TeraWulf Inc. (WULF): A Bull Case Theory

We came crossed a bullish thesis connected TeraWulf Inc. connected Value investing subreddit by Puzzleheaded_Try6722. In this article, we volition summarize the bulls’ thesis connected WULF. TeraWulf Inc.'s stock was trading astatine $15.30 arsenic of December 1st. WULF’s guardant P/E was 29.76 according to Yahoo Finance.

TeraWulf (WULF) is evolving from 1 of the greenest Bitcoin miners into a vertically integrated data center and AI infrastructure provider. The institution leverages zero-carbon vigor sources—nuclear and hydro—to powerfulness some its Bitcoin mining operations and its expanding high-performance computing (HPC) hosting business. While self-mining remains WULF’s bequest segment, contributing standard and proof-of-concept for its powerfulness assets, its aboriginal maturation is anchored successful long-term, high-margin HPC contracts.

The institution has secured implicit $7.7 cardinal successful contracted revenue, including a $1 cardinal woody with Core42 and a $6.7 billion Fluidstack/Google statement covering much than 360 MW of IT load, backed by Google’s $3.2 cardinal fiscal warrant successful speech for 14% equity warrants. Additionally, the Cayuga site, secured nether an 80-year crushed lease, adds 400 MW of capableness potential, bringing WULF’s full integer infrastructure level supra 1 GW.

The Google-backed declaration validates WULF’s engineering and vigor capabilities, supporting 85% site-level NOI margins and positioning it arsenic a cardinal greenish compute supplier successful the AI economy. Despite higher powerfulness costs ($0.078/kWh) comparative to peers, WULF’s vertically integrated vigor exemplary enables premium pricing and predictable currency flows insulated from Bitcoin volatility.

Financially, Q2 2025 results showed a crisp turnaround, with $47.6 cardinal successful gross and $14.5 cardinal successful adjusted EBITDA, supported by outgo optimization and powerfulness normalization. Looking ahead, the institution plans to rise $3 cardinal successful debt, advised by Morgan Stanley, to money its AI infrastructure expansion—potentially transforming WULF from a volatile crypto miner into a stable, high-margin AI data center operator.

Previously we covered a bullish thesis connected IREN Limited (IREN) by Anxious-Criticism652 successful May 2025, which highlighted its displacement from Bitcoin mining to renewable energy–driven AI infrastructure with beardown profitability and zero debt. The banal has appreciated astir by 431.68% since our sum arsenic the hybrid AI-crypto thesis played out. Puzzleheaded_Try6722 shares a akin presumption but emphasizes TeraWulf’s zero-carbon, vertically integrated information halfway model.

TeraWulf Inc. is not on our database of the 30 Most Popular Stocks Among Hedge Funds. As per our database, 26 hedge money portfolios held WULF at the extremity of the second quarter which was 35 in the erstwhile quarter. While we admit the imaginable of WULF as an investment, we judge definite AI stocks connection greater upside imaginable and transportation little downside risk. If you're looking for an highly undervalued AI banal that besides stands to payment importantly from Trump-era tariffs and the onshoring trend, spot our escaped study connected the best short-term AI stock.