We recently compiled a list of the 15 AI News and Ratings Trending on Financial Media. In this article, we are going to take a look at where Iris Energy Limited (NASDAQ:IREN) stands against the other AI stocks that are trending on financial media.
Latest reports from finance news publication The Wall Street Journal reveal that xAI, the AI startup founded by billionaire Elon Musk, is on track to surpass $100 million in annual revenue and could release a standalone app for its Grok chatbot as soon as next month. Per the report, the vast majority of the revenue comes from other companies that Musk chairs, as Grok is only available to users of the X social network, and it has been used as a customer service feature for the Starlink internet service. Grok is competing with other AI chatbots like ChatGPT and Gemini, among others.
Read more about these developments by accessing 10 Best AI Data Center Stocks and 10 Buzzing AI Stocks According to Goldman Sachs.
Meanwhile, Chinese firm ByteDance, the parent company of social media platform TikTok, is reportedly suing a former intern for $1.1 million, alleging he deliberately attacked its artificial intelligence large language model training infrastructure. According to a report by news agency Reuters, the case has drawn attention due to its focus on AI LLM training, a technology that has captured global interest amid rapid technological advances in so-called generative AI, used to produce text, images or other output from large bodies of data. The intern is alleged to have deliberately sabotaged the model training tasks through code manipulation and unauthorized modifications.
Read more about these developments by accessing 30 Most Important AI Stocks According to BlackRock and Beyond the Tech Giants: 35 Non-Tech AI Opportunities.
For this article, we selected AI stocks by combing through news articles, stock analysis, and press releases. These stocks are also popular among hedge funds. Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 275% since May 2014, beating its benchmark by 150 percentage points (see more details here).
A table full of technology, with bitcoin mining rigs and a laptop showing a financial graph.
Iris Energy Limited (NASDAQ:IREN)
Number of Hedge Fund Holders: 28
Iris Energy Limited (NASDAQ:IREN) owns and operates bitcoin mining data centers. It also provides high performance computing solutions, including Al cloud services. On November 27, Roth MKM raised the price target on the stock to $20 from $14 and kept a Buy rating on the shares. Iris Energy accelerated its 50 EH/s timeline to the first half of 2025, which could generate around $714 million or more of annual recurring revenue by the second half of 2025, and improved BTC economics should help support site expansion, the advisory told investors in a research note. Infrastructure investments at Prince George and Childress and not purchasing additional GPUs, suggests Iris could be developing a small high performance computing colocation platform, which is likely to receive a more favorable multiple, Roth says.
Overall IREN ranks 13th on our list of the AI stocks that trending on financial media. While we acknowledge the potential of IREN as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns, and doing so within a shorter timeframe. If you are looking for an AI stock that is more promising than IREN but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
READ NEXT: 8 Best Wide Moat Stocks to Buy Now and 30 Most Important AI Stocks According to BlackRock.
Disclosure: None. This article is originally published at Insider Monkey.