IREN Surges 6.26% on AI Pivot, Q2 Earnings Outperformance

IREN (IREN) surged 6.26% on October 9, 2025, reaching its highest level since October 2025, with an intraday gain of 8.50%. The rally reflects renewed investor confidence in the company’s strategic shift from Bitcoin mining to AI infrastructure, marked by significant GPU deployments and partnerships. Analyst upgrades and strong Q2 earnings further fueled the momentum.

The company’s pivot to AI has accelerated, with 11,000 NVIDIA Blackwell GPUs deployed to partners, generating $500 million in annualized recurring revenue. Additional 12,000 GPUs are set for delivery in early 2026, solidifying IREN’s position in the AI cloud sector. Securing preferred partner status with NVIDIA has enhanced its credibility and access to cutting-edge technology, aligning with surging global demand for AI solutions.

Analyst sentiment remains overwhelmingly positive. Cantor Fitzgerald raised its price target to $41.00, while Arete Research initiated coverage with a $78.00 target—the highest among analysts. Institutional investors have also increased stakes, with hedge funds like Exchange Traded Concepts boosting holdings by 46.8%. This institutional buying, combined with a 41.08% ownership stake, underscores confidence in IREN’s long-term growth potential.

Q2 earnings highlighted operational strength, with $0.19 per share and $187.30 million in revenue exceeding forecasts. A 33.03% net margin and 1.34% return on equity signaled efficient cost management. To fund expansion, IREN raised $875 million via convertible notes, prioritizing GPU deployment and AI infrastructure scaling. However, risks persist, including a high P/E ratio and competition from industry giants like NVIDIA and Microsoft.