Citigroup analyst Michael Rollins has initiated coverage on TeraWulf with a Buy rating and announced a price target of $36. The rating reflects a positive outlook on the company's performance and potential growth in the market.

Analyst Details

The coverage was initiated by Michael Rollins, an analyst at Citigroup. The Buy rating suggests that the stock is expected to outperform the market or its sector peers.

Price Target

Citigroup has set a price target of $36 for TeraWulf, indicating the analyst's projected valuation for the stock over a specific timeframe.

TeraWulf Inc shares gave up early gains Monday after climbing to a fresh 52-week high, as investors locked in profits following the stock's recent rally. The stock touched an intraday high of $29.84 before reversing lower to trade down 1.74% at $28.48 at the time of publication. The downward movement coincides with a shift in short interest metrics, which decreased from 110.27 million to 108.78 million shares during the last reporting period. This volume represents 25.85% of the company's publicly available shares sold short, with short sellers requiring 4.02 days to cover positions based on average daily trading volume of 27.07 million shares.

Technical Indicators

From a trend perspective, the chart remains firmly bullish. TeraWulf is trading 8.6% above its 20-day SMA ($26.12), 21.3% above its 50-day SMA ($23.39), 46.1% above its 100-day SMA ($19.42), and 75.5% above its 200-day SMA ($16.17). The 20-day SMA remains above the 50-day SMA, keeping the near-term trend pointed up, while a golden cross (50-day above 200-day) reinforces the longer-term uptrend in place since August 2025.

BofA Securities Outlook

Bank of America Securities analyst Michael Funk recently initiated coverage with a Buy rating and a $34 price objective. The target is based on a 9.5x EV-to-revenue multiple applied to the 2028 revenue forecast. Funk projects the company's capacity pipeline to expand from 60 megawatts to over 1 gigawatt, driven by a strategic pivot toward high-performance computing infrastructure for AI workloads under long-term contracted leases.

Operational Milestones and Risks

In the first quarter of 2026, TeraWulf's contracted capacity totaled 522 megawatts across its Lake Mariner site in New York and the Abernathy joint venture in Texas. Key catalysts include the completion of Lake Mariner buildouts by the end of 2026 and a customer announcement for the Justified Data project in Kentucky, expected online in the second half of 2027. Funk identified financing access, construction delays, and tenant timing as primary risks, estimating that a 10% to 20% slowdown in megawatt delivery could lower 2028 revenue by 6% to 12% and reduce adjusted EBITDA by as much as 12.3%.