IREN's Value Score Jumps As AI Stock Retreats From 2025 Highs

While many investors chase high-growth stories, others hunt for value, seeking quality companies trading at a discount. For those investors, identifying potentially undervalued stocks is key. In rare cases, investors may find value opportunities in growth stocks.

• IREN stock is feeling bearish pressure. Why is IREN stock falling?

Benzinga’s Edge Rankings system assigns scores to stocks based on momentum, growth, quality and value. The value score is a composite of traditional valuation metrics, including Price-to-Earnings (P/E), Price-to-Sales (P/S) and Price-to-Book (P/B) ratios, benchmarked against industry peers. A higher score suggests the stock may be undervalued at current levels.

Identifying significant moves in a stock's value score can help investors spot opportunities before they are recognized by the broader market. Benzinga’s rankings system flagged one artificial intelligence stock that experienced significant positive changes in their value ranking over the past week.

Standout Stock To Watch: IREN Limited (NASDAQ:IREN) experienced a jump in its value score from 24.75 on Dec. 8 to 42.29 this week.

IREN has shifted its primary focus from mining operations to building and operating high‑performance data centers for artificial intelligence and GPU cloud services, which contributed to a boom in the company's share price this year.

The stock seems to have been caught in a broader pullback among momentum names recently, with investors taking profits after its massive rally, rotating out of high‑growth trades and showing renewed caution around AI‑infrastructure valuations.

Despite the recent sell-off, IREN has been one of 2025’s standout AI infrastructure trades. The stock has surged 243% year-to-date.

The recent drawdown in shares has coincided with an improvement in IREN's value rankings, reflecting increased attractiveness. As the share price has moved lower, the stock has become more attractive to own based on underlying fundamentals.

IREN has a price-to-earnings ratio of 20.4 over the trailing twelve months, and a forward price-to-earnings ratio of 30.3, according to Benzinga Pro.

IREN Analysis: IREN stock opened at $34.89 and reached a high of $35.86 before pulling back, indicating some volatility within the trading session.

The current price is significantly below the recent peak, with the stock trading approximately 35.9% lower than its 50-day moving average. This divergence indicates a bearish trend in the short term, as the price struggles to maintain upward momentum. However, it is worth noting that Iren is still trading 37.7% above its 200-day moving average, which could signify a longer-term bullish outlook if the stock can stabilize and regain upward traction.

Support levels appear to be forming around the $30.00 mark. If the stock breaks below this level, it may face further downside risk. Conversely, resistance is likely to be encountered near the $35.86 session high, which could serve as a barrier to upward movement in the near term.

Market sentiment surrounding IREN remains cautious, as evidenced by the recent price action and technical indicators. Investors will be closely monitoring upcoming earnings reports and broader market trends, which could influence the stock’s trajectory in the coming months.

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IREN Price Action: At the time of writing, IREN shares are trading 4.17% lower at $34.01, according to data from Benzinga Pro.

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