Why Did TeraWulf Stock (WULF) Skyrocket 16.8% Today?
Key Points
TeraWulf's Q3 preliminary results showed 84% year-over-year growth in revenue.
The company announced another massive data center deal backed by Google.
- 10 stocks we like better than TeraWulf ›
Shares of TeraWulf (NASDAQ: WULF) soared on Tuesday, finishing the day up 16.8%. The move comes as the S&P 500 (SNPINDEX: ^GSPC) and the Nasdaq Composite (NASDAQINDEX: ^IXIC) gained 0.2% and 0.8%, respectively.
The data center builder's stock flew higher after the company announced a new 25-year deal worth $9.5 billion. The company also released preliminary numbers for its third quarter, revealing an 84% jump in revenue year over year (YOY).
Where to invest $1,000 right now? Our analyst team just revealed what they believe are the 10 best stocks to buy right now. Continue »
TeraWulf stock jumps on Google-backed deal
The company is teaming up with the artificial intelligence (AI) cloud computing provider Fluidstack to build a nearly 170 MW data center in Abernathy, Texas. The two companies will have joint ownership, with TeraWulf owning 51% of the venture. The deal amounts to $9.5 billion in total contract revenue and includes a $1.3 billion backstop from Alphabet's Google that will help TeraWolf acquire financing to complete construction of the data center.
The company expects the first phase of the buildout to be completed in 2026.
Image source: Getty Images.
Is TeraWulf a buy?
I have serious concerns about TeraWulf and other data center companies racing to build capacity. Terawulf already has substantial debt and is taking on much more to fund construction. If there is an overbuild of compute capacity that outpaces future AI demand, Terawulf could find itself in a pretty precarious position.
Should you invest $1,000 in TeraWulf right now?
Before you buy stock in TeraWulf, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and TeraWulf wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $590,287!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,173,807!*
Now, it’s worth noting Stock Advisor’s total average return is 1,047% — a market-crushing outperformance compared to 195% for the S&P 500. Don’t miss out on the latest top 10 list, available when you join Stock Advisor.
See the 10 stocks »
*Stock Advisor returns as of October 27, 2025
Johnny Rice has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Alphabet. The Motley Fool has a disclosure policy.
Recommended Articles
