TeraWulf (NASDAQ:WULF) Stock Falls 8.5% After Analyst Downgrade

TeraWulf Inc. (NASDAQ:WULF)’s stock price dropped 8.5% during trading on Wednesday after Zacks Research downgraded the stock from a hold rating to a strong sell rating. The company traded as low as $12.24 and last traded at $12.0910. 4,853,731 shares traded hands during trading, a decline of 84% from the average session volume of 31,007,236 shares. The stock had previously closed at $13.21.

A number of other research firms have also recently weighed in on WULF. Chardan Capital reissued a “buy” rating and issued a $32.00 target price on shares of TeraWulf in a research note on Wednesday, August 5th. B. Riley Financial raised their price target on shares of TeraWulf from $32.00 to $40.00 and gave the stock a “buy” rating in a research note on Monday, August 3rd. Wells Fargo & Company began coverage on shares of TeraWulf in a research note on Thursday, September 17th. They set an “overweight” rating and a $30.00 price target for the company. Morgan Stanley lifted their price objective on TeraWulf from $62.50 to $65.00 and gave the company an “overweight” rating in a report on Friday, October 9th. Finally, UBS Group began coverage on TeraWulf in a research note on Wednesday, September 23rd. They issued a “buy” rating and a $24.00 price objective on the stock. Four research analysts have rated the stock with a Strong Buy rating, eighteen have assigned a Buy rating, two have given a Hold rating and two have assigned a Sell rating to the stock. Based on data from MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and an average target price of $32.86.

Insider Buying and Selling at TeraWulf

In other TeraWulf news, CEO Paul Prager sold 137,500 shares of the business’s stock in a transaction dated Thursday, August 27th. The shares were sold at an average price of $17.06, for a total value of $2,345,750.00. Following the transaction, the chief executive officer directly owned 3,807,552 shares in the company, valued at $64,956,837.12. The trade was a 3.49% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. 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 sale, the director directly owned 229,090 shares in the company, valued at $3,468,422.60. This represents a 36.31% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders have bought a total of 11,968 shares of company stock worth $189,962 over the last ninety days. Corporate insiders own 15.90% of the company’s stock.

Institutional Investors Weigh In On TeraWulf

A number of large investors have recently bought and sold shares of the business. Assenagon Asset Management S.A. grew its holdings in shares of TeraWulf by 325.9% during the third quarter. Assenagon Asset Management S.A. now owns 2,845,156 shares of the company’s stock worth $42,108,000 after purchasing an additional 2,177,134 shares during the last quarter. Edge Wealth Management LLC increased its stake in shares of TeraWulf by 90.9% in the third quarter. Edge Wealth Management LLC now owns 31,500 shares of the company’s stock valued at $469,000 after buying an additional 15,000 shares in the last quarter. Hardin Capital Partners LLC increased its stake in shares of TeraWulf by 57.1% in the third quarter. Hardin Capital Partners LLC now owns 22,000 shares of the company’s stock valued at $326,000 after buying an additional 8,000 shares in the last quarter. GAMMA Investing LLC raised its holdings in shares of TeraWulf by 75.4% in the third quarter. GAMMA Investing LLC now owns 5,942 shares of the company’s stock valued at $88,000 after buying an additional 2,555 shares during the last quarter. Finally, Rosenberg Matthew Hamilton raised its holdings in shares of TeraWulf by 1,795.4% in the third quarter. Rosenberg Matthew Hamilton now owns 5,383 shares of the company’s stock valued at $80,000 after buying an additional 5,099 shares during the last quarter. 62.49% of the stock is currently owned by institutional investors.

TeraWulf Price Performance

The stock has a fifty day moving average of $15.66 and a 200-day moving average of $19.63. The firm has a market capitalization of $6.30 billion, a P/E ratio of -2.89 and a beta of 3.80. The company has a quick ratio of 0.75, a current ratio of 0.75 and a debt-to-equity ratio of 27.25.

TeraWulf (NASDAQ:WULF) last issued its quarterly earnings data on Wednesday, August 5th. The company reported ($1.94) EPS for the quarter, missing analysts’ consensus estimates of ($0.24) by ($1.70). The company had revenue of $44.77 million for the quarter, compared to the consensus estimate of $46.00 million. TeraWulf had a negative return on equity of 458.62% and a negative net margin of 1,179.94%. The firm’s revenue was down 6.0% compared to the same quarter last year. During the same period in the prior year, the company earned ($0.05) EPS. Equities analysts predict that TeraWulf Inc. will post -1.00 EPS for the current fiscal year.

About TeraWulf

TeraWulf, Inc is a digital infrastructure company that develops and operates energy-intensive computing facilities in the United States. The company has primarily focused on bitcoin mining, using specialized application-specific integrated circuit (ASIC) hardware and power infrastructure to support cryptocurrency production.

TeraWulf emphasizes the use of low-carbon energy sources, including nuclear and hydropower, as part of its strategy to reduce the environmental impact of its operations.