Why Did WULF Stock Dive In Extended Trading After Hitting 52-Week High?

• Terawulf said it intends to offer $800 million of common stock, with the underwriters granted a 30-day option to purchase up to an additional $120 million.
• Proceeds are expected to finance a portion of the construction of a new data center at its Hawesville, Kentucky site. 
• The company also said that it expects first quarter (Q1) revenue between $30 million and $35 million, below an analyst estimate of $39.17 million.

Shares of TeraWulf Inc. (WULF) fell 7% in after-hours trading Tuesday after the company announced a large common stock offering to fund data-center expansion and released preliminary first-quarter 2026 financial results.

The data center infrastructure operator closed the regular session up nearly 8% at $20.95, hitting a fresh 52-week high. In extended trading, the stock dropped as low as $19.12, before tempering some losses.

Stock Offering

The company said it intends to offer $800 million of common stock, with the underwriters granted a 30-day option to purchase up to an additional $120 million.

Proceeds are expected to finance a portion of the construction of a new data center at its Hawesville, Kentucky site and to support future site acquisitions, and fund general corporate purposes, the company said.

Preliminary Results

Separately, TeraWulf also said that it expects first quarter (Q1) revenue between $30 million and $35 million, below an analyst estimate of $39.17 million, and adjusted core profit between $0 million and $3 million, lower than Wall Street estimates of $4.86 million. The company ended March with $3.1 billion in cash, cash equivalents and restricted cash, and total debt of $5.8 billion.

More than 50% of first-quarter revenue came from contracted high-performance computing (HPC) hosting, a shift the company said will accelerate as additional capacity comes online throughout 2026.

TeraWulf also disclosed it has received allocations for a new revolving credit facility of up to $250 million, maturing in April 2030, which it said will enhance liquidity and support working capital. The company believes its strengthened balance sheet gives it sufficient capital to fund the equity component of the Kentucky data-center project and support other near term capital requirements.

“Our preliminary results reflect a business that has effectively transitioned to long-term, credit-enhanced revenues,” said CFO Patrick Fleury. “With more than 50% of first quarter 2026 revenue derived from HPC hosting, and additional compute capacity expected to come online in the second quarter and throughout the remainder of the year, we expect our revenue mix to continue shifting toward stable, contracted HPC hosting revenues backed by investment-grade counterparties.”

Terawulf is expected to report its full Q1 results in May.

How Did Retail Traders React?

On Stocktwits, retail sentiment around WULF stayed within the ‘extremely bullish’ territory over the past 24 hours, while message volume remained at ‘extremely high’ levels.

WULF stock has gained about 748% over the past 12 months. 

Read More: ‘Pharma Bro’ Martin Shkreli Defends Revolution Medicines’ Pancreatic Cancer Study Data: ‘Progress Compounds’

For updates and corrections, email newsroom[at]stocktwits[dot]com.