IREN Shares Surge 13% Following Strategic AI Partnership with Nvidia

Key Facts

1IREN shares rose 13% in extended trading following the announcement of an AI infrastructure deal with Nvidia.

2IREN will issue Nvidia a five-year right to purchase up to 30 million ordinary shares at an exercise price of $70 per share.

IREN shares experienced a significant market reaction on May 8, 2026, as the company reported a 94% sequential surge in AI cloud revenue to $33.6 million. This growth is driven by a multi-year strategic alliance with Nvidia valued at $3.4 billion, aimed at transforming IREN into a vertically integrated data center player with 5 gigawatts of capacity. The company has secured $3.1 billion in Annual Recurring Revenue (ARR), targeting $3.7 billion by the end of 2026. To solidify this shift, IREN granted Nvidia an option to purchase 30 million shares, valued at approximately $2.1 billion. Despite a decline in Bitcoin mining revenues and a quarterly loss, the strategic pivot toward high-performance computing (HPC) infrastructure remains the primary catalyst. Consequently, Bernstein analysts raised their price target to $100, implying a 76% upside potential.

26 days ago

Version History

2 additional sources confirmed this story

Version 1426 days ago

What changed: Added the specific market reaction date (May 8, 2026) and characterized the partnership as a multi-year transition toward becoming a vertically integrated data center player.

Version 1326 days ago

What changed: The story was updated to include the $3.4 billion total valuation of the Nvidia deal and the $2.1 billion valuation of the granted share options.

Version 1226 days ago

What changed: Updated the story to include the 94% sequential surge in AI cloud revenue, new ARR targets for 2026, and the decline in legacy Bitcoin mining operations.

Version 1126 days ago

What changed: Added specific Q1 financial miss details (EPS and Revenue vs consensus) and technical specifics regarding the deployment of NVIDIA Blackwell systems in Texas.

Version 1026 days ago

What changed: Updated the story to reflect an additional 7% rise in share price on Friday, extending the gains from the Nvidia partnership announcement.

Version 926 days ago

What changed: Added Bernstein's new price target of $100 and the projected 76% upside for the stock.

Version 827 days ago

What changed: Updated the story to include the rise in Nvidia's stock and confirm the positive market reaction to the strategic partnership.

Version 727 days ago

What changed: Added the potential total value of Nvidia's investment ($2.1 billion) and specified the five-year duration of the share purchase option.

Version 627 days ago

What changed: The story was updated to include specific financial figures, showing a 22% revenue decline to $144.8 million for the quarter ended March 31, 2026, attributed to Bitcoin mining headwinds.

Version 527 days ago

What changed: Added specific context regarding Nvidia's 'AI factory' ambitions and the global scale of the infrastructure footprint.

Version 427 days ago

What changed: Added specific details regarding the new $3.4 billion AI cloud services contract over a five-year term.

Version 327 days ago

What changed: Updated the story to clarify that the warrants granted to Nvidia may convert into an actual $2.1 billion equity stake in IREN.

Version 227 days ago

What changed: Added information regarding the timing of IREN's third-quarter financial results release.

Version 127 days ago

What changed: Updated the story to include specific details on Nvidia's $2.1 billion investment and the 5-gigawatt infrastructure deployment target.