Shares of TeraWulf Inc. (NASDAQ:WULF) are rising Tuesday. The data center infrastructure company announced an expanded strategic partnership and reported preliminary results for the third quarter.
- WULF stock is at important technical levels. See what is driving the movement here.
What To Know: TeraWulf reported preliminary results for the third quarter, which ended Sept. 30. The company said it plans to report full third-quarter results next month.
Terawulf expects to report third-quarter revenue of $48 million to $52 million versus Benzinga Pro estimates of $55.41 million. The company also expects to report adjusted EBITDA between $15 million and $19 million, compared to $6 million of adjusted EBITDA reported in the third quarter last year.
“Our preliminary results reflect continued strength in our operating performance and the early benefits of repositioning Lake Mariner for high-performance compute workloads,” said Patrick Fleury, CFO of TeraWulf.
TeraWulf stock was up more than 22% at the time of writing, according to Benzinga Pro.
TeraWulf also announced on Tuesday that it’s expanding its joint venture with cloud platform Fluidstack. Under the agreement, the companies will develop and deliver 168 megawatts of critical IT load at the Abernathy, Texas campus, serving workloads for a global hyperscale AI platform.
The joint venture will be project-financed, with Google backing approximately $1.3 billion of Fluidstack’s long-term lease obligations. The 25-year lease agreement represents approximately $9.5 billion in contracted revenue.
TeraWulf said it also secured the exclusive rights to partner with Fluidstack for up to 51% of the next Fluidstack-led data center project on substantially similar commercial terms.
“With more than 510 MW of contracted critical IT load now secured, including the new JV announced today, we are operating at a commercial run-rate consistent with our forward strategy of contracting an additional 250 to 500 MW per year,” Fleury said.
WULF Analysis: TeraWulf stock hit new 52-week highs of $17.05 on Tuesday, indicating strong bullish momentum. With a year-to-date performance of 206.1%, TeraWulf has demonstrated significant growth, reflecting heightened investor interest in the company.
From a technical perspective, TeraWulf is trading approximately 47.9% above its 50-day moving average of $11.29 and an impressive 181.1% above its 200-day moving average of $5.94. This positioning suggests a robust upward trend, with the stock maintaining a healthy distance from its moving averages, which can often act as support levels in a bullish market.
The relative strength index (RSI) stands at 58.69, indicating a neutral signal, suggesting that while the stock is strong, it is not yet overbought. The current setup indicates that TeraWulf is in a strong position, with the potential for further gains.
WULF Price Action: TeraWulf shares were up 22.49% at $16.71 at the time of publication. The stock hit new 52-week highs on Tuesday, according to Benzinga Pro.
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