Key Highlights
- IREN stock jumped more than 25% in 24 hours after a sharp 13.6% drop on the previous day.
- Investors remain focused on IREN’s $2.8 billion AI cloud contracts and its increased 2026 annualized revenue target of more than $4 billion.
- Around 85% of the new revenue target is already backed by signed contracts, giving investors more confidence in the company’s future growth.
Bitcoin mining company IREN Limited (NASDAQ: IREN) staged a sharp recovery on Thursday, with its shares surging about 25.44% in 24 hours following a steep sell-off the previous day.
According to data from Yahoo Finance, the stock was trading around $36.76 after opening Thursday’s session near $29.42.
The rebound followed Wednesday’s 13% decline, when IREN shares dropped as low as $28.93 before ending the session around $29.31. Trading activity was also much higher than usual, with nearly 69 million shares changing hands compared with the company’s average daily volume of about 42.5 million shares.
However, today’s rally has pushed IREN’s market value above $12.49 billion, while its average trading volume stood at about 48.7 million shares.
But still, the stock remains down about 23% for the month. This was from an intraday high just above $45; in fact, the stock went as low as $25 before coming back up.
Why IREN stock is in trend
Investor attention continues to center on IREN’s expanding AI cloud business. Earlier this month, the company announced that it had signed $2.8 billion worth of new multi-year contracts to provide AI cloud services to artificial intelligence developers. At the same time, it raised its annualized AI Cloud revenue target for the end of 2026 to more than $4 billion, up from its previous goal of $3.7 billion.
The company also shared another important update that appears to have boosted investor confidence. According to IREN, about 85% of its new revenue target is already backed by signed customer contracts. In short, most of the business needed to reach that goal has already been secured, giving investors a clearer idea of the company’s future income.
CEO points to strong demand
Co-Founder and Co-CEO Daniel Roberts also addressed the recent market swings in a post on X. Rather than focusing on the stock price, he pointed to the company’s business progress and the growing demand for its services.
“What we know today: demand for our capacity exceeds everything we can build, 85% of our $4bn+ 2026 target is signed, and there are thousands of people on our sites right now pouring concrete and racking GPUs. We’ve been through way worse than this. Back to it,” he wrote.
Customer funding supports expansion
IREN has previously said its latest contracts are structured to help finance future expansion. Customers will pay part of the cost of building the infrastructure needed for their projects before it is completed.
According to the company, these prepayments cover about 45% of the graphics processing unit (GPU) spending linked to the new agreements. This means the company will not have to fund all of the expensive computer equipment on its own, reducing the amount of money it needs to raise for expansion.
The contracts are expected to last for an average of four years, giving IREN a longer stream of committed business instead of relying on short-term deals.
The company added that demand from cloud providers, businesses, AI developers, and advanced AI research labs is already higher than the computing capacity it currently has or even plans to build. It is now working with customers on more expansion plans for 2026 and 2027.
AI push has influenced IREN price before
IREN’s AI expansion has repeatedly influenced investor sentiment this month. On July 20, the stock jumped nearly 17% in premarket trading after the company first announced the $2.8 billion AI cloud agreements.
That announcement was what initially pushed the market value above $12 billion and highlighted the company’s shift from being known mainly as a Bitcoin miner to becoming a growing player in AI cloud infrastructure.
While Thursday’s rebound recovered a significant portion of the previous day’s losses, investors are likely to remain focused on the company’s execution of its AI strategy and broader market conditions in the coming months.
Also Read: IREN’s AI Pivot: $2.8B in New Contracts vs 24% Monthly Stock Decline
