Shares of bitcoin miner Iris Energy (IREN) sharply rose Wednesday after research firm Compass Point upgraded its stock recommendation to buy from neutral.
Analyst Chase White said in a note to clients that IREN has potential to boost its contracted hashrate – and thus increase its bitcoin production – if the company can secure additional computing power at low cost, as it did with Bitmain in August.
White also expects that if Iris can execute its strategy, its stock can trade at a premium versus other small-cap miners.
IREN was trading hands at $4.59 at press time, up nearly 8% on the day. Compass Point has a price target of $6.50/share.
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