Why IREN, CIFR, DKNG Stocks Crashed To 52-Week Lows Last Week

The declines reflected challenges across data center development and online gambling.

• IREN stock hit a yearly low of $26.55 on concerns about AI infrastructure investments. 
• Cantor Fitzgerald cut Cipher Mining’s price target to $19 from $28, citing rising AI data center costs. 
• DraftKings stock hit a more-than-three-year low of $18.35 amid NBA betting restrictions. 

IREN (IREN), Cipher Mining Inc. (CIFR) and DraftKings Inc. (DKNG) stocks hit fresh 52-week lows on Friday as investors reacted to mounting concerns about AI infrastructure spending and new limits on sports betting. 

IREN and Cipher Mining stocks slumped 11% and 10%, respectively, while DraftKings stock dropped 2%. 

AI Spending Concerns Shake IREN

IREN stock dropped to an annual low of $26.55 as investors reassessed the long-term value of companies building computing capacity for AI workloads. A warning from research firm Gartner suggested that more than $3.5 trillion in cumulative AI infrastructure investments through 2030 could face financial impairment. 

The concern centers on whether specialized computing providers can maintain profits as major cloud companies develop their own chips and expand internal infrastructure. However, IREN continues to expand its Texas data center operations and increase its Nvidia GPU capacity. On Stocktwits, retail sentiment around the stock remained ‘extremely bullish’. 

Cipher Mining Faces Valuation Pressure

Cipher Mining stock also fell to a yearly low of $8.78 after Cantor Fitzgerald analyst Brett Knoblauch slashed his price target on CIFR to $19 from $28 while maintaining an ‘Overweight’ rating. The lower price target reflects rising costs to connect power, tighter profit expectations, construction cost overruns, and growing local opposition to new AI data centers. 

These pressures have made investors more cautious about the cost of converting cryptocurrency mining infrastructure into facilities capable of supporting advanced computing. The company also proposed a private sale of $850 million in convertible senior notes maturing in 2031. Retail sentiment around the stock remained ‘extremely bullish’. 

NBA Betting Rules Add To DraftKings' Challenges

DraftKings stock fell to over a three-year low of $18.35 after the National Basketball Association introduced restrictions affecting several player-specific wagers offered through authorized sportsbooks. The changes target certain combinations of statistical under bets, along with wagers tied to opening tips, missed shots, and players expected to receive limited playing time.

As a result, DraftKings must balance product growth with changing league rules and regulatory expectations. The gambling company is also facing competitive pressure from Prediction-market platforms such as Kalshi and Polymarket.  

So far this year, DKNG, IREN and CIFR stocks have declined between 28% and 45%.

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