TeraWulf Shares Surge 16.52% Following Overweight Rating from Morgan Stanley
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 5 days ago
0mins
Should l Buy WULF?
Source: Fool
- Rating Upgrade: Morgan Stanley initiated coverage on TeraWulf with an Overweight rating and a $37 price target, highlighting its strong position in AI data centers, which propelled the stock up 16.52% to $16.65, reflecting market confidence in its infrastructure growth potential.
- Surge in Trading Volume: TeraWulf's trading volume reached 64.4 million shares, approximately 94% above its three-month average, indicating strong investor interest in its future developments, which may further drive stock price volatility.
- Market Performance: Within the cryptocurrency mining sector, TeraWulf outperformed peers like Mara Holdings and Riot Platforms, which saw stock declines of 2.18% and gains of 3.60%, respectively, illustrating mixed sentiment across the market.
- Strategic Shift: TeraWulf's ability to redirect energy capacity from bitcoin mining to AI data center operations distinguishes it from competitors, and investors will be watching for progress in converting power assets for data center use.
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Analyst Views on WULF
Wall Street analysts forecast WULF stock price to rise
11 Analyst Rating
11 Buy
0 Hold
0 Sell
Strong Buy
Current: 15.910
Low
17.00
Averages
21.93
High
26.00
Current: 15.910
Low
17.00
Averages
21.93
High
26.00
About WULF
TeraWulf Inc. is a vertically integrated owner and operator of digital infrastructure. The Company develops and operates data centers for bitcoin mining and high-performance computing (HPC) workloads. The Company facilitates transaction validation of transactions on the global bitcoin network using its fleet of application-specific integrated circuit miners. Its segments include Digital Asset Mining and HPC Leasing. The Digital Asset Mining segment provides hash computation services to a mining pool operator. The HPC Leasing segment provides high-density colocation services to third parties for HPC operations. The Company's primary operations are centered at the Lake Mariner Campus, located on the shores of Lake Ontario. Lake Mariner campus is designed for scalable growth, with the capacity to expand up to 500 megawatts (MW) and 750 MW with certain transmission upgrades. It also specializes in development and operation of power generation assets and related electrical infrastructure.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
TeraWulf Shifts to AI Mining, Stock Surges 240%
- Market Shift: With Bitcoin prices falling below $100,000, TeraWulf, valued at $7 billion, has successfully pivoted to an AI-focused Bitcoin miner, with its stock rising 52% year-to-date and over 240% in the past year, demonstrating its competitiveness in emerging markets.
- AI Infrastructure Investment: Morgan Stanley has recently initiated coverage of the Bitcoin mining sector, particularly highlighting TeraWulf's execution capabilities in large-scale power infrastructure projects, which is expected to drive its AI infrastructure expansion plans through 2030.
- Profit Model Transition: TeraWulf is shedding Bitcoin holdings to finance its AI computing operations, indicating that AI business profitability is currently stronger, prompting investors to reassess its valuation model.
- Future Potential: Morgan Stanley believes that if TeraWulf is viewed as an AI infrastructure company, its price target could reach $37, more than double its current price of $17, indicating significant growth potential in the AI sector.
See More
TeraWulf Shifts to AI Mining, Stock Soars
- Market Shift: TeraWulf is repurposing its Bitcoin mining computing capacity towards artificial intelligence (AI), a strategic pivot that could potentially double the company's value amid soaring AI demand, showcasing strong market adaptability.
- Financial Performance: Currently, TeraWulf boasts a market cap of $7 billion, with its stock rising 52% year-to-date and over 240% in the past year, reflecting strong investor confidence in its AI infrastructure potential.
- Investor Attention: Morgan Stanley has recently initiated coverage of the Bitcoin mining sector, particularly highlighting TeraWulf as a potential AI infrastructure investment, emphasizing its execution capabilities on large-scale power infrastructure projects, indicating optimistic market expectations for future growth.
- Profit Model Change: TeraWulf is selling Bitcoin to fund its AI computing operations, indicating that AI business profitability is currently stronger, prompting investors to reconsider its valuation model, potentially viewing it as an AI infrastructure company rather than a traditional Bitcoin miner.
See More
Hodges Capital Management Reduces TeraWulf Stake
- Share Reduction Details: Hodges Capital Management disclosed a sale of 919,169 shares of TeraWulf in Q4 2025, valued at approximately $12.32 million, indicating a cautious approach amidst market volatility.
- Value Decline: The value of TeraWulf's position dropped by $10.30 million at quarter-end, a decline influenced by both trading activities and share price movements, highlighting the pressures the company faces in the market.
- Financial Overview: As of February 10, 2026, TeraWulf's market capitalization stood at $6.67 billion with a trailing twelve-month revenue of $167.6 million, although it reported a net income loss of $586.64 million, suggesting ongoing challenges in profitability.
- Market Performance Analysis: TeraWulf's stock surged 224.2% over the past year, significantly outperforming the S&P 500 by 209.74 percentage points, reflecting its strong growth potential in the bitcoin mining sector.
See More
Hodges Capital Management Sells TeraWulf Shares
- Share Reduction Details: Hodges Capital Management sold 919,169 shares of TeraWulf in Q4 2025, with an estimated trade value of $12.32 million, reflecting the firm's strategy to manage market volatility.
- Position Value Decline: Following the sale, the value of TeraWulf's position decreased by $10.30 million, indicating the direct impact of market price fluctuations on the investment portfolio, which may influence future investment decisions.
- Performance Highlights: TeraWulf reported an 87% year-over-year revenue increase in Q3, reaching $50.6 million, including $7.2 million from high-performance computing lease revenue, showcasing the company's strong growth potential in the digital asset sector.
- Market Performance Analysis: Despite TeraWulf's stock price rising 224.2% over the past year, Hodges Capital's reduction in holdings may reflect risk management in high-volatility assets rather than skepticism about the company's fundamentals.
See More
TeraWulf to Participate in Multiple Upcoming Conferences
- Management Conference Schedule: TeraWulf has announced that its senior management will participate in several key conferences, including the Morgan Stanley Energy and Power Conference on March 2 and the Citizens Technology Conference on March 3, which will help enhance the company's visibility and influence in the industry.
- Strategic Market Promotion: By attending the Citadel Securities SMID Cap Conference on March 4 and the Cantor Global Tech & Industrials Conference on March 10-11, TeraWulf aims to attract potential customers and showcase its capabilities in high-performance computing and bitcoin mining.
- Virtual Conference Participation: The company will also participate in the Jeffries Virtual Power x Coin Conference on March 31, allowing for flexible engagement with a broader range of investors and industry experts, further driving business development.
- Commitment to Sustainability: As a company focused on environmentally sustainable digital infrastructure, TeraWulf's participation will emphasize its commitment to low-carbon computing capacity and high-performance computing customer service, enhancing its competitive position in the market.
See More
Investment Opportunities in AI Infrastructure
- Surge in CAPEX: AI-related capital expenditures among hyperscalers are projected to reach $515 billion by 2026, a significant increase from $390 billion in 2025, indicating robust demand for AI infrastructure and presenting a lucrative opportunity for investors seeking stable returns.
- Revenue Growth Potential: Nebius Group is expected to grow its full-year revenues by 5x in 2026, reflecting the strong performance of AI infrastructure companies in the market, allowing investors to benefit from long-term capital appreciation.
- Productivity Boost: The proliferation of AI technology has led to over 30% increases in new website creation, iOS apps, and GitHub code productivity over the past year, further driving big tech companies' spending on AI infrastructure and ensuring sustained industry growth.
- Market Transition Opportunity: As the AI buildout frenzy cools, infrastructure companies will shift from construction to monetization phases, expected to generate substantial rental income, enabling investors to navigate the uncertainties of software competition by focusing on
See More
TeraWulf Shifts to AI Mining, Stock Surges 240%
- Market Shift: With Bitcoin prices falling below $100,000, TeraWulf, valued at $7 billion, has successfully pivoted to an AI-focused Bitcoin miner, with its stock rising 52% year-to-date and over 240% in the past year, demonstrating its competitiveness in emerging markets.
- AI Infrastructure Investment: Morgan Stanley has recently initiated coverage of the Bitcoin mining sector, particularly highlighting TeraWulf's execution capabilities in large-scale power infrastructure projects, which is expected to drive its AI infrastructure expansion plans through 2030.
- Profit Model Transition: TeraWulf is shedding Bitcoin holdings to finance its AI computing operations, indicating that AI business profitability is currently stronger, prompting investors to reassess its valuation model.
- Future Potential: Morgan Stanley believes that if TeraWulf is viewed as an AI infrastructure company, its price target could reach $37, more than double its current price of $17, indicating significant growth potential in the AI sector.
See More
TeraWulf Shifts to AI Mining, Stock Soars
- Market Shift: TeraWulf is repurposing its Bitcoin mining computing capacity towards artificial intelligence (AI), a strategic pivot that could potentially double the company's value amid soaring AI demand, showcasing strong market adaptability.
- Financial Performance: Currently, TeraWulf boasts a market cap of $7 billion, with its stock rising 52% year-to-date and over 240% in the past year, reflecting strong investor confidence in its AI infrastructure potential.
- Investor Attention: Morgan Stanley has recently initiated coverage of the Bitcoin mining sector, particularly highlighting TeraWulf as a potential AI infrastructure investment, emphasizing its execution capabilities on large-scale power infrastructure projects, indicating optimistic market expectations for future growth.
- Profit Model Change: TeraWulf is selling Bitcoin to fund its AI computing operations, indicating that AI business profitability is currently stronger, prompting investors to reconsider its valuation model, potentially viewing it as an AI infrastructure company rather than a traditional Bitcoin miner.
See More
Hodges Capital Management Reduces TeraWulf Stake
- Share Reduction Details: Hodges Capital Management disclosed a sale of 919,169 shares of TeraWulf in Q4 2025, valued at approximately $12.32 million, indicating a cautious approach amidst market volatility.
- Value Decline: The value of TeraWulf's position dropped by $10.30 million at quarter-end, a decline influenced by both trading activities and share price movements, highlighting the pressures the company faces in the market.
- Financial Overview: As of February 10, 2026, TeraWulf's market capitalization stood at $6.67 billion with a trailing twelve-month revenue of $167.6 million, although it reported a net income loss of $586.64 million, suggesting ongoing challenges in profitability.
- Market Performance Analysis: TeraWulf's stock surged 224.2% over the past year, significantly outperforming the S&P 500 by 209.74 percentage points, reflecting its strong growth potential in the bitcoin mining sector.
See More
Hodges Capital Management Sells TeraWulf Shares
- Share Reduction Details: Hodges Capital Management sold 919,169 shares of TeraWulf in Q4 2025, with an estimated trade value of $12.32 million, reflecting the firm's strategy to manage market volatility.
- Position Value Decline: Following the sale, the value of TeraWulf's position decreased by $10.30 million, indicating the direct impact of market price fluctuations on the investment portfolio, which may influence future investment decisions.
- Performance Highlights: TeraWulf reported an 87% year-over-year revenue increase in Q3, reaching $50.6 million, including $7.2 million from high-performance computing lease revenue, showcasing the company's strong growth potential in the digital asset sector.
- Market Performance Analysis: Despite TeraWulf's stock price rising 224.2% over the past year, Hodges Capital's reduction in holdings may reflect risk management in high-volatility assets rather than skepticism about the company's fundamentals.
See More
TeraWulf to Participate in Multiple Upcoming Conferences
- Management Conference Schedule: TeraWulf has announced that its senior management will participate in several key conferences, including the Morgan Stanley Energy and Power Conference on March 2 and the Citizens Technology Conference on March 3, which will help enhance the company's visibility and influence in the industry.
- Strategic Market Promotion: By attending the Citadel Securities SMID Cap Conference on March 4 and the Cantor Global Tech & Industrials Conference on March 10-11, TeraWulf aims to attract potential customers and showcase its capabilities in high-performance computing and bitcoin mining.
- Virtual Conference Participation: The company will also participate in the Jeffries Virtual Power x Coin Conference on March 31, allowing for flexible engagement with a broader range of investors and industry experts, further driving business development.
- Commitment to Sustainability: As a company focused on environmentally sustainable digital infrastructure, TeraWulf's participation will emphasize its commitment to low-carbon computing capacity and high-performance computing customer service, enhancing its competitive position in the market.
See More
Investment Opportunities in AI Infrastructure
- Surge in CAPEX: AI-related capital expenditures among hyperscalers are projected to reach $515 billion by 2026, a significant increase from $390 billion in 2025, indicating robust demand for AI infrastructure and presenting a lucrative opportunity for investors seeking stable returns.
- Revenue Growth Potential: Nebius Group is expected to grow its full-year revenues by 5x in 2026, reflecting the strong performance of AI infrastructure companies in the market, allowing investors to benefit from long-term capital appreciation.
- Productivity Boost: The proliferation of AI technology has led to over 30% increases in new website creation, iOS apps, and GitHub code productivity over the past year, further driving big tech companies' spending on AI infrastructure and ensuring sustained industry growth.
- Market Transition Opportunity: As the AI buildout frenzy cools, infrastructure companies will shift from construction to monetization phases, expected to generate substantial rental income, enabling investors to navigate the uncertainties of software competition by focusing on
See More
