Bernstein asserts Core Scientific is a strong buy following a 30% decline in share price, highlighting its role as a leader in AI-focused mining operations.
Despite a significant downturn earlier this week, Bernstein maintains a positive outlook on Core Scientific (CORZ), following a 30% drop in the company’s share price. The decline occurred amidst a challenge from DeepSeek, a Chinese artificial intelligence (AI) startup, which questioned the valuation of bitcoin (BTC) miners from a data centre perspective.
In their research report published Thursday, Bernstein highlighted that the recent stock slide has created a buying opportunity, positioning it at a deep discount. Core Scientific has been described as the “leader of the pack” among AI-focused mining operations. The firm boasts an available power supply of 1.3 gigawatts (GW) and is engaged in a significant 12-year AI agreement with CoreWeave.
Analysts led by Gautam Chhugani noted, “Bitcoin miners have a 12-18 month finite window to build a hybrid data center business, while the hyperscaler capex remains consistent.” The firm is reportedly on track to launch its first cluster of data centres in the first half of this year and continues to acquire and develop additional power sites.
As of now, Core Scientific’s stock is trading at valuations more aligned with bitcoin mining than with traditional data centres. This discrepancy is particularly notable given that approximately 70% of its capacity is dedicated to AI applications. Bernstein holds an outperform rating on Core Scientific’s shares, setting a price target of $17. Early trading indicated a recovery, with the stock up 3.8% at $11.90.
The developments surrounding Core Scientific occur amid broader market trends impacting bitcoin mining and AI integration in technology infrastructure, highlighting an evolving landscape for businesses in these intersecting fields.
Source: Noah Wire Services
- https://gov.capital/stock/corz-stock/ – This URL provides information on Core Scientific Inc.’s stock performance and forecasts, supporting the discussion about its stock price and market trends.
- https://coincodex.com/stock/CORZ/price-prediction/ – This URL offers a stock forecast for Core Scientific, Inc., including current prices and predictions, which aligns with the article’s discussion on stock valuation and market sentiment.
- https://www.noahwire.com – This is the source mentioned in the article, though it does not provide specific information on Core Scientific’s recent developments without further context.
- https://www.google.com/search?q=Core+Scientific+Inc.+news – This search query can lead to various news articles about Core Scientific, Inc., providing broader context on its operations and market position.
- https://www.bloomberg.com/search?query=Core+Scientific+Inc. – This search on Bloomberg can yield financial news and analysis about Core Scientific, Inc., supporting claims about its financial performance and market outlook.
- https://www.reuters.com/search/news?blob=Core+Scientific+Inc. – Reuters provides news articles that can corroborate the company’s recent developments and market trends.
- https://www.cnbc.com/search/?query=Core+Scientific+Inc. – CNBC’s search results can offer insights into Core Scientific’s stock performance and industry trends.
- https://www.nasdaq.com/market-activity/stocks/corz – This URL provides real-time stock data for Core Scientific, Inc., supporting discussions about its stock price movements.
- https://www.investopedia.com/terms/b/bitcoin-mining.asp – This article explains bitcoin mining, which is relevant to understanding Core Scientific’s operations and challenges in the industry.
- https://www.investopedia.com/terms/a/artificial-intelligence.asp – This resource provides an overview of artificial intelligence, which is integral to Core Scientific’s business model and strategic partnerships.
Noah Fact Check Pro
The draft above was created using the information available at the time the story first
emerged. We’ve since applied our fact-checking process to the final narrative, based on the criteria listed
below. The results are intended to help you assess the credibility of the piece and highlight any areas that may
warrant further investigation.
Freshness check
Score:
9
Notes:
The narrative is recent, dated January 30, 2025, and discusses ongoing market trends and developments, indicating high freshness.
Quotes check
Score:
8
Notes:
The quote from analysts led by Gautam Chhugani appears to be original to this report. However, without further context or earlier references, it’s difficult to confirm its origin.
Source reliability
Score:
9
Notes:
The narrative originates from Coindesk, a well-known and reputable publication in the cryptocurrency and financial sector.
Plausability check
Score:
8
Notes:
The claims about Core Scientific’s position and market trends are plausible given the context of bitcoin mining and AI integration. However, specific financial projections and valuations require additional verification.
Overall assessment
Verdict (FAIL, OPEN, PASS): PASS
Confidence (LOW, MEDIUM, HIGH): HIGH
Summary:
The narrative is fresh, well-sourced, and plausible, with a reputable origin. While some financial projections may require further verification, the overall content appears accurate and reliable.
