Core Scientific Inc. (CORZQ) has disclosed a new risk, in the Debt & Financing category.
Core Scientific Inc.’s significant indebtedness, totaling approximately $1.12 billion as of December 31, 2024, poses a substantial risk to its financial health and operational flexibility. The company’s debt burden could limit its cash flow available for other operations, increase its vulnerability to economic downturns, and restrict its ability to secure additional financing. This situation may also lead to a competitive disadvantage compared to less leveraged peers and result in potential dilution of existing stockholder interests. Failure to meet debt obligations or adhere to restrictive covenants could trigger defaults, exacerbating financial strain and further jeopardizing operational stability.
Overall, Wall Street has a Moderate Buy consensus rating on CORZQ stock based on 1 Buy.
To learn more about Core Scientific Inc.’s risk factors, click here.