TeraWulf (NASDAQ:WULF) Announces Quarterly Earnings Results, Misses Expectations By $0.82 EPS

TeraWulf (NASDAQ:WULF) announced its quarterly earnings results on Friday. The company reported ($1.01) EPS for the quarter, missing the consensus estimate of ($0.19) by ($0.82), FiscalAI reports. The company had revenue of $34.01 million during the quarter, compared to analyst estimates of $34.69 million. TeraWulf had a negative net margin of 392.64% and a negative return on equity of 131.48%. TeraWulf’s quarterly revenue was down 1.1% compared to the same quarter last year. During the same period in the prior year, the firm earned ($0.16) EPS.

Here are the key takeaways from TeraWulf’s conference call:

• HPC leasing is ramping: HPC lease revenue was $21 million in Q1 (up 117% QoQ), marking an early shift from Bitcoin mining toward stable, credit-backed, contracted revenue streams.
• Operational execution at Lake Mariner: 60 MW of critical IT capacity is energized and generating revenue (Core42 RFS), with CB3 scope due end of May and CB4/CB5 on track for Q3/Q4 2026.
• Strong liquidity and funding position: Cash and restricted cash totaled $3.1 billion at quarter end, with additional capital raised in April boosting parent available cash and funded build programs at WULF Compute and the Abernathy JV.
• Large non-cash and one-time financial hits: GAAP net loss was $427.6 million driven by a $216.3 million fair-value loss on Google warrants, $25.7 million PP&E impairment, and elevated interest expense, though adjusted EBITDA improved to negative $4.1 million.
• Pipeline and power-as-asset strategy: Added the Hawesville site (immediate power) and progressing the Morgantown acquisition (FERC decision expected mid-summer), emphasizing utility partnerships and on-site generation to address industry power constraints.

TeraWulf Stock Performance

Shares of NASDAQ WULF opened at $23.39 on Friday. The company has a current ratio of 2.00, a quick ratio of 2.00 and a debt-to-equity ratio of 33.00. TeraWulf has a 12 month low of $2.89 and a 12 month high of $25.76. The stock has a 50 day moving average of $17.54 and a 200-day moving average of $15.15. The company has a market capitalization of $10.18 billion, a P/E ratio of -14.35 and a beta of 3.84.

Key Stories Impacting TeraWulf

Here are the key news stories impacting TeraWulf this week:

• Positive Sentiment: TeraWulf said it is making progress on its AI infrastructure pivot, with $21 million in HPC lease revenue and a development timeline that remains on track at WULF Compute. The company also reaffirmed its strategy to add 250–500 MW of new contracted capacity annually. Article Title
• Positive Sentiment: The company closed a $250 million revolving credit facility, giving it added financial flexibility to fund development as it expands its contracted HPC and AI data center business. Article Title
• Neutral Sentiment: Analysts and media coverage noted that the stock is being supported by “AI momentum,” with some investors looking past the weak quarter because of the company’s long-term data center opportunity. Article Title
• Neutral Sentiment: The company is targeting 480 MW online in the second half of 2027 while shifting more of its revenue mix toward contracted HPC revenue, which suggests a longer path to meaningful earnings improvement. Article Title
• Negative Sentiment: Q1 EPS came in at a loss of $1.01 per share, well below the expected loss of $0.17, highlighting much steeper-than-expected losses as TeraWulf invests in its transition. Article Title
• Negative Sentiment: Revenue of $34.01 million only narrowly beat estimates and was slightly lower than a year ago, reinforcing concerns that profitability remains under pressure despite the strategic pivot. Article Title

Insider Transactions at TeraWulf

In other news, CFO Patrick Fleury sold 573,586 shares of TeraWulf stock in a transaction that occurred on Tuesday, March 17th. The stock was sold at an average price of $16.14, for a total transaction of $9,257,678.04. Following the completion of the transaction, the chief financial officer directly owned 3,205,000 shares in the company, valued at approximately $51,728,700. The trade was a 15.18% decrease in their position. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, CEO Paul B. Prager sold 137,500 shares of TeraWulf stock in a transaction that occurred on Monday, April 27th. The stock was sold at an average price of $20.80, for a total value of $2,860,000.00. Following the transaction, the chief executive officer owned 963,520 shares of the company’s stock, valued at $20,041,216. This represents a 12.49% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. In the last three months, insiders acquired 13,094 shares of company stock worth $200,392 and sold 954,200 shares worth $16,390,854. 19.90% of the stock is currently owned by corporate insiders.

Institutional Trading of TeraWulf

Several hedge funds have recently added to or reduced their stakes in the company. Franklin Resources Inc. lifted its holdings in TeraWulf by 2.0% during the 4th quarter. Franklin Resources Inc. now owns 63,005 shares of the company’s stock worth $724,000 after purchasing an additional 1,259 shares during the last quarter. Xponance LLC lifted its holdings in TeraWulf by 7.7% during the 4th quarter. Xponance LLC now owns 23,928 shares of the company’s stock worth $275,000 after purchasing an additional 1,713 shares during the last quarter. Sei Investments Co. lifted its holdings in TeraWulf by 5.2% during the 2nd quarter. Sei Investments Co. now owns 37,529 shares of the company’s stock worth $164,000 after purchasing an additional 1,869 shares during the last quarter. Comerica Bank lifted its holdings in TeraWulf by 9.2% during the 3rd quarter. Comerica Bank now owns 24,439 shares of the company’s stock worth $279,000 after purchasing an additional 2,055 shares during the last quarter. Finally, California State Teachers Retirement System lifted its holdings in TeraWulf by 0.7% during the 4th quarter. California State Teachers Retirement System now owns 288,426 shares of the company’s stock worth $3,314,000 after purchasing an additional 2,096 shares during the last quarter. 62.49% of the stock is owned by institutional investors and hedge funds.

Analysts Set New Price Targets

A number of equities analysts have commented on the company. Oppenheimer boosted their price objective on TeraWulf from $20.00 to $25.00 and gave the stock an “outperform” rating in a research note on Monday, April 20th. Rosenblatt Securities restated a “buy” rating and issued a $23.00 price target on shares of TeraWulf in a research note on Wednesday, April 15th. Citigroup restated an “outperform” rating on shares of TeraWulf in a research note on Thursday. Arete Research began coverage on TeraWulf in a research note on Monday, March 23rd. They issued a “buy” rating and a $30.00 price target for the company. Finally, Morgan Stanley restated an “overweight” rating and issued a $41.50 price target on shares of TeraWulf in a research note on Monday, April 27th. Twelve research analysts have rated the stock with a Buy rating, one has assigned a Hold rating and one has assigned a Sell rating to the company’s stock. Based on data from MarketBeat, TeraWulf presently has a consensus rating of “Moderate Buy” and a consensus price target of $25.83.

About TeraWulf

TeraWulf, Inc (NASDAQ: WULF) is a digital asset infrastructure company focused on the development and operation of zero-carbon bitcoin mining facilities. The company integrates sustainable power generation with high-density data center technologies to deliver environmentally responsible digital asset mining services. Its core business revolves around designing, building and operating large-scale mining projects powered exclusively by renewable or emissions-free energy sources.

One of TeraWulf’s flagship projects is “Project Nautilus,” located in Tompkins County, New York, which harnesses hydroelectric power sourced from the New York State Electric & Gas (NYSEG) grid.