TeraWulf Inc. (WULF) shares plummeted 8.32% in intraday trading on Friday, extending recent declines.
The drop comes as the company's first-quarter earnings report continues to pressure the stock. TeraWulf reported a Q1 loss of $1.01 per share, far exceeding analyst expectations of a $0.16 per share loss, with the loss widening more than fivefold year-over-year. Revenue for the quarter came in at $34.01 million, below the market consensus of $38.33 million and also declining on a year-over-year basis.
Despite some positive analyst actions, including Jefferies initiating coverage with a Buy rating and a $28 price target and Morgan Stanley recently raising its target to $41.50, the severe deterioration in fundamentals has overwhelmed the positive sentiment. Market sentiment remains cautious as the gap between earnings reality and Wall Street optimism widens.
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