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

TeraWulf (NASDAQ:WULF) announced its quarterly earnings data on Friday. The company reported ($0.03) earnings per share (EPS) for the quarter, topping the consensus estimate of ($0.18) by $0.15, FiscalAI reports. The firm had revenue of $76.23 million for the quarter, compared to analysts’ expectations of $62.49 million. TeraWulf had a negative return on equity of 458.62% and a negative net margin of 1,179.94%. The firm’s revenue for the quarter was up 50.7% on a year-over-year basis. During the same period last year, the business posted ($1.13) earnings per share.

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 Price Performance

Shares of NASDAQ WULF opened at $11.37 on Friday. TeraWulf has a 1-year low of $9.51 and a 1-year high of $29.84. The company has a debt-to-equity ratio of 27.25, a current ratio of 0.75 and a quick ratio of 0.75. The business’s fifty day moving average price is $14.21 and its two-hundred day moving average price is $17.95. The firm has a market capitalization of $5.67 billion, a PE ratio of -3.48 and a beta of 4.00.

Analysts Set New Price Targets

WULF has been the subject of several recent research reports. Sanford C. Bernstein lowered their target price on shares of TeraWulf from $36.00 to $20.00 and set an “outperform” rating for the company in a research note on Wednesday. Wells Fargo & Company initiated coverage on shares of TeraWulf in a report on Thursday, September 17th. They set an “overweight” rating and a $30.00 target price on the stock. Cantor Fitzgerald reduced their price target on shares of TeraWulf from $37.00 to $30.00 and set an “overweight” rating on the stock in a research report on Friday, October 16th. Morgan Stanley lifted their price target on shares of TeraWulf from $62.50 to $65.00 and gave the company an “overweight” rating in a report on Friday, October 9th. Finally, Zacks Research lowered shares of TeraWulf from a “hold” rating to a “strong sell” rating in a report on Tuesday, October 13th. Three equities research analysts have rated the stock with a Strong Buy rating, eighteen have assigned a Buy rating, one has issued a Hold rating and two have issued a Sell rating to the company. According to MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and an average price target of $30.68.

TeraWulf News Summary

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

Insider Activity

In other news, CEO Paul Prager sold 137,500 shares of the business’s stock in a transaction on Thursday, August 27th. The shares were sold at an average price of $17.06, for a total transaction of $2,345,750.00. Following the completion of the transaction, the chief executive officer owned 3,807,552 shares of the company’s stock, valued at approximately $64,956,837.12. The trade was a 3.49% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Walter 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 transaction, the director owned 229,090 shares of the company’s stock, valued at $3,468,422.60. This represents a 36.31% decrease in their position. The disclosure for this sale is available in the SEC filing. Over the last quarter, insiders bought 11,968 shares of company stock valued at $189,962. 15.90% of the stock is currently owned by company insiders.

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.

Founded in 2021, TeraWulf was co-founded by Paul Prager, who serves as the company’s chief executive officer.