TeraWulf Price Target Raised As Analyst Supports Pivot

TeraWulf Inc. (NASDAQ: WULF) experienced a significant surge in its stock price, adding 59.52% yesterday, in a stark contrast to its previously neutral year-to-date performance, following strong earnings, and a new deal.

This morning, increased confidence from the street regarding TeraWulf's strategic pivot toward high-performance computing (HPC) hosting is the latest potential catalyst for WULF.

Citizens JMP analyst Greg Miller raised the firm's price target on TeraWulf to $13 from $7, reiterating an “Outperform” rating.

TeraWulf's financial performance in the second quarter of 2025 revealed a net loss exceeding $79 million, attributed to continued investments in high-performance computing and mining operations. Operating costs, excluding depreciation, increased to approximately $22 million, up from $13.9 million in the same quarter of 2024. Despite these losses, markets are appearing to focus on the long-term potential of the company's strategic direction.

Miller anticipates that TeraWulf is likely to exit Bitcoin mining by the next halving event, retaining the flexibility to redeploy mining capacity toward HPC, aligning with customer demand trends.

JMP Securities initially initiated coverage of TeraWulf on May 22, with a “Market Outperform” rating and a $7.00 price target. Analyst Greg Miller emphasized TeraWulf's strategic advantage in utilizing existing low-cost, high-density power solutions tailored for Bitcoin mining and hosting at the time, suggesting that if the company maximizes its capacity, the stock could potentially reach $35 per share over the long term, driven by its HPC business.

The overall outlook for TeraWulf appears positive, contingent on the successful execution of its strategic pivot towards HPC hosting. The company's ability to leverage its existing infrastructure and expertise in power management will be critical in attracting and retaining HPC clients.

Yesterday's announcement of contracts with Fluidstack, backed by Google, and spanning 10 years, was a big step for the firm. This deal represents approximately $3.7 billion in contracted revenue, injecting considerable optimism into the company's outlook.