Quick Summary
- TeraWulf shares climbed 11.86% on Monday, reaching a closing price of $16.41
- Morgan Stanley provided a $500M delayed-draw bridge credit facility to the company
- Capital will support construction of a data center facility in Hawesville, Kentucky
- The Hawesville property features 480 MW of operational power capacity with expansion potential
- Institutional investors hold 62.49% of outstanding shares, while analysts maintain a Moderate Buy consensus
TeraWulf (WULF) delivered impressive gains on Monday, climbing 11.86% to settle at $16.41 per share. The rally came after the company announced a $500 million credit facility with Morgan Stanley designed to finance data center development in Hawesville, Kentucky.
The financing takes the form of a delayed-draw bridge credit agreement. This structure allows TeraWulf to access capital incrementally as construction and development activities progress at the new facility.
TeraWulf received flexible repayment terms under the agreement. The first option ties payments to SOFR plus a 2.75% margin. The alternative uses a base rate calculated as the greater of: the federal funds rate plus 0.50%, Morgan Stanley’s prime rate, one-month SOFR, or 1% plus a 1.75% margin.
The Hawesville location brings significant advantages. The former industrial site spans 250 buildable acres and features existing high-voltage transmission infrastructure, an on-site substation, and direct connection to the regional power grid. The facility currently supports 480 MW of power capacity, with planned phased expansion to increase that figure.
This funding announcement builds on last month’s news that TeraWulf acquired two strategic land parcels — one located in Kentucky and another in Maryland — advancing its data center expansion strategy. The Kentucky property represents the Hawesville site now receiving this financial backing.
Institutional and Analyst Interest
The financing announcement coincides with growing institutional interest in WULF shares. Multiple institutions established fresh positions during the third quarter of last year.
Fortress Investment Group initiated a position valued at approximately $1.71 million. Azora Capital made the largest move, opening a $11.89 million stake in the company. Boothbay Fund Management expanded its holdings by 129.6%. Institutional investors collectively control 62.49% of TeraWulf’s shares.
Corporate insiders maintain ownership of 19.90% of the stock. Director Michael Bucella purchased 3,171 additional shares on March 4th at $15.78 per share, increasing his total position to 270,129 shares.
Analyst Ratings
Wall Street analysts express predominantly bullish views on the stock. Morgan Stanley initiated coverage in February with an Overweight rating and established a $37 price target — substantially above current trading levels. Cantor Fitzgerald elevated its target from $18 to $24. Keefe, Bruyette & Woods adjusted its target modestly downward from $24 to $23 while maintaining an Outperform rating.
Rosenblatt Securities increased its price target from $20 to $23 and assigned a Buy rating. Among 14 analysts covering the stock, the consensus stands at Moderate Buy with an average price target of $20.62. The ratings break down as 12 Buy recommendations, 1 Hold, and 1 Sell.
WULF began Monday’s trading session at $14.67 before advancing throughout the day. The stock has traded between $2.06 and $18.51 over the past 52 weeks, illustrating its significant appreciation. The 50-day moving average stands at $14.72, while the 200-day moving average rests at $13.35.
TeraWulf carries a market capitalization of approximately $6.22 billion and exhibits a beta of 3.66 — indicating elevated volatility characteristics. The company’s price-to-earnings ratio registers at -9.00, reflecting ongoing losses.
Shares concluded Monday’s trading at $16.41 following the credit agreement disclosure.
