TLDR
- TeraWulf (WULF) stock jumped over 7% after announcing a 20-year lease with Anthropic worth ~$19 billion in contracted revenue.
- The deal covers 401 megawatts of critical IT load at the Justified Data campus in Hawesville, Kentucky.
- Initial capacity is expected in the second half of 2027, with full ramp by early 2028.
- Compass Point raised its price target on WULF from $28 to $40, maintaining a Buy rating.
- TeraWulf also announced the sale of its 50.1% stake in the Abernathy Joint Venture, monetizing ~$450 million in capital.
TeraWulf (WULF) stock surged on July 6, 2026 after the company announced a landmark deal with Anthropic. The stock was trading around $22.74 at midday, up about 7.3%, after opening at $24.21 and hitting an intraday high of $25.04.
The deal is a 20-year lease at TeraWulf’s Justified Data campus in Hawesville, Kentucky. It is expected to generate roughly $19 billion in contracted revenue over the initial lease term.
The campus will support around 401 megawatts of critical IT load. Initial capacity is expected to come online in the second half of 2027, with full capacity targeted by early 2028.
The contract implies average annual lease revenue of approximately $950 million, or about $2.37 million per megawatt per year. Anthropic’s payment obligations are expected to be backed by investment-grade credit.
The deal also pushes TeraWulf’s total contracted critical IT capacity from 522 MW to around 839 MW.
Compass Point Lifts Price Target to $40
Compass Point responded quickly, raising its price target on WULF from $28 to $40 while keeping a Buy rating. The stock was trading at $22.21 at the time of the note, giving TeraWulf an $11 billion market cap.
Other analysts have also been positive. BofA Securities started coverage with a Buy rating, and Bernstein initiated with an Outperform, pointing to a strong order book of around $24 billion. Citizens reiterated a Market Outperform, citing progress at the Lake Mariner facility.
CEO Paul Prager said the Anthropic lease “validates our strategy and establishes a long-duration revenue stream with one of the world’s leading AI companies.”
TeraWulf Sells Abernathy Stake for $450 Million
Alongside the Anthropic news, TeraWulf announced it is selling its 50.1% ownership interest in the Abernathy Joint Venture to a Fluidstack-led investor group. The transaction is expected to monetize about $450 million of invested capital.
TeraWulf said it plans to redeploy that capital into wholly owned AI infrastructure projects, consistent with its broader pivot away from bitcoin mining.
The company has also been exploring the leveraged loan market to fund AI infrastructure expansion, following a $3.2 billion high-yield bond sale that was backstopped by Google.
Despite a 17% pullback over the past week heading into the announcement, WULF had delivered a 303% return over the prior year.
The campus is designed with a power usage effectiveness of roughly 1.20, with 401 MW of critical IT load against 480 MW of gross power. Management is guiding for an 85% NOI margin and $10 million to $12 million per megawatt in capital expenditure, with final capex depending on the silicon selected for the site.
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