Zacks Investment Ideas feature highlights: IREN and NVIDIA

For Immediate ReleaseChicago, IL – May 15, 2026 – Today, Zacks Investment Ideas feature highlights IREN Limited IREN and NVIDIA NVDA.IREN: Power & Partnerships Fuel AI GrowthIREN: From Bitcoin Mining to AI InfrastructureIREN Limited, formerly Iris Energy, is a company that has had the fortune of being in the right place at the right time. The company began as a pure-play Bitcoin Miner but has pivoted hard to the red-hot AI infrastructure industry as IREN’s management team realized that the company’s secured land, grid-connected power, and operational data centers would be more valuable for AI purposes than for Bitcoin mining.IREN is a vertically integrated data center operator. While the company’s main focus is on AI cloud services (IREN rents out high-performance NVIDIA GPU clusters to hyperscalers) the company still uses some of its data centers to mine Bitcoin as the company moves to transition toward higher-margin AI contracts.Energy: IREN’s Most Valuable CommodityAI data centers are extremely power-intensive. With an aging electric grid, AI data center operators are increasingly forced to generate their own on-site energy. The only other alternative to onsite energy is to connect to the grid. Unfortunately, it can take 5 years or more to connect to the grid.However, with a cutthroat race for AI supremacy fully underway, America’s tech giants are unwilling to wait so long. IREN benefits from owning a massive portfolio of 5 gigawatts (GW) of secured power capacity globally through its ready-to-plug sites.Vertical Integration Helps IREN ProfitabilityBecause IREN owns its own real estate and data centers and controls its own power, the company can achieve higher margins and gross profits than competitors. Gross profits have been rising steadily since the company’s initial public offering in mid-2024.Massive Revenue Backlog & VisibilityIREN investors enjoy plenty of revenue visibility. The company has more than $10 billion in secured deals and expects annual recurring revenue (ARR) of ~$4 billion. Meanwhile, Wall Street analysts expect revenues to grow 65.78% in 2026 and a juicy 235.35% in 2027.IREN Scores NVIDIA PartnershipIREN recently announced a partnership with NVIDIA, the undisputed AI leader. NVIDIA will purchase up to $2.1 billion worth. Additionally, IREN signed a 5-year, $3.4 billion contract to provide managed GPU cloud services directly to NVIDIA. The deal with NVDA validates IREN’s infrastructure quality. Nebius is a recent example of how powerful the NVIDIA hat tip can be. Shares have more than doubled over the past few months.IREN Technical AnalysisIREN shares are emerging from a picture-perfect monthly bull flag pattern.Bottom LineAs the "physical layer" of the AI revolution becomes the primary bottleneck for growth, IREN Limited has successfully repositioned itself from a crypto miner to a vital infrastructure provider. With a $10 billion revenue backlog, triple-digit projected growth in 2027, and the coveted NVIDIA partnership as a catalyst, the company is primed for further expansion.Why Haven't You Looked at Zacks' Top Stocks?Since 2000, our top stock-picking strategies have blown away the S&P's +7.7% average gain per year. Amazingly, they soared with average gains of +48.4%, +50.2% and +56.7% per year.Today you can access their live picks without cost or obligation.See Stocks Free >>Media ContactZacks Investment Research800-767-3771 ext. 9339support@zacks.comhttps://www.zacks.comPast performance is no guarantee of future results. Inherent in any investment is the potential for loss. This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit https://www.zacks.com/performance for information about the performance numbers displayed in this press release.Beyond Nvidia: AI's Second Wave Is HereThe AI revolution has already minted millionaires. But the stocks everyone knows about aren't likely to keep delivering the biggest profits. AI’s second wave is moving from infrastructure to implementation and these companies are at the forefront of this transition, positioned to become what Amazon and Google were to the internet era.See Stocks Now >>This article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks