IREN’s $800 Million Compensation Cloud Hovers Over AI Ambitions as Meta Enters the Fray

IREN shares rally 6% after 36% monthly loss, but investor confidence shaken by $800M CEO options package and Meta's entry into AI cloud market.

After a brutal month that wiped more than 36% from its share price, IREN staged a partial recovery on Friday — but the relief belies two seismic threats that have shaken investor confidence. The stock rallied between 6.05% and 6.64%, depending on the data source, closing in the range of €36.00 to €36.20. Yet the gain does little to mask the damage: the shares now trade nearly 47% below the 52-week high of $68.61 set on 3 November 2025, and remain well below their 50-day and 200-day moving averages of €46.73 and €41.91, respectively.

The most incendiary issue is a compensation package that has angered shareholders. On 1 July 2026, the board granted the co-CEOs, William and Daniel Roberts, 18.2 million stock options — or, according to another filing, restricted stock units — worth roughly $800 million. Short-seller Jim Chanos was quick to highlight the dilutive math: the award represents about 17% of the cumulative adjusted net income IREN expects to generate between fiscal 2027 and 2030. The announcement triggered a sharp sell-off on 2 July, and the stock has continued to struggle.

Compounding the internal uproar, a formidable new competitor has stepped onto IREN’s turf. Meta Platforms is preparing to rent out surplus H100 graphics processors and other AI infrastructure to third parties under the internal banner “Meta Compute.” The social-media giant commands a power pipeline of six gigawatts and has signed chip-related contracts worth over $100 billion. For specialist cloud providers like IREN, CoreWeave and Nebius, the shift threatens to erode pricing power in what was previously a niche market.

IREN is trying to counter on two fronts. The company has brought in new leadership: Kambiz Aghili, formerly of Oracle Cloud Infrastructure, as Chief Product Officer, and Michael Nudelman, previously at Google and CyrusOne, as Chief Development Officer. Both will oversee the AI cloud expansion from San Francisco. Meanwhile, the firm is leaning on its five-gigawatt interconnection portfolio to lock in long-term contracts, with management reportedly negotiating capacity commitments through 2027. Initial recurring revenue streams have already been secured.

The technical picture offers some hope for contrarians. The relative strength index stands between 34.5 and 34.9 — firmly in oversold territory — which helps explain Friday’s bounce. The stock has lost 13.71% in the past seven trading sessions alone, and on a one-month view the decline is 36.25%. Yet the longer-term book value is still impressive: the year-to-date gain hovers around 150–152%, and the market capitalisation sits at roughly €13.5 billion.

The twin blows of executive overreach and hyperscaler muscle have rewritten the rules for IREN. To justify the generous pay packages, management must now demonstrate that its specialised data centres offer a distinct advantage that even a giant like Meta cannot replicate. The next few quarters will be decisive.