IREN Limited ( IREN ) shares advanced on Tuesday after the data center operator announced a new batch of multi-year agreements with major artificial intelligence companies that are deploying NVIDIA Corporation’s Blackwell GPUs.

The stock gave up its premarket gains and is trading lower at the time of publication.

IREN ( IREN ) said its expanding AI Cloud division remains on track to surpass $500 million in annualized recurring revenue from a combined fleet of 23,000 GPUs that are either active or scheduled to come online by the first quarter of 2026.

The company has locked in customer commitments for roughly 11,000 GPUs—representing about $225 million in annualized cloud revenue—expected to be operational by the end of 2025.

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Contract Details

These NVIDIA Blackwell units are typically leased on two-year contracts that allow IREN ( IREN ) to recoup its investment within the same timeframe.

Beyond the initial 23,000-GPU deployment, IREN ( IREN ) continues to host demonstrations and technical evaluations with potential clients.

Its British Columbia campuses, along with the under-construction Horizon 1 and Horizon 2 facilities in Childress, Texas, will collectively support more than 100,000 GPUs once completed.

The firm’s broader energy portfolio—amounting to 2,910 megawatts of secured power and land—provides further headroom for large-scale AI infrastructure expansion.

“Our ability to rapidly transition from ASICs to GPUs across our British Columbia campuses, and the speed at which we’re building Horizon 1 & 2, demonstrates how IREN ( IREN ) is uniquely positioned to meet accelerating demand for AI compute,” said Daniel Roberts, co-founder and co-CEO of IREN ( IREN ).

“With nearly 3GW of grid-connected power across North America and a cloud services business scaling in size and reputation, we believe IREN ( IREN ) is well positioned to scale with the rapid growth in AI compute needs.”

Price Action

IREN ( IREN ) shares were down 3.36% at $55.81 at the time of publication on Tuesday. The stock is trading near its 52-week high of $58.28, according to Benzinga Pro data.

With a market cap of $15.18 billion and a P/E ratio exceeding 148, the company is positioned in the high-growth segment of the software industry, reflecting investor optimism despite the lack of dividend yield. Its 52-week range highlights significant volatility, as the stock has surged from a low of $5.12 to a recent high near $58.28, indicating a substantial recovery and heightened investor interest in technology solutions.

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