Iris Energy Valuation
| IREN Stock | USD 10.78 1.06 10.91% |
At this time, the firm appears to be overvalued. Iris Energy retains a regular Real Value of $9.67 per share. The prevalent price of the firm is $10.78. Our model calculates the value of Iris Energy from evaluating the firm fundamentals such as Return On Asset of -0.0229, current valuation of 1.43 B, and Return On Equity of -0.0413 as well as inspecting its technical indicators and probability of bankruptcy. Key fundamental drivers impacting Iris Energy's valuation include:
Price Book 1.6772 | Enterprise Value 1.4 B | Enterprise Value Ebitda 56.3351 | Price Sales 9.7503 | Forward PE 58.8235 |
Overvalued
Today
Please note that Iris Energy's price fluctuation is moderately volatile at this time. Calculation of the real value of Iris Energy is based on 3 months time horizon. Increasing Iris Energy's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Since Iris Energy is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Iris Stock. However, Iris Energy's intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value. | Historical | Market 10.78 | Real 9.67 | Target 10.79 | Hype 10.76 | Naive 9.11 |
The intrinsic value of Iris Energy's stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence Iris Energy's stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
Estimating the potential upside or downside of Iris Energy helps investors to forecast how Iris stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Iris Energy more accurately as focusing exclusively on Iris Energy's fundamentals will not take into account other important factors: Traditionally, analysts and sophisticated investors use multiple methods for valuing a cash-flow-generating entity or its stock. For example, some money managers use Iris Energy's intrinsic value based on its ongoing forecasts of Iris Energy's financial statements. In contrast, other private, professional wealth advisors use a multiplier approach by looking to relative value analysis against Iris Energy's closest peers.
Iris Energy Cash |
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Iris Valuation Trend
Knowing Iris Energy's actual value is paramount for traders when making sound investment determinations. Using both Iris Energy's enterprise value as well as its market capitalization is the best way to estimate the value of the company and is usually enough for investors to make market timing decisions.
Iris Energy Total Value Analysis
Iris Energy is currently forecasted to have valuation of 1.43 B with market capitalization of 2.35 B, debt of 1.66 M, and cash on hands of 109.97 M. Please note that valuation may be misleading and is a subject to auditing or accounting errors. We encourage investors to vigilantly validate all of the Iris Energy fundamentals before making equity appraisal based on enterprise value of the company| Takeover Price | Market Cap | Debt Obligations | Cash |
1.43 B | 2.35 B | 1.66 M | 109.97 M |
Iris Energy Investor Information
About 45.0% of the company shares are owned by institutional investors. The company has price-to-book (P/B) ratio of 1.68. Some equities with similar Price to Book (P/B) outperform the market in the long run. Iris Energy recorded a loss per share of 0.29. The entity had not issued any dividends in recent years. Based on the key measurements obtained from Iris Energy's financial statements, Iris Energy is not in a good financial situation at this time. It has a very high probability of going through financial hardship in December.Iris Energy Asset Utilization
The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Iris Energy has an asset utilization ratio of 16.37 percent. This suggests that the Company is making $0.16 for each dollar of assets. An increasing asset utilization means that Iris Energy is more efficient with each dollar of assets it utilizes for everyday operations.Iris Energy Ownership Allocation
Iris Energy has a total of 189.35 Million outstanding shares. 30% of Iris Energy outstanding shares are owned by outside corporations. Institutional investors are typically referred to investors that purchase positions in a given stock to benefit from reduced commissions. Consequently, institutional investors are subject to different rules and regulations than regular investors. Please look out for any change in current institutional holding as this could mean something significant has changed at the company or is about to change. Please note that no matter how many assets the company holds, if the real value of the firm is less than the current market value, you may not be able to make money on it.Iris Energy Profitability Analysis
The company reported the previous year's revenue of 188.76 M. Net Loss for the year was (28.95 M) with profit before overhead, payroll, taxes, and interest of 57.61 M.About Iris Energy Valuation
We use absolute and relative valuation methodologies to arrive at the intrinsic value of Iris Energy. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of Iris Energy based exclusively on its fundamental and basic technical indicators. By analyzing Iris Energy's financials, quarterly and monthly indicators, and their related drivers, we attempt to find the most accurate representation of Iris Energy's intrinsic value. As compared to an absolute model, our relative valuation model uses a comparative analysis of Iris Energy. We calculate exposure to Iris Energy's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of Iris Energy's related companies.| Last Reported | Projected for Next Year | ||
| Gross Profit | 166.6 M | 174.9 M | |
| Pretax Profit Margin | (0.14) | (0.14) | |
| Operating Profit Margin | (0.14) | (0.15) | |
| Net Loss | (0.15) | (0.16) | |
| Gross Profit Margin | 0.88 | 0.58 |
Iris Energy Growth Indicators
Growth stocks usually refer to those companies expected to grow sales and earnings faster than the market average. Growth stocks typically don't pay dividends, often look expensive, and usually trading at a high P/E ratio. Nevertheless, such valuations could be relatively cheap if the company continues to grow, which will drive the share price up. However, since most investors are paying a high price for a growth stock, based on expectations, if those expectations are not fully realized, growth stocks can see dramatic declines.
| Common Stock Shares Outstanding | 99.6 M | |
| Forward Price Earnings | 58.8235 |
Iris Energy Current Valuation Indicators
Iris Energy's valuation analysis is a process of estimating the intrinsic value of all assets and outstanding equities. There are different methodologies and models we use to develop the final Iris Energy's valuation. The techniques such as discounted cash flow and fundamental indicators such as book value per share or market capitalization are well known and widely used across most financial advisers and money managers.
Valuations are an essential part of business, for companies themselves, but also for investors. For companies, such as Iris Energy, valuations can help measure their progress and success and can help them track their performance in the market compared to others. In addition, investors can use Iris Energy's valuations to help determine the worth of potential investments. They can do this by using data and information made public by a company. Regardless of who the valuation is for, it essentially describes Iris Energy's worth.When determining whether Iris Energy offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of Iris Energy's financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of Iris Energy Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Iris Energy Stock: Check out Risk vs Return Analysis to better understand how to build diversified portfolios, which includes a position in Iris Energy. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in income. To learn how to invest in Iris Stock, please use our How to Invest in Iris Energy guide.You can also try the Options Analysis module to analyze and evaluate options and option chains as a potential hedge for your portfolios.
Is Asset Management & Custody Banks space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Iris Energy. If investors know Iris will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Iris Energy listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Earnings Share (0.29) | Revenue Per Share 1.894 | Quarterly Revenue Growth 0.679 | Return On Assets (0.02) | Return On Equity (0.04) |
The market value of Iris Energy is measured differently than its book value, which is the value of Iris that is recorded on the company's balance sheet. Investors also form their own opinion of Iris Energy's value that differs from its market value or its book value, called intrinsic value, which is Iris Energy's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Iris Energy's market value can be influenced by many factors that don't directly affect Iris Energy's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Iris Energy's value and its price as these two are different measures arrived at by different means. Investors typically determine if Iris Energy is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Iris Energy's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.