Core Scientific, Inc. Common Stock
CORZ
$17.89
-0.06%
Core Scientific, Inc. is a technology company that designs, builds, and operates digital infrastructure for high-density colocation services and digital asset mining, primarily serving the cryptocurrency and AI/HPC sectors. As a leading player in the Bitcoin mining and AI data center space, it differentiates itself through its large-scale self-mining operations and its pivot toward hosting AI workloads, capitalizing on the convergence of crypto and artificial intelligence. The current investor narrative centers on the company's strategic transformation from a pure-play Bitcoin miner into a diversified AI infrastructure provider, with recent news highlighting its success in securing financing for expansion and its potential to replicate the success of peers like TeraWulf in landing major AI contracts. However, this optimism is tempered by near-term financial losses and the inherent volatility of both cryptocurrency prices and the rapidly evolving AI infrastructure market.…
CORZ
Core Scientific, Inc. Common Stock
$17.89
Related headlines
Investment Opinion: Should I buy CORZ Today?
Rating: Buy. The consensus among 16 analysts is a Buy, with an average target price of $37.125, implying 107.5% upside. The thesis is that Core Scientific's strategic pivot to AI colocation will drive significant revenue growth and eventually profitability, justifying the premium valuation. The company's strong Q1 revenue growth of 44.92% YoY and positive operating cash flow support this view.
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CORZ 12-Month Price Forecast
The AI assessment is cautiously bullish. The company's strong revenue growth and strategic pivot to AI infrastructure are promising, but the persistent losses and high valuation introduce significant risk. The medium confidence reflects the uncertainty around execution. If the company can secure major AI contracts and demonstrate a path to profitability, the stock could re-rate significantly. Conversely, any setback could lead to a sharp decline. I would upgrade to high confidence if the company announces a landmark AI deal, and downgrade to neutral if revenue growth decelerates or cash burn worsens.
Wall Street consensus
Most Wall Street analysts maintain a constructive view on Core Scientific, Inc. Common Stock's 12-month outlook, with a consensus price target around $37.13 and implied upside of +107.5% versus the current price.
Average Target
$37.13
0 analysts
Implied Upside
+107.5%
vs. current price
Analyst Count
—
covering this stock
Price Range
$28 - $55
Analyst target range
Analyst coverage is robust with 16 analysts providing targets, and the consensus recommendation is a Buy, with no Hold or Sell ratings among the recent institutional ratings. The average target price is $37.125, implying a substantial upside of 107.5% from the current price of $17.89, indicating strong bullish sentiment. The target range spans from a low of $28.00 to a high of $55.00, with the high target assuming successful execution of AI infrastructure deals and significant multiple expansion, while the low target still implies a 56.5% upside, reflecting a generally optimistic outlook. Recent ratings from firms like BTIG, B. Riley, and Jefferies have all been Buy or Outperform, with no downgrades, suggesting analysts are confident in the company's strategic pivot, though the wide spread between low and high targets indicates uncertainty about the pace and magnitude of the AI revenue ramp.
Bulls vs Bears: CORZ Investment Factors
Core Scientific presents a high-risk, high-reward opportunity. The bull case rests on the successful pivot to AI colocation, evidenced by strong revenue growth and unanimous analyst Buy ratings. However, the bear case is equally compelling, with persistent net losses, negative equity, and a premium valuation that leaves no room for disappointment. Currently, the evidence slightly favors the bulls due to the massive upside implied by analyst targets and the strategic shift to AI, but the single most important tension is whether the company can convert its infrastructure into profitable AI contracts before cash burn forces a dilutive capital raise. If AI deals materialize, the stock could re-rate significantly; if not, the current valuation could prove unsustainable.
Bullish
- Strong Revenue Growth in Q1 2026: Revenue surged 44.92% YoY to $115.24 million in Q1 2026, driven by the Digital Asset Self-Mining segment. This indicates robust demand for its infrastructure and successful expansion of mining operations.
- Analyst Consensus: Strong Buy: All 16 analysts rate CORZ as Buy or Outperform, with an average target price of $37.125, implying 107.5% upside from the current price of $17.89. The low target of $28 still offers 56.5% upside, reflecting high conviction in the AI pivot.
- Strategic Pivot to AI Colocation: The company is transitioning from pure Bitcoin mining to AI/HPC colocation, a model validated by TeraWulf's $19B Anthropic deal. This could unlock high-margin, predictable revenue streams and diversify earnings away from crypto volatility.
- Positive Operating Cash Flow: Despite net losses, Q1 2026 operating cash flow was $249.88 million, indicating underlying cash generation from operations. This provides a buffer for capital expenditures and reduces reliance on external financing.
Bearish
- Persistent Net Losses: Q1 2026 net loss was $347.19 million, with a net margin of -90.47%. The company has struggled to achieve profitability, with negative EPS of -$1.06, raising concerns about its ability to sustain operations without continued capital infusions.
- Negative Shareholder Equity: Debt-to-equity ratio is -1.10, indicating negative shareholder equity. This financial fragility could limit access to capital and increase bankruptcy risk if market conditions deteriorate.
- High Valuation Premium: PS ratio of 14.52x is nearly 3x the industry average of ~5x. Even with strong growth, the market is pricing in significant future success, leaving little room for error. A failure to execute on AI deals could trigger multiple compression.
- Extreme Volatility and Beta: Beta of 5.485 indicates the stock is highly sensitive to market swings, with a 1-month decline of -17.82% and a 3-month decline of -30.79%. This volatility can lead to outsized losses during market downturns.
CORZ Technical Analysis
CORZ has exhibited a volatile uptrend over the past year, with the stock price up 31.35% over the last 12 months, though it has recently pulled back sharply from its highs. Currently trading at $17.89, the stock sits at approximately 28.6% of its 52-week range (between $13.135 low and $30.46 high), indicating it is closer to the lower end of its range after a significant correction. This positioning suggests the stock is in a corrective phase after a strong rally, with the current price near support levels but still above the 52-week low, reflecting a mix of profit-taking and ongoing uncertainty.
Beta
5.49
5.49x market volatility
Max Drawdown
-44.9%
Largest decline past year
52-Week Range
$13-$30
Price range past year
Annual Return
+31.4%
Cumulative gain past year
| Period | CORZ Return | S&P 500 |
|---|---|---|
| 1m | -17.8% | -0.4% |
| 3m | -30.8% | +4.5% |
| 6m | +20.4% | +13.9% |
| 1y | +31.4% | +19.0% |
| ytd | +11.9% | +12.9% |
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CORZ Fundamental Analysis
Core Scientific's revenue trajectory has been inconsistent, with the most recent quarter (Q1 2026) reporting revenue of $115.24 million, a 44.92% year-over-year increase, but this follows a period of fluctuating quarterly revenues, including $79.76 million in Q4 2025 and $81.10 million in Q3 2025. The growth is driven by the Digital Asset Self-Mining segment, which contributed $149.96 million in revenue, while Hosting Service added $20.08 million, indicating a heavy reliance on Bitcoin mining economics. However, the company's profitability remains a major concern, as it reported a net loss of $347.19 million in Q1 2026, with a gross margin of only 25.81% and an operating margin of -20.60%, reflecting high costs and significant non-operating expenses. The balance sheet shows a negative debt-to-equity ratio of -1.10, indicating negative shareholder equity, and the company generated negative free cash flow of $471.20 million over the trailing twelve months, though it did report positive operating cash flow of $249.88 million in Q1 2026, suggesting some underlying cash generation from operations.
Quarterly Revenue
$115244000.0B
2026-03
Revenue YoY Growth
+44.9%
YoY Comparison
Gross Margin
25.8%
Latest Quarter
Free Cash Flow
$-471202000.0B
Last 12 Months
Revenue & Net Income Trends (2 Years)
Revenue Breakdown
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Valuation Analysis: Is CORZ Overvalued?
Given the company's negative net income, the price-to-sales (PS) ratio is the most appropriate valuation metric, and at 14.52x trailing sales, it reflects a premium valuation relative to the broader software infrastructure sector, which typically trades at lower multiples. The forward PE ratio of 127.79x, based on estimated EPS of $1.60, implies the market expects a dramatic earnings recovery, but the gap between the trailing negative PE and the forward positive PE highlights the market's optimism for a turnaround. Compared to the industry average PS ratio of approximately 5x, CORZ trades at a significant premium, which may be justified by its high growth potential in AI colocation but also carries substantial risk. Historically, the stock's PS ratio has ranged from as low as 3.10x in late 2021 to as high as 70.47x in Q3 2025, and the current level of 14.52x is well below its recent peak, suggesting the market has tempered its expectations after the recent selloff.
PE
-16.5x
Latest Quarter
vs. Historical
N/A
5-Year PE Range 17x~59x
vs. Industry Avg
N/A
Industry PE ~N/A*
EV/EBITDA
-25.9x
Enterprise Value Multiple
Investment Risk Disclosure
Financial risks are substantial. The company reported a net loss of $347.19 million in Q1 2026, with a net margin of -90.47%, indicating that costs and non-operating expenses far exceed revenue. The negative debt-to-equity ratio of -1.10 signals negative shareholder equity, meaning liabilities exceed assets, which could lead to solvency issues if not addressed. Additionally, free cash flow is deeply negative at -$471.20 million TTM, necessitating external financing. While operating cash flow was positive in Q1, the overall cash burn rate is high, and the company's reliance on continued capital markets access is a key vulnerability. Revenue concentration in Bitcoin mining (self-mining segment contributed $149.96 million in Q1) exposes the company to cryptocurrency price volatility, which can swing dramatically and impact profitability.