TeraWulf (NASDAQ:WULF) Shares Down 12.2% Following Weak Earnings

Key Points

• Shares fell 12.2% after TeraWulf reported an EPS of ($1.13) versus the consensus ($0.04) and revenue of $50.58M (below the $56.27M estimate), despite revenue rising 86.9% year‑over‑year and a steep net margin loss of 91.42%.
• Profitability and balance‑sheet metrics remain weak — the company shows a negative P/E, a debt‑to‑equity ratio of 2.96 and a current ratio of 0.66, while the stock has high volatility (beta 3.57).
• Analyst coverage is mixed but tilted positive with an average rating of "Moderate Buy" and an average price target of $17.67; insiders own 19.9% of shares and a director recently sold stock.

TeraWulf Inc. (NASDAQ:WULF - Get Free Report)'s share price was down 12.2% on Tuesday following a dissappointing earnings announcement. The company traded as low as $12.66 and last traded at $12.5510. Approximately 11,030,219 shares changed hands during trading, a decline of 75% from the average daily volume of 44,794,348 shares. The stock had previously closed at $14.30.

The company reported ($1.13) EPS for the quarter, missing analysts' consensus estimates of ($0.04) by ($1.09). The business had revenue of $50.58 million during the quarter, compared to the consensus estimate of $56.27 million. TeraWulf had a negative return on equity of 54.98% and a negative net margin of 91.42%.TeraWulf's revenue was up 86.9% compared to the same quarter last year.

Analyst Ratings Changes

WULF has been the subject of several analyst reports. Citizens Jmp raised their price objective on TeraWulf from $18.00 to $22.00 and gave the company a "market outperform" rating in a report on Wednesday, October 29th. Northland Securities set a $23.25 price target on TeraWulf in a research report on Wednesday, October 29th. Roth Capital raised their price target on TeraWulf from $7.00 to $12.50 and gave the company a "buy" rating in a research note on Friday, August 15th. Wall Street Zen lowered TeraWulf from a "hold" rating to a "sell" rating in a research report on Sunday, October 26th. Finally, Rosenblatt Securities reiterated a "buy" rating and set a $24.00 price objective on shares of TeraWulf in a research note on Tuesday. One research analyst has rated the stock with a Strong Buy rating, eleven have issued a Buy rating, two have given a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat.com, TeraWulf currently has an average rating of "Moderate Buy" and an average price target of $17.67.

Insider Buying and Selling

In related news, Director Amanda Fabiano sold 4,600 shares of TeraWulf stock in a transaction dated Friday, August 15th. The stock was sold at an average price of $8.64, for a total transaction of $39,744.00. Following the completion of the transaction, the director owned 40,769 shares in the company, valued at approximately $352,244.16. This trade represents a 10.14% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Insiders own 19.90% of the company's stock.

Institutional Trading of TeraWulf

A number of hedge funds have recently made changes to their positions in WULF. Edmond DE Rothschild Holding S.A. acquired a new position in shares of TeraWulf during the 1st quarter worth approximately $29,000. Nisa Investment Advisors LLC lifted its holdings in TeraWulf by 135.6% during the 2nd quarter. Nisa Investment Advisors LLC now owns 6,575 shares of the company's stock valued at $29,000 after purchasing an additional 3,784 shares during the last quarter. Steward Partners Investment Advisory LLC boosted its position in TeraWulf by 265.3% during the second quarter. Steward Partners Investment Advisory LLC now owns 6,609 shares of the company's stock worth $29,000 after purchasing an additional 4,800 shares during the period. Advisors Asset Management Inc. boosted its position in TeraWulf by 68.4% during the second quarter. Advisors Asset Management Inc. now owns 6,767 shares of the company's stock worth $30,000 after purchasing an additional 2,748 shares during the period. Finally, Arete Wealth Advisors LLC acquired a new position in shares of TeraWulf in the first quarter valued at $33,000. 62.49% of the stock is owned by institutional investors and hedge funds.

TeraWulf Price Performance

The company has a market capitalization of $5.17 billion, a P/E ratio of -36.33 and a beta of 3.57. The company's 50-day moving average price is $12.45 and its two-hundred day moving average price is $7.61. The company has a debt-to-equity ratio of 2.96, a current ratio of 0.66 and a quick ratio of 0.66.

About TeraWulf

TeraWulf Inc, together with its subsidiaries, operates as a digital asset technology company in the United States. The company develops, owns, and operates bitcoin mining facilities in New York and Pennsylvania. It is also involved in the provision of miner hosting services to third-party entities. The company was founded in 2021 and is headquartered in Easton, Maryland.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.