TeraWulf Inc (WULF) AI Stock Analysis

• Market Cap: $4.65B
• Dividend Yield: N/A
• Average Volume (3M): 58.87M
• Price to Earnings (P/E): ―
• Beta (1Y): 2.82
• Revenue Growth: 19.82%
• EPS Growth: -77.95%
• Country: US
• Employees: 12
• Sector: Financial
• Sector Strength: 70
• Industry: Financial - Capital Markets
• EPS (TTM): -0.05
• Shares Outstanding: 407,944,150
• 10 Day Avg. Volume: 38,945,663
• 30 Day Avg. Volume: 58,869,011
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 0.45
• Enterprise Value/Revenue: 14.68
• Enterprise Value/Gross Profit: 33.48
• Enterprise Value/Ebitda: -28.87
• 1Y Price Target: $12.50
• Price Target Upside: 13.95% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 12

• Rating: 58 Neutral
• Price Target: $9.50 ▼(-13.40% Downside)

TeraWulf Inc's overall stock score reflects significant financial challenges, including high leverage and negative cash flow, which are major concerns. However, strong technical momentum and positive corporate developments, such as strategic partnerships and expansions, provide a counterbalance. The earnings call further supports a positive outlook with potential for future growth, though immediate financial risks remain.

Positive Factors

Strategic Partnerships

The partnership with Google enhances TeraWulf's credit profile, providing financial stability and facilitating scalable capital solutions, which strengthens its market position in high-performance computing.

Revenue Growth

Significant revenue growth indicates strong market demand and effective operational strategies, supporting long-term business expansion and financial health.

Data Center Expansion

Long-term lease agreements for data center expansion ensure sustained growth in infrastructure capacity, crucial for supporting future high-performance computing demands.

Negative Factors

High Leverage

High leverage poses financial risks, potentially limiting operational flexibility and increasing vulnerability to market fluctuations, impacting long-term stability.

Negative Cash Flow

Negative cash flow indicates liquidity challenges, which can constrain the company's ability to fund operations and invest in growth, affecting long-term viability.

Profitability Challenges

Ongoing profitability issues suggest difficulties in cost management and revenue generation, which could hinder sustainable growth and investor confidence.

TeraWulf Inc Business Overview & Revenue Model

Company Description

TeraWulf Inc., together with its subsidiaries, operates as a digital asset technology company in the United States. It develops, owns, and operates bitcoin mining facility sites. The company operates two bitcoin mining facility sites located in New York and Pennsylvania. TeraWulf Inc. is based in Easton, Maryland.

How the Company Makes Money

TeraWulf generates revenue primarily through the mining of Bitcoin. The company operates large-scale mining facilities that utilize renewable energy sources, allowing it to minimize operational costs and maximize profitability. Key revenue streams include the direct sale of mined Bitcoin, which is influenced by market prices, and potential hosting services for third-party cryptocurrency miners. Additionally, TeraWulf may enter into strategic partnerships and agreements with energy providers to secure favorable rates, enhancing its competitive edge and overall earnings potential.

TeraWulf Inc Financial Statement Overview

Summary

TeraWulf Inc is experiencing growth in revenue but faces significant challenges in profitability and cash flow. High leverage and negative margins indicate financial instability, while the declining cash flow metrics highlight liquidity concerns. The company needs to address cost management and improve cash generation to enhance financial health.

Income Statement

TeraWulf Inc shows a positive revenue growth rate of 9.14% TTM, indicating some growth potential. However, the company struggles with profitability, as evidenced by negative net profit, EBIT, and EBITDA margins. The gross profit margin has declined from the previous period, suggesting pressure on cost management.

Balance Sheet

The company's debt-to-equity ratio has increased to 2.87 TTM, indicating high leverage and potential financial risk. Return on equity is negative, reflecting ongoing losses. The equity ratio remains stable, but the high debt levels pose a risk to financial stability.

Cash Flow

Operating cash flow and free cash flow are both negative, with a significant decline in free cash flow growth. The free cash flow to net income ratio is positive, suggesting some efficiency in converting net income to cash, but overall cash flow health is weak.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2019
Income Statement
Total Revenue	144.09M	140.05M	69.23M	15.03M	12.74M	17.62M
Gross Profit	63.16M	77.44M	41.91M	3.95M	12.69M	5.40M
EBITDA	-73.26M	-17.41M	161.00K	-38.83M	-43.35M	-223.63K
Net Income	-131.72M	-72.42M	-73.42M	-90.79M	-95.68M	-813.56K
Balance Sheet
Total Assets	869.41M	787.51M	378.11M	317.69M	264.91M	16.88M
Cash, Cash Equivalents and Short-Term Investments	89.99M	274.06M	54.44M	1.28M	46.45M	3.17M
Total Debt	500.88M	491.25M	124.47M	129.31M	95.71M	2.82M
Total Liabilities	695.08M	543.07M	155.62M	199.93M	141.73M	4.62M
Stockholders Equity	174.33M	244.44M	222.49M	117.75M	123.18M	12.26M
Cash Flow
Free Cash Flow	-176.15M	-292.36M	-70.91M	-106.92M	-133.17M	-975.05K
Operating Cash Flow	-61.97M	-24.42M	4.26M	-34.07M	-24.10M	-477.03K
Investing Cash Flow	-129.68M	-91.16M	-78.01M	-94.05M	-201.41M	7.58K
Financing Cash Flow	178.96M	335.21M	119.87M	89.98M	271.97M	-190.03K

TeraWulf Inc Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 10.97
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For WULF, the sentiment is Positive. The current price of 10.97 is above the 20-day moving average (MA) of 10.35, above the 50-day MA of 8.01, and above the 200-day MA of 5.25, indicating a bullish trend. The MACD of 0.92 indicates Positive momentum. The RSI at 63.62 is Neutral, neither overbought nor oversold. The STOCH value of 66.42 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for WULF.

TeraWulf Inc Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
MARA	62 Neutral	6.53B	14.40	14.17%	―	41.32%	-12.83%
BTBT	62 Neutral	1.01B	-8.54	6.11%	―	14.65%	-240.80%
WULF	58 Neutral	$4.65B	―	-46.99%	―	19.82%	-77.95%
CIFR	54 Neutral	5.56B	-26.33	-20.56%	―	0.11%	-914.42%
RIOT	53 Neutral	6.65B	-36.09	-2.88%	―	93.46%	-166.22%
ABTC	53 Neutral	1.23B	-4.50	―	―	―	―
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%

TeraWulf Inc Corporate Events

TeraWulf Inc Completes $1 Billion Convertible Notes Offering

On August 22, 2025, TeraWulf Inc. announced the completion of a $1 billion offering of 1.00% Convertible Senior Notes due 2031, following the full exercise of a $150 million greenshoe option by initial purchasers. The net proceeds, approximately $975.2 million, will be used for data center expansion and general corporate purposes, with $100.6 million allocated to capped call transactions to mitigate potential stock dilution.

TeraWulf Inc Completes $850M Convertible Notes Offering

On August 20, 2025, TeraWulf Inc. completed a private offering of 1.00% Convertible Senior Notes due 2031, raising $850 million. The net proceeds of approximately $828.7 million will be used for data center expansion and general corporate purposes. The notes are convertible into common stock and come with certain conditions and options for redemption and conversion. Additionally, TeraWulf entered into capped call transactions to mitigate potential dilution of its stock.

TeraWulf Inc Upsizes $850M Convertible Notes Offering

On August 18, 2025, TeraWulf Inc. announced the upsize and pricing of its $850 million private offering of 1.00% Convertible Senior Notes due 2031, with an option for initial purchasers to buy an additional $150 million. The proceeds, estimated at $828.7 million, will fund data center expansion and other corporate purposes. The offering, expected to close on August 20, 2025, is aimed at institutional buyers and includes capped call transactions to manage potential stock dilution.

TeraWulf Inc Announces $400M Convertible Notes Offering

On August 18, 2025, TeraWulf Inc. announced its intention to offer $400 million in convertible senior notes due 2031, with an additional option for $60 million, subject to market conditions. The proceeds are intended for data center expansion and general corporate purposes, potentially impacting the company’s market positioning by enhancing its infrastructure capabilities.

TeraWulf Inc Expands with New Data Center Lease

On August 17, 2025, TeraWulf Inc. announced that its subsidiary Akela Data LLC entered into a lease agreement with Fluidstack USA I Inc. for a new data center building, CB-5, at its Lake Mariner campus in New York. This expansion will provide over 160 megawatts of IT load for high-performance computing, with operations expected to begin in late 2026. Google has agreed to backstop certain obligations of Fluidstack under the lease and will receive warrants to acquire shares in TeraWulf. The expansion increases TeraWulf’s contracted capacity with Fluidstack to approximately 360 megawatts, reinforcing Lake Mariner’s position as a leading HPC campus in the U.S. and strengthening TeraWulf’s strategic alignment with Google.

TeraWulf Inc Announces Major Datacenter Lease Agreements

On August 13, 2025, TeraWulf Inc. announced that its subsidiary Akela Data LLC entered into two datacenter lease agreements with Fluidstack USA I Inc. at the Lake Mariner data center campus in New York, providing over 200 megawatts for high-performance computing operations. The agreements, backed by Google, are expected to generate approximately $3.7 billion in revenue over 10 years, with potential extensions increasing this to $8.7 billion. Google will backstop $1.8 billion of Fluidstack’s lease obligations and receive an 8% equity stake in TeraWulf, aligning the company with a major AI partner and enhancing its strategic expansion into high-performance computing.

TeraWulf Inc Secures 80-Year Lease for Expansion

On August 12, 2025, TeraWulf Inc. entered into an 80-year lease agreement for 183 acres at the Cayuga site in Lansing, New York, to expand its high-performance computing and AI data center hosting. This lease allows TeraWulf to develop up to 400 MW of digital infrastructure capacity, with 138 MW expected to be operational by 2026, leveraging predominantly zero-carbon energy. The transaction, approved by a special committee of independent directors, involves a $95 million payment in TeraWulf common stock and $3 million in cash to Cayuga’s parent company, reinforcing alignment between management and shareholders. Additionally, on the same date, TeraWulf restructured its internal leases at the Somerset site to optimize power and infrastructure resources for its bitcoin mining and HPC subsidiaries.

TeraWulf Inc Reports Q2 2025 Financial Results

TeraWulf Inc. reported its financial results for the second quarter of 2025, highlighting a 34% increase in revenue to $47.6 million compared to the previous year, driven by an increase in bitcoin mining capacity and higher bitcoin prices. The company is on track to deliver 72.5 MW of HPC hosting infrastructure to Core42 in 2025 and aims to expand its operational capacity to 200-250 MW by the end of 2026. Despite a reduction in self-mined bitcoin due to the 2024 halving and strategic divestitures, TeraWulf is advancing its strategy to scale its zero-carbon compute infrastructure, securing significant interconnection approvals and preparing to recognize HPC hosting revenue in the third quarter of 2025.