Zacks Research Upgrades TeraWulf (NASDAQ:WULF) to “Hold”

TeraWulf (NASDAQ:WULF) was upgraded by equities research analysts at Zacks Research from a “strong sell” rating to a “hold” rating in a research note issued to investors on Wednesday, Zacks reports.

WULF has been the subject of a number of other reports. Freedom Capital upgraded shares of TeraWulf to a “strong-buy” rating in a research note on Tuesday, September 8th. Chardan Capital restated a “buy” rating and set a $32.00 target price on shares of TeraWulf in a research report on Wednesday, August 5th. B. Riley Financial cut their price target on TeraWulf from $40.00 to $26.00 and set a “buy” rating for the company in a report on Friday, October 30th. Citigroup reduced their price target on TeraWulf from $31.00 to $24.00 and set a “buy” rating for the company in a research report on Tuesday. Finally, Jefferies Financial Group reduced their price target on TeraWulf from $15.00 to $14.00 and set a “buy” rating for the company in a research report on Tuesday. Three research analysts have rated the stock with a Strong Buy rating, eighteen have given a Buy rating, two have assigned a Hold rating and one has given a Sell rating to the company’s stock. According to data from MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and a consensus target price of $27.18.

TeraWulf Trading Down 2.4%

Shares of TeraWulf stock opened at $13.04 on Wednesday. TeraWulf has a 52-week low of $9.51 and a 52-week high of $29.84. The stock’s 50-day simple moving average is $14.04 and its 200 day simple moving average is $17.93. The stock has a market capitalization of $6.54 billion, a P/E ratio of -3.99 and a beta of 4.00. The company has a debt-to-equity ratio of 5.35, a quick ratio of 0.75 and a current ratio of 0.97.

TeraWulf (NASDAQ:WULF) last posted its earnings results on Friday, November 6th. The company reported ($0.03) earnings per share for the quarter, topping the consensus estimate of ($0.18) by $0.15. TeraWulf had a negative net margin of 410.92% and a positive return on equity of 87.30%. The firm had revenue of $76.23 million during the quarter, compared to the consensus estimate of $62.49 million. During the same quarter last year, the company earned ($1.13) earnings per share. The company’s revenue was up 50.7% on a year-over-year basis. As a group, research analysts anticipate that TeraWulf will post -0.48 EPS for the current year.

Insider Buying and Selling

In related news, Director Walter Carter sold 130,626 shares of the company’s stock in a transaction that occurred on Monday, August 31st. The shares were sold at an average price of $15.14, for a total value of $1,977,677.64. Following the transaction, the director directly owned 229,090 shares in the company, valued at approximately $3,468,422.60. This represents a 36.31% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Also, Director Michael Bucella bought 6,085 shares of the stock in a transaction that occurred on Tuesday, September 15th. The stock was bought at an average cost of $14.79 per share, for a total transaction of $89,997.15. Following the completion of the purchase, the director directly owned 350,789 shares of the company’s stock, valued at $5,188,169.31. This represents a 1.77% increase in their ownership of the stock. The disclosure for this purchase is available in the SEC filing. 15.90% of the stock is owned by company insiders.

Institutional Trading of TeraWulf

Several institutional investors and hedge funds have recently made changes to their positions in WULF. First Trust Advisors LP grew its position in TeraWulf by 234.6% during the 3rd quarter. First Trust Advisors LP now owns 2,260,355 shares of the company’s stock worth $33,453,000 after acquiring an additional 1,584,798 shares during the last quarter. Intesa Sanpaolo Wealth Management bought a new stake in TeraWulf in the third quarter valued at approximately $207,000. Cornerstone Select Advisors LLC lifted its position in TeraWulf by 27.7% in the third quarter. Cornerstone Select Advisors LLC now owns 17,013 shares of the company’s stock valued at $252,000 after purchasing an additional 3,689 shares during the last quarter. Private Advisor Group LLC lifted its position in TeraWulf by 7.7% in the third quarter. Private Advisor Group LLC now owns 19,754 shares of the company’s stock valued at $292,000 after purchasing an additional 1,411 shares during the last quarter. Finally, Ieq Capital LLC boosted its stake in shares of TeraWulf by 156.6% during the third quarter. Ieq Capital LLC now owns 24,792 shares of the company’s stock valued at $367,000 after purchasing an additional 15,129 shares during the period. Hedge funds and other institutional investors own 62.49% of the company’s stock.

Key Stories Impacting TeraWulf

Investors following WULF have been watching these stories:

• Positive Sentiment: Recent results and project updates provide fundamental support: third-quarter revenue was $76.2 million, including about $63 million from high-performance computing leases. The company also highlighted its 20-year Anthropic lease, expected to generate about $19 billion in contracted revenue, Google credit support connected to project financing, and roughly $2.4 billion in cash and restricted cash at quarter-end. Why TeraWulf (WULF) Stock Is Up Today
• Negative Sentiment: Wells Fargo, Morgan Stanley, Citigroup and Jefferies lowered their WULF price targets, adding to recent cuts from Rosenblatt and Needham. The reports signal more cautious analyst expectations, though the provided articles do not specify the revised targets. Wells Fargo cuts TeraWulf price target Morgan Stanley lowers expectations Citigroup lowers expectations Jefferies cuts TeraWulf price target
• Negative Sentiment: A Motley Fool analysis argued that TeraWulf’s long-term colocation lease economics may be less attractive than shorter-term AI-compute deals offered by Nebius, raising questions about the revenue potential per megawatt. Neoclouds Like Nebius Are Much Better Investments Than Colocation Companies Like TeraWulf

TeraWulf Company Profile

TeraWulf, Inc. develops and operates digital infrastructure, including facilities for Bitcoin mining and high-performance computing (HPC). The company focuses on locating its operations near sources of low-carbon energy and offers data center capacity designed for energy-intensive computing. Its Lake Mariner facility in New York is a key site for its mining and data center activities. TeraWulf has also operated in Pennsylvania through the Nautilus Cryptomine facility, reflecting its history of developing energy-intensive operations in the northeastern United States.