IREN PE Ratio & Valuation,Is IREN Overvalued

IREN Relative Valuation

IREN's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average, adjusted by weights. If the market price exceeds this fair value range, IREN is overvalued; if below, it's undervalued.

Historical Valuation

IREN Ltd (IREN) is now in the Overvalued zone, suggesting that its current forward PS ratio of 8.77 is considered Overvalued compared with the five-year average of -91.95. The fair price of IREN Ltd (IREN) is between 4.80 to 31.53 according to relative valuation methord. Compared to the current price of 40.13 USD , IREN Ltd is Overvalued By 27.28%.

Relative Value

Fair Zone

4.80-31.53

Current Price：40.13

27.28%

Overvalued

-634.12

14.34

EV/EBITDA

IREN Ltd. (IREN) has a current EV/EBITDA of 14.34. The 5-year average EV/EBITDA is 14.89. The thresholds are as follows: Strongly Undervalued below -45.29, Undervalued between -45.29 and -15.20, Fairly Valued between 44.98 and -15.20, Overvalued between 44.98 and 75.07, and Strongly Overvalued above 75.07. The current Forward EV/EBITDA of 14.34 falls within the Historic Trend Line -Fairly Valued range.

79.57

EV/EBIT

IREN Ltd. (IREN) has a current EV/EBIT of 79.57. The 5-year average EV/EBIT is 9.86. The thresholds are as follows: Strongly Undervalued below -51.76, Undervalued between -51.76 and -20.95, Fairly Valued between 40.67 and -20.95, Overvalued between 40.67 and 71.47, and Strongly Overvalued above 71.47. The current Forward EV/EBIT of 79.57 falls within the Strongly Overvalued range.

8.77

IREN Ltd. (IREN) has a current PS of 8.77. The 5-year average PS is 3.81. The thresholds are as follows: Strongly Undervalued below -3.49, Undervalued between -3.49 and 0.16, Fairly Valued between 7.46 and 0.16, Overvalued between 7.46 and 11.11, and Strongly Overvalued above 11.11. The current Forward PS of 8.77 falls within the Overvalued range.

5.25

P/OCF

IREN Ltd. (IREN) has a current P/OCF of 5.25. The 5-year average P/OCF is 29.27. The thresholds are as follows: Strongly Undervalued below -162.33, Undervalued between -162.33 and -66.53, Fairly Valued between 125.06 and -66.53, Overvalued between 125.06 and 220.86, and Strongly Overvalued above 220.86. The current Forward P/OCF of 5.25 falls within the Historic Trend Line -Fairly Valued range.

-2.61

P/FCF

IREN Ltd. (IREN) has a current P/FCF of -2.61. The 5-year average P/FCF is -5.03. The thresholds are as follows: Strongly Undervalued below -47.30, Undervalued between -47.30 and -26.17, Fairly Valued between 16.10 and -26.17, Overvalued between 16.10 and 37.23, and Strongly Overvalued above 37.23. The current Forward P/FCF of -2.61 falls within the Historic Trend Line -Fairly Valued range.

IREN Ltd (IREN) has a current Price-to-Book (P/B) ratio of 3.95. Compared to its 3-year average P/B ratio of 1.71 , the current P/B ratio is approximately 130.98% higher. Relative to its 5-year average P/B ratio of 1.44, the current P/B ratio is about 174.30% higher. IREN Ltd (IREN) has a Forward Free Cash Flow (FCF) yield of approximately -6.66%. Compared to its 3-year average FCF yield of -50.99%, the current FCF yield is approximately -86.94% lower. Relative to its 5-year average FCF yield of -50.80% , the current FCF yield is about -86.89% lower.

3.95

P/B

Median3y

1.71

Median5y

1.44

-6.66

FCF Yield

Median3y

-50.99

Median5y

-50.80

Competitors Valuation Multiple

The average P/S ratio for IREN's competitors is 4.01, providing a benchmark for relative valuation. IREN Ltd Corp (IREN) exhibits a P/S ratio of 8.77, which is 118.78% above the industry average. Given its robust revenue growth of 355.41%, this premium appears sustainable.

P/S

P/E

EV/EBITDA

EV/EBIT

Revenue Growth

Market Cap

Performance Decomposition

Market capitalization of IREN increased by 308.66% over the past 1 year. The primary factor behind the change was an increase in Revenue Growth from 52.76M to 240.30M.

The secondary factor is the P/E Change, contributed 216.59%to the performance.

Overall, the performance of IREN in the past 1 year is driven by Revenue Growth. Which is more sustainable.

355.41%

52.76M → 240.30M

Revenue Growth

-263.34%

-97.99 → 160.06

Margin Expansion

216.59%

6.38 → 20.19

P/E Change

308.66%

9.82 → 40.13

Mkt Cap Growth

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Frequently Asked Questions

Is IREN Ltd (IREN) currently overvalued or undervalued?

What is IREN Ltd (IREN) fair value?

IREN's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average , adjusted by weights. The fair price of IREN Ltd (IREN) is between 4.80 to 31.53 according to relative valuation methord.

How does IREN's valuation metrics compare to the industry average?

What is the current P/B ratio for IREN Ltd (IREN) as of Dec 15 2025?

As of Dec 15 2025, IREN Ltd (IREN) has a P/B ratio of 3.95. This indicates that the market values IREN at 3.95 times its book value.

What is the current FCF Yield for IREN Ltd (IREN) as of Dec 15 2025?

As of Dec 15 2025, IREN Ltd (IREN) has a FCF Yield of -6.66%. This means that for every dollar of IREN Ltd’s market capitalization, the company generates -6.66 cents in free cash flow.

What is the current Forward P/E ratio for IREN Ltd (IREN) as of Dec 15 2025?

As of Dec 15 2025, IREN Ltd (IREN) has a Forward P/E ratio of -634.12. This means the market is willing to pay $-634.12 for every dollar of IREN Ltd’s expected earnings over the next 12 months.

What is the current Forward P/S ratio for IREN Ltd (IREN) as of Dec 15 2025?

As of Dec 15 2025, IREN Ltd (IREN) has a Forward P/S ratio of 8.77. This means the market is valuing IREN at $8.77 for every dollar of expected revenue over the next 12 months.

IREN Valuation