Terawulf stock price target raised to $6 on HPC growth prospects

Rosenblatt Securities raised its price target on Terawulf Inc. (NASDAQ:WULF) to $6.00 from $4.50 on Thursday, while maintaining a Buy rating on the Bitcoin mining company’s stock. The stock has shown strong momentum, gaining over 15% in the past week, though InvestingPro data indicates high price volatility with a beta of 4.16.

The price target increase follows Rosenblatt’s 5th Annual Tech Summit where Terawulf’s CFO Patrick Fleury and Director of Investor Relations John Larkin participated in discussions about the company’s operations and outlook.

Terawulf is expected to begin generating revenue this quarter from its high-performance computing (HPC) hosting business, positioning it among a select few Bitcoin miners that have secured HPC hosting deals.

Rosenblatt cited the company’s "strong first tenant" and "power expertise to execute" as factors likely to attract additional interest and expand Terawulf’s HPC operations in the near term.

The new $6.00 price target is based on 27 times Rosenblatt’s 2026 Adjusted EBITDA estimate for Terawulf, with the firm noting the stock currently trades "at a material discount to peers with relatively high short interest."

In other recent news, TeraWulf Inc. reported its first-quarter 2025 earnings, revealing a significant financial setback as the company missed both earnings and revenue forecasts. The company posted an earnings per share (EPS) of -$0.16, which was below the expected -$0.04, and revenue came in at $34.4 million, falling short of the anticipated $46.07 million. In a strategic move, TeraWulf acquired Beowulf Electricity & Data LLC for approximately $52.4 million, aiming to consolidate operations and enhance strategic flexibility. This acquisition includes integrating 94 employees from Beowulf E&D into TeraWulf’s workforce and terminating an existing services agreement. Analyst firm Citizens JMP initiated coverage on TeraWulf with a Market Outperform rating and a price target of $7.00, citing the company’s strategic shift towards high-performance computing infrastructure. Additionally, Compass Point raised its price target for TeraWulf to $6.50, maintaining a Buy rating, as the company revises its high-performance computing outlook. Furthermore, TeraWulf was among the cryptocurrency-related stocks affected by Moody’s downgrade of the U.S. credit rating, experiencing a 3.3% decline. Despite the challenges, TeraWulf continues to focus on expanding its power capacity and advancing its high-performance computing infrastructure.

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