TeraWulf (NASDAQ:WULF) Posts Earnings Results, Beats Expectations By $0.15 EPS

TeraWulf (NASDAQ:WULF) released its earnings results on Friday. The company reported ($0.03) earnings per share for the quarter, beating the consensus estimate of ($0.18) by $0.15, FiscalAI reports. TeraWulf had a negative return on equity of 458.62% and a negative net margin of 1,179.94%. The company had revenue of $76.23 million for the quarter, compared to the consensus estimate of $62.49 million. During the same period in the previous year, the business earned ($1.13) earnings per share. TeraWulf’s quarterly revenue was up 50.7% compared to the same quarter last year.

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

• TeraWulf said Justified has approximately $19 billion of contracted revenue under its Anthropic lease, with Google credit support and a definitive Fluor EPC agreement covering all three buildings. The company says it has the required equity and expects to finance the remaining capital with project-level debt, while construction costs are estimated at $10 million–$12 million per critical IT megawatt.
• Lake Mariner’s CB3 is online, and TeraWulf expects CB4 to add 168 critical megawatts by year-end and CB5 to add another 168 in Q1 2027. By the end of Q1, it expects about half of contracted critical IT capacity to be operating and approximately $700 million of annualized leasing revenue.
• Third-quarter revenue rose to $76.2 million, but adjusted EBITDA remained negative at $12.8 million. Reported net income of $709.9 million was driven mainly by a non-cash Google-warrant fair-value adjustment and a gain on the Abernathy joint-venture sale, rather than underlying operating profitability.
• TeraWulf reported $2.4 billion of cash and restricted cash at quarter-end and said existing liquidity, revolving-credit capacity, and expected Abernathy sale proceeds should fund remaining Lake Mariner commitments, Justified equity contributions, and Muskie letter-of-credit needs without accessing equity markets. WULF Compute’s estimated cost is about $8.9 million per critical IT megawatt, within its original guidance range.
• Muskie has a contracted path to an initial gigawatt of power, including a proposed 760-megawatt gas plant that requires Kentucky regulatory approval; TeraWulf is exploring whether part of the second 500 megawatts can be accelerated. The company cited strong customer interest but gave no timing for a lease, emphasizing that it will prioritize returns and avoid shareholder dilution.

TeraWulf Trading Up 12.8%

NASDAQ WULF opened at $11.37 on Friday. The stock’s fifty day moving average price is $14.21 and its 200-day moving average price is $17.95. TeraWulf has a 12 month low of $9.51 and a 12 month high of $29.84. The stock has a market cap of $5.67 billion, a P/E ratio of -2.60 and a beta of 4.00. The company has a current ratio of 0.75, a quick ratio of 0.75 and a debt-to-equity ratio of 27.25.

Insiders Place Their Bets

In other news, Director Walter E. Carter sold 130,626 shares of the company’s stock in a transaction dated Monday, August 31st. The stock was sold at an average price of $15.14, for a total transaction of $1,977,677.64. Following the completion of the transaction, the director directly owned 229,090 shares of the company’s stock, valued at $3,468,422.60. This represents a 36.31% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, CEO Paul B. Prager sold 137,500 shares of the firm’s stock in a transaction that occurred on Thursday, August 27th. The stock was sold at an average price of $17.06, for a total transaction of $2,345,750.00. Following the sale, the chief executive officer directly owned 3,807,552 shares of the company’s stock, valued at approximately $64,956,837.12. This trade represents a 3.49% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders acquired a total of 11,968 shares of company stock valued at $189,962 over the last quarter. 15.90% of the stock is owned by insiders.

Key Stories Impacting TeraWulf

Here are the key news stories impacting TeraWulf this week:

• Positive Sentiment: Third-quarter revenue increased 50.7% year over year to $76.23 million, above analyst estimates of about $62.5 million. The loss of $0.03 per share was also narrower than the consensus loss of $0.18. TeraWulf Reports Third Quarter 2026 Results
• Positive Sentiment: HPC leases generated $63 million, roughly 83% of quarterly revenue, underscoring TeraWulf’s shift from Bitcoin mining toward AI and data-center infrastructure. TeraWulf books $63 million in Q3 HPC lease revenue
• Positive Sentiment: The company said Google is providing a credit backstop for anticipated financing supporting its $19 billion Anthropic lease. It also outlined a target of exiting Q1 2027 at a $700 million annualized leasing revenue run rate—potentially strengthening the growth case if financing and buildout proceed as planned. TeraWulf outlines leasing revenue target and financing progress
• Positive Sentiment: TeraWulf reported 102 MW of critical IT capacity online at Lake Mariner, with another 336 MW under construction, and said the project is progressing within cost guidance. TeraWulf Reports Third Quarter 2026 Results
• Neutral Sentiment: Call-option trading was unusually active, with purchases about 75% above average. That signals heightened investor interest but does not establish the direction of future share performance.
• Negative Sentiment: Bitcoin-mining revenue fell sharply as HPC leasing expanded, while adjusted EBITDA remained negative. The transition’s success depends on continued construction, project financing and converting planned capacity into revenue. Bitcoin mining revenue falls as HPC leasing surges

Analyst Upgrades and Downgrades

Several research firms have weighed in on WULF. Chardan Capital reiterated a “buy” rating and set a $32.00 target price on shares of TeraWulf in a research note on Wednesday, August 5th. Wells Fargo & Company assumed coverage on shares of TeraWulf in a research report on Thursday, September 17th. They set an “overweight” rating and a $30.00 price objective for the company. Keefe, Bruyette & Woods reduced their target price on TeraWulf from $33.00 to $30.00 and set an “outperform” rating on the stock in a report on Tuesday, July 28th. Zacks Research downgraded shares of TeraWulf from a “hold” rating to a “strong sell” rating in a research note on Tuesday, October 13th. Finally, Freedom Capital upgraded TeraWulf to a “strong-buy” rating in a report on Tuesday, September 8th. Three research analysts have rated the stock with a Strong Buy rating, eighteen have given a Buy rating, one has issued a Hold rating and two have assigned a Sell rating to the company’s stock. According to MarketBeat, TeraWulf has a consensus rating of “Moderate Buy” and a consensus price target of $30.68.

TeraWulf Company Profile

TeraWulf Inc is a digital asset infrastructure company focused primarily on developing and operating environmentally conscious data centers for bitcoin mining and other high-performance computing applications. The company emphasizes the use of low-carbon energy, including nuclear and hydroelectric power, to support energy-intensive computing operations.

TeraWulf operates mining and data center facilities in the United States, including the Lake Mariner site in New York and the Nautilus Cryptomine facility in Pennsylvania.