10 Hottest Large-Cap Stocks of 2025

4. Iren Limited (NASDAQ:IREN)

Market Capitalization as of December 29: $12.98 billion

Number of Hedge Fund Holders: 52

Year-to-Date Performance as of December 29: 304.17%

Iren Limited (NASDAQ:IREN) is one of the hottest large-cap stocks of 2025. On December 18, Goldman Sachs initiated coverage of Iren with a Neutral rating and $39 price target. The firm sees Iren as a primary beneficiary of the AI infrastructure boom, forecasting a 7x revenue increase by 2028. While the company’s massive deal to provide GPU capacity to Microsoft provides a clear near-term catalyst, Goldman Sachs warned that the stock is already trading at a premium. The firm remains on the sidelines due to a full valuation.

The centerpiece of Iren’s growth strategy is a landmark $9.7 billion AI cloud contract with Microsoft. Under the five-year agreement, Iren will provide Microsoft with access to 200MW of critical IT load powered by NVIDIA’s latest GB300 GPUs. This single contract is expected to contribute $1.94 billion in annual recurring revenue at an estimated 85% project EBITDA margin. To support this, Iren is accelerating construction of its Horizon 1–4 liquid-cooled data centers at the Childress, Texas site, which are engineered to Tier 3 standards and capable of supporting extreme rack densities of 130kW to 200kW.

In FQ1 2026, Iren reported revenue of $240.3 million, which was a massive 355% year-over-year increase compared to the $52.8 million reported in FQ1 2025. This momentum translated into a record net income of $384.6 million, largely supported by unrealized gains on financial instruments.

Iren Limited (NASDAQ:IREN) operates in the vertically integrated data center business in Australia and Canada. The company owns and operates computing hardware, as well as electrical infrastructure and data centers.