Terawulf Touts AI Prospects Amid Crypto Woes
Terawulf Inc. is set to report its second-quarter earnings on Wednesday, with investors closely watching whether the company's aggressive pivot to artificial intelligence infrastructure can offset deepening losses in its legacy crypto business.
The company's transition from a Bitcoin miner to an AI landlord has been met with enthusiasm from Wall Street, with all 18 analysts covering the stock rating it a buy. The consensus price target of $38.39 implies more than 100% upside from the current share price of $18.83.
Terawulf's pivot away from volatile cryptocurrency mining is driven by its long-term AI data center leases, including a 20-year agreement with Anthropic that could generate roughly $19 billion in contracted revenue. The first phase of this project is slated for the second half of 2027 and full capacity by early 2028.
However, the company remains dependent on Bitcoin mining operations, which have been hammered by falling cryptocurrency prices and compressed mining economics. Bitcoin has traded near $61,000 to $65,000 in recent weeks, down sharply from last year's highs.