How TeraWulf Stock Gained 50% In April

Shares of TeraWulf (NASDAQ: WULF) rose 50.6% in April 2026, according to data from S&P Global Market Intelligence. The Bitcoin (CRYPTO: BTC) miner and high-performance computing service saw a 45.2% gain in the first two weeks of the month, and then it approximately followed the broader market upward for the rest of April.

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Bitcoin miners ran hot, but not because of Bitcoin

TeraWulf put the pedal to the metal for nearly two weeks. The stock rose 40.8% from April 2 to April 14, and five of these eight trading days showed single-date gains of at least 4%.

It wasn't a unique sprint, though. Several companies with similar business models walked a similar path. CleanSpark (NASDAQ: CLSK) gained 28.2% over the same two-week period, for example. Riot Platforms (NASDAQ: RIOT) ran even faster with a 40.9% price increase.

When Bitcoin miners are jumping en masse, it used to mean that Bitcoin itself was soaring. Not this time. The eldest and largest cryptocurrency experienced a modest 10.9% gain while Riot and TeraWulf jumped more than 40%. The crypto king barely outperformed the S&P 500 (SNPINDEX: ^GSPC).

TeraWulf pulled away from the miner/AI operator pack when it raised $1.0 billion in a stock sale to fund more data center construction. Call me a finance nerd, but I'm actually impressed by the banks involved in running that stock sale. I won't list all eight names here, but the group included banking giants Morgan Stanley (NYSE: MS), Citigroup (NYSE: C), and Bank of America (NYSE: BAC). That roster would have been impossible for a pure-play Bitcoin miner like TeraWulf a few years ago. A few of them may have held their corporate noses while signing the papers in 2026, but at least they accepted the Bitcoin involvement in order to get another foot on the AI train.

Now comes the hard part

TeraWulf will report Q1 earnings later this week. The financial update will show investors how the Bitcoin-plus-AI business plan is working out. For what it's worth, Bitcoin mining accounted for more than 90% of TeraWulf's revenues in 2025, and Q4 sales only increased 2.5% year-over-year. Analysts expect a 20% revenue drop in Q1 due to weak Bitcoin prices.

The $1 billion raise gives TeraWulf runway to expand its AI data center ambitions, but execution matters more than capital at this point. The company needs to show that high-performance computing clients are actually signing contracts and generating revenue.

Bitcoin mining remains the bread and butter for now, and that business is highly sensitive to crypto prices. If Q1 results disappoint, April's 50% gain could unwind quickly. Long-term investors should watch the AI revenue mix closely in the quarters ahead.

With a forward price-to-earnings ratio of 887, I recommend treading lightly around this volatile stock until it proves that the AI bet is working. Until then, TeraWulf is an expensive play on a well-known AI opportunity.

Bank of America is an advertising partner of Motley Fool Money. Citigroup is an advertising partner of Motley Fool Money. Anders Bylund has positions in Bitcoin. The Motley Fool has positions in and recommends Bitcoin. The Motley Fool has a disclosure policy.