TeraWulf (WULF) Is Up 14.9% After $9.5B AI Data Center Deal With Google-Backed Fluidstack

On October 28, 2025, TeraWulf announced a 25-year joint venture with Fluidstack to develop a 168 MW high-performance computing data center at its Abernathy, Texas campus, representing US$9.5 billion in contracted revenue and backed by a US$1.3 billion Google lease guarantee for project financing. This agreement signals TeraWulf's shift from bitcoin mining toward AI infrastructure, enabling the company to secure long-term, contracted revenue streams and strengthen its position in the growing market for high-performance computing solutions. We'll examine how this major AI infrastructure joint venture with Fluidstack may reshape TeraWulf's investment narrative and risk profile.

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TeraWulf Investment Narrative Recap

To be a TeraWulf shareholder today, you must believe that the company's pivot from bitcoin mining into long-term AI infrastructure, highlighted by the US$9.5 billion, Google-backed Fluidstack joint venture, will secure predictable, contracted revenue and enable the business to scale despite high capital requirements. This news directly impacts the biggest short-term catalyst: TeraWulf’s ability to lock down major hyperscale hosting deals with reliable counterparties, but it also amplifies the principal risk of execution delays or structural demand changes in the AI sector, which could impact future returns and debt exposure.

Recent revenue guidance reinforces the importance of these deals: for Q3 2025, TeraWulf expects between US$48 million and US$52 million in revenue, up roughly 84% from the same period last year. This surge mirrors the company’s shift toward long-term contracted income, driven by major agreements with partners like Fluidstack and Google, which remain central to both the near-term narrative and critical risks facing the business.

By contrast, investors should be aware that Google’s lease backstop support for the Fluidstack deal declines over time, opening questions about...

Read the full narrative on TeraWulf (it's free!)

TeraWulf's outlook sees revenues reaching $920.8 million and earnings climbing to $157.9 million by 2028. This requires revenue to grow at an annual rate of 85.6% and represents a $289.6 million increase in earnings from the current level of -$131.7 million.

Uncover how TeraWulf's forecasts yield a $15.73 fair value, a 8% upside to its current price.

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Exploring Other PerspectivesWULF Community Fair Values as at Oct 2025

Eight individual fair value estimates from the Simply Wall St Community span US$4.84 to US$18 per share, underscoring wide differences in opinion. Against this backdrop, the sustainability of TeraWulf’s multi-billion-dollar contracted revenue streams with partners like Fluidstack and Google stands at the heart of future performance.

Explore 8 other fair value estimates on TeraWulf - why the stock might be worth as much as 24% more than the current price!

Build Your Own TeraWulf Narrative

Disagree with existing narratives? Create your own in under 3 minutes - extraordinary investment returns rarely come from following the herd.

A great starting point for your TeraWulf research is our analysis highlighting 1 key reward and 3 important warning signs that could impact your investment decision. Our free TeraWulf research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate TeraWulf's overall financial health at a glance.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Companies discussed in this article include WULF.

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