TeraWulf (WULF) Shares Surge 7% Following Massive $19B Anthropic Partnership

Key Highlights

• TeraWulf (WULF) shares climbed more than 7% following the announcement of a two-decade lease agreement with Anthropic, generating approximately $19 billion in contracted revenue.
• The agreement encompasses 401 megawatts of critical IT capacity at TeraWulf’s Justified Data facility in Hawesville, Kentucky.
• First-phase capacity deployment is projected for the latter half of 2027, reaching full operational status by early 2028.
• Compass Point upgraded its WULF price target from $28 to $40, reaffirming its Buy recommendation.
• Separately, TeraWulf disclosed the divestiture of its 50.1% interest in the Abernathy Joint Venture, unlocking approximately $450 million in capital.

Shares of TeraWulf (WULF) experienced a significant rally on July 6, 2026, following the company’s disclosure of a transformative partnership with Anthropic. By midday trading, the stock had climbed to approximately $22.74, representing a 7.3% gain, after launching the session at $24.21 and touching an intraday peak of $25.04.

TeraWulf Inc., WULF

The arrangement centers on a 20-year lease commitment at TeraWulf’s Justified Data facility located in Hawesville, Kentucky. This partnership is projected to yield approximately $19 billion in contracted revenue throughout the initial lease duration.

The facility is designed to accommodate roughly 401 megawatts of critical IT infrastructure. The first phase of capacity is anticipated to become operational during the second half of 2027, with complete buildout expected by the beginning of 2028.

Based on the contract structure, average annual lease payments are estimated at approximately $950 million, translating to roughly $2.37 million per megawatt annually. Anthropic’s financial commitments under the agreement are anticipated to carry investment-grade credit backing.

This partnership significantly expands TeraWulf’s contracted critical IT capacity portfolio from 522 MW to approximately 839 MW.

Analyst Upgrades: Compass Point Increases Target to $40

Following the announcement, Compass Point swiftly revised its price objective for WULF upward from $28 to $40 while maintaining its Buy rating. At the time of their analysis, shares were trading at $22.21, valuing TeraWulf at approximately $11 billion in market capitalization.

The positive sentiment extends beyond Compass Point. BofA Securities launched coverage with a Buy recommendation, while Bernstein initiated coverage with an Outperform rating, highlighting a robust backlog of approximately $24 billion in orders. Citizens JMP maintained its Market Outperform stance, emphasizing advancement at the Lake Mariner development.

Strategic Divestiture: TeraWulf Exits Abernathy Venture for $450M

Concurrent with the Anthropic announcement, TeraWulf revealed its decision to divest its 50.1% ownership position in the Abernathy Joint Venture to an investor consortium led by Fluidstack. This transaction is expected to return approximately $450 million of previously invested capital to the company.

TeraWulf indicated its intention to reallocate these proceeds toward fully controlled AI infrastructure initiatives, aligning with its strategic shift away from cryptocurrency mining operations.

The organization has additionally been evaluating leveraged loan opportunities to finance AI infrastructure growth, following a $3.2 billion high-yield bond offering that received backing from Google.

Despite experiencing a 17% decline during the week preceding this announcement, WULF stock had generated an impressive 303% return over the preceding twelve months.

The Hawesville campus features engineering specifications targeting a power usage effectiveness ratio of approximately 1.20, supporting 401 MW of critical IT load from a total gross power capacity of 480 MW. Company leadership is projecting an 85% net operating income margin and capital expenditure requirements between $10 million and $12 million per megawatt, with final costs contingent upon the specific computing hardware deployed at the location.

The post TeraWulf (WULF) Shares Surge 7% Following Massive $19B Anthropic Partnership appeared first on Blockonomi.