IREN Limited’s shares jumped 30% on July 30 after its co-CEO announced that demand for the company’s AI computing capacity far exceeds what it can currently build. This boost helped IREN claw back losses from a recent sell-off in AI infrastructure stocks.
Co-CEO Daniel Roberts highlighted that IREN has already locked in contracts covering 85% of its goal to generate over $4 billion in annualized revenue by 2026. He emphasized that construction teams are actively building new facilities, with thousands working on-site right now to expand the company’s capacity.
The rally is also supported by $2.8 billion worth of AI cloud contracts signed earlier this month with major players including Microsoft and NVIDIA. Many of these deals come with customer prepayments covering around 45% of the GPU costs, easing concerns about how IREN finances its rapid expansion.
While the stock had dropped more than 30% over the past month along with peers like TeraWulf, the volume on the rebound day surged to nearly 73 million shares, above the usual average, signaling strong buying interest and possibly short-covering. Despite this, IREN’s shares remain below their recent highs.
The key question going forward is whether these signed contracts will translate into actual cash flow as IREN ramps up capacity towards its 1.2 gigawatt target for 2027.
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