IREN shares jump 7.6% as CoreWeave's strong earnings lift neocloud sector
IREN shares surged 7.6% in premarket trading Wednesday after CoreWeave's strong Q3 earnings lifted the entire neocloud sector, signaling sustained demand for AI computing infrastructure. CoreWeave reported revenue of $3.66 billion, up 168% year-over-year and above consensus estimates of $3.54 billion, with adjusted operating income also beating expectations. The company announced a new funding strategy centered on contract-backed loans, easing investor concerns about heavy debt burdens that had pressured the sector. IREN's own fundamentals supported the rebound, with AI cloud revenue nearly tripling to $200 million in its fiscal Q1 2027 results. However, lingering uncertainty over a downgrade by CCB Int'l and delayed annual recurring revenue targets kept the stock below its 52-week high of $70.71, despite favorable market conditions with Nasdaq up 1.9%.