Key insights
- Barclays identifies key neocloud and Bitcoin mining stocks poised to benefit from increased hyperscaler capital expenditure on digital and power infrastructure. Companies like Nebius, Coreweave, IREN, Galaxy, Applied Digital, and Terawulf are highlighted for their roles in AI workloads, GPU deployment, and data center expansion. Applied Digital's significant lease deal with a US hyperscaler and IREN's partnerships with Microsoft and Nvidia suggest strong growth potential, potentially boosting related
Investing.com -- Barclays has identified leading companies in the neoclouds and Bitcoin mining sector positioned to benefit from digital and power infrastructure buildout, as tech analysts anticipate significant increases to hyperscaler capital expenditure consensus.
The investment bank compiled a list of over 400 "pick and shovel" companies essential to this infrastructure expansion.
-
Nebius — The company offers high-performance hardware and cloud capacity for intensive AI workloads, positioning it at the forefront of the neocloud infrastructure sector.
-
Coreweave — This flagship neocloud provider has scaled operations to more than 35 global data center locations and secured 1.3 gigawatts of power capacity, establishing a substantial infrastructure footprint.
-
IREN — IREN secured a $9.7 billion partnership with Microsoft and achieved "Nvidia preferred partner" status to scale its GPU fleet, marking significant strategic partnerships in the AI infrastructure space.
IREN announced a transmission connection agreement for a planned 800-megawatt data center campus in South Australia. Following the news, several firms, including B.Riley and Canaccord, raised their price targets on the company.
-
Galaxy — The firm operates a diversified platform that includes institutional mining and infrastructure hosting services.
-
Applied Digital — The company has transitioned from mining to focus "mostly on just infrastructure" with significant GPU deployment projects for clients including CoreWeave.
In a recent development, Applied Digital announced a 15-year lease with a U.S.-based hyperscaler, adding approximately $5.2 billion in revenue. Several firms, including Lake Street and Needham, raised their price targets on the company following the deal.
- Terawulf — The company has undergone a "deliberate strategic transition" toward high-performance computing hosting as its primary business growth driver and operating focus.
Terawulf recently announced the acquisition of a hyperscale high-performance computing development site in Eastern Kentucky, which is expected to support more than 1 gigawatt of data center capacity.
- Riot Platforms — Operating 1.86 gigawatts of power capacity, the company is increasingly shifting power capacity toward AI data center development.
Riot Platforms signed a memorandum of understanding with Terrestrial Energy to evaluate the development of nuclear-powered data centers. Additionally, H.C. Wainwright raised its price target on the company after Advanced Micro Devices exercised an expansion option at Riot’s Rockdale site.
- Cipher Digital — The company develops large-scale data centers for hyperscale tenants including AWS and Google.
Cipher Digital’s subsidiary priced an $810 million senior secured notes offering to help finance the construction of its Stingray Facility data center, which will be leased to Amazon. Bernstein also initiated coverage on the company with an Outperform rating.
-
Core Scientific — The firm has committed to converting "every megawatt" to high-density computing over three years, anchored by a major 200-megawatt contract with CoreWeave.
-
Hut 8 Corp — The company recently shifted to a model where it no longer owns ASIC servers, focusing instead on monetizing 1.50 gigawatts of data center capacity.
-
CleanSpark — The company utilizes energy-first infrastructure to support Bitcoin mining and high-performance AI workloads. Its approach focuses on optimizing power resources to serve dual computing demands.
-
Terawulf — The firm has undergone a "deliberate strategic transition" toward high-performance computing hosting as its primary business growth driver and operating focus, moving away from its original Bitcoin mining emphasis.
-
Soluna Holding — The company develops data centers that utilize excess renewable energy for high-intensity computing applications, positioning itself at the intersection of sustainable power and computational infrastructure.
-
Bit Digital — Having officially exited Bitcoin mining in 2025, the company now provides specialized cloud infrastructure for artificial intelligence workloads, completing its transformation from cryptocurrency operations.
-
Hive Digital — The firm is pivoting to AI infrastructure through its "BUZZ" Tier-III platform, redirecting its resources toward the growing artificial intelligence computing market.
-
Digipower X — The Canada-listed company is pivoting legacy Bitcoin mining infrastructure into Tier 3 high-performance computing for AI through partnerships with Supermicro for modular B200 and B300 GPU pods.
The rankings reflect Barclays’ assessment of companies positioned to support the expanding infrastructure requirements of AI workloads and hyperscale computing operations.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.
The fastest way to find out is with our Fair Value calculator. We use a mix of 17 proven industry valuation models for maximum accuracy. Get the bottom line for NBIS plus thousands of other stocks and find your next hidden gem with massive upside.