of IREN shares are held by insiders. Comparatively, 19.8% of shares of all “Software” companies are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock will outperform the market over the long term.

Profitability

This table compares IREN and its rivals’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
IREN	-99.38%	-15.46%	-5.51%
IREN Competitors	-630.38%	30.82%	-9.08%

Risk and Volatility

IREN has a beta of 4.29, meaning that its stock price is 329% more volatile than the S&P 500. Comparatively, IREN’s rivals have a beta of 1.19, meaning that their average stock price is 19% more volatile than the S&P 500.

Summary

IREN rivals beat IREN on 7 of the 13 factors compared.

About IREN

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.