Multiple neocloud and power-focused data-center stocks (TeraWulf, IREN) surge on reversal of market pessimism and policy tailwinds.

Shares of TeraWulf (NASDAQ: WULF) rose on Monday after the digital infrastructure developer struck a blockbuster deal with leading artificial intelligence model maker Anthropic. IREN (NASDAQ: IREN), a data center operator, also saw its shares climb sharply on reports that it could be in line to sign a lucrative computing capacity agreement with the AI giant.

TeraWulf signed a 20-year lease with Anthropic at its Justified Data campus in Kentucky. The project is projected to go online in the second half of 2027 and ramp up to 401 megawatts of computing power by early 2028. The deal is forecast to generate $19 billion in contracted revenue.

"The Anthropic lease validates our strategy and establishes a long-duration revenue stream with one of the world's leading AI companies," TeraWulf CEO Paul Prager said in a press release.

TeraWulf also agreed to sell its 50.1% stake in its Abernathy Joint Venture to an investor group led by its development partner Fluidstack. The deal will generate a profit on its $450 million investment and free up cash for TeraWulf to deploy into additional AI infrastructure projects.

News also broke that Anthropic was seeking computing resources in Australia, reportedly aiming to secure at least 1.4 gigawatts of data center capacity in a deal potentially valued at up to $15 billion. IREN is believed to be a leading candidate for at least a portion of this project.

Freedom Capital Markets analyst Paul Meeks upgraded IREN's stock from hold to buy and reiterated his $58 share price target. Meeks projects IREN's revenue will surge from $717 million this year to $8.5 billion in fiscal 2028.