Core Scientific Inc (CORZ) AI Stock Analysis

• Market Cap: $2.08B
• Dividend Yield: N/A
• Average Volume (3M): 22.34M
• Price to Earnings (P/E): ―
• Beta (1Y): 2.53
• Revenue Growth: 1.65%
• EPS Growth: -700.27%
• Country: US
• Employees: 325
• Sector: General
• Sector Strength: N/A
• Industry: Software - Infrastructure
• EPS (TTM): -5.54
• Shares Outstanding: 294,891,270
• 10 Day Avg. Volume: 21,629,280
• 30 Day Avg. Volume: 22,337,119
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): 4.90
• Price to Cash Flow (P/CF): 45.30
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: $18.50
• Price Target Upside: 161.67% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 12

Core Scientific Inc. is currently facing significant financial hurdles, characterized by persistent losses and high leverage, which weigh heavily on its overall stock score. Technical indicators also suggest bearish momentum, adding to short-term risk. On the positive side, strategic initiatives, such as the HPC hosting contract, suggest potential for future growth. However, the company's valuation remains unattractive due to its unprofitability and lack of dividend yield. While corporate events indicate strategic advancements, they are offset by recent financial losses. Overall, the company's current financial instability and negative market sentiment result in a low stock score of 40.

Positive Factors

Capacity Expansion

CORZ announced a 70 MW expansion & signed lease at Denton, TX with its initial customer, bringing signed HPC capacity to 590MW.

Partnerships

CoreWeave signed a landmark $12B deal with OpenAI, indicating strong demand for AI cloud services.

Negative Factors

Deployment Delays

There is a delay in the '25 HPC deployment due to permitting and equipment needs changing.

Revenue Adjustments

Forecasted revenue for FY2025 and FY2026 has been adjusted downwards due to lower expected BTC hosting revenue and other factors.

Core Scientific Inc Business Overview & Revenue Model

Company Description

Core Scientific, Inc. operates facilities for digital asset mining and colocation services in North America. It provides blockchain infrastructure, software solutions, and services. The company mines digital assets for its own account and provides hosting colocation services for other large-scale miners. It operates in two segments, Equipment Sales and Hosting. The company owns and operates computer equipment that is used to process transactions conducted on one or more blockchain networks in exchange for transaction processing fees rewarded in digital currency assets, commonly referred to as mining; and datacenter facilities to provide colocation and hosting services for distributed ledger technology, also commonly known as blockchain. It also develops blockchain-based platforms and applications, including infrastructure management, security technologies, mining optimization, and recordkeeping. The company is headquartered in Austin, Texas. On December 21, 2022, Core Scientific, Inc. filed a voluntary petition for reorganization under Chapter 11 in the U.S. Bankruptcy Court for the Southern District of Texas.

How the Company Makes Money

Core Scientific Inc makes money primarily through its digital asset mining operations and hosting services. The company operates large-scale data centers where it mines cryptocurrencies like Bitcoin, generating revenue from the digital assets produced. Additionally, Core Scientific provides hosting services for third-party clients who own mining equipment but require infrastructure to operate their machines. These clients pay fees for the use of Core Scientific's facilities, power, and management services. The company's revenue is also supported by strategic partnerships and collaborations with technology firms and blockchain networks that enhance its service offerings and operational efficiency.

Core Scientific Inc Financial Statement Overview

Summary

Core Scientific Inc. faces significant financial challenges, with ongoing profitability issues and financial instability. The income statement reveals negative net income and EBIT, while the balance sheet shows negative equity and high leverage. Despite positive operating cash flow, free cash flow remains negative, indicating cash generation issues.

Income Statement

The income statement shows persistent challenges with profitability, as evidenced by negative net income and EBIT across the years. The gross profit margin in the latest year was 23.71%, reflecting a decline from previous years. Revenue growth has been inconsistent, with a significant drop in 2022. The net profit margin is negative, indicating profitability issues.

Balance Sheet

The balance sheet highlights financial instability with negative stockholders' equity and high leverage. The debt-to-equity ratio is not calculable due to negative equity. ROE is negative, reflecting losses. The equity ratio is also negative, indicating a concerning financial structure.

Cash Flow

Cash flow analysis shows some operational resilience with positive operating cash flow, but the company struggles with free cash flow, which remains negative. The free cash flow to net income ratio is unfavorable, pointing to cash generation issues relative to net losses.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
510.67M	502.40M	640.31M	544.48M	60.32M
	Gross Profit
121.07M	123.46M	8.40M	238.86M	9.39M
	EBIT
-19.20M	8.96M	-244.57M	166.64M	-10.40K
	EBITDA
-1.16B	-63.12M	-1.84B	167.61M	-10.40K
	Net Income Common Stockholders
-1.32B	-246.49M	-2.15B	47.31M	-10.40K
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
836.20M	50.41M	52.24M	131.68M	8.67M
	Total Assets
1.60B	712.16M	807.69M	2.44B	225.58M
	Total Debt
1.20B	865.54M	37.73M	818.81M	40.29M
	Net Debt
363.57M	815.14M	-14.51M	687.13M	31.62M
	Total Liabilities
2.42B	1.31B	1.22B	1.05B	136.35M
	Stockholders Equity
-820.18M	-596.94M	-409.35M	1.39B	89.22M
Cash Flow		Free Cash Flow
-52.06M	48.95M	-178.79M	-116.01M	-25.33M
	Operating Cash Flow
42.90M	65.11M	205.19M	-56.73M	-23.77M
	Investing Cash Flow
-95.19M	-3.00M	-590.78M	-423.84M	-15.14M
	Financing Cash Flow
819.57M	-44.65M	306.15M	603.53M	40.72M

Core Scientific Inc Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 7.07
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CORZ, the sentiment is Negative. The current price of 7.07 is below the 20-day moving average (MA) of 7.74, below the 50-day MA of 9.49, and below the 200-day MA of 11.92, indicating a bearish trend. The MACD of -0.72 indicates Negative momentum. The RSI at 41.33 is Neutral, neither overbought nor oversold. The STOCH value of 34.21 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for CORZ.

Core Scientific Inc Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
AVPT	70 Outperform	$2.95B	―	-12.13%	―	21.58%	-32.72%
DLO	63 Neutral	$2.53B	19.67	26.10%	―	33.84%	0.29%
STNE	63 Neutral	$3.16B	8.73	-9.48%	―	-8.52%	-180.71%
DOCN	60 Neutral	$2.54B	31.79	-41.63%	―	12.66%	2097.85%
Sector *	54 Neutral	$3.93B	-17.35	-15.99%	6.44%	25.52%	-80.16%
BKKT	43 Neutral	$116.82M	―	-113.56%	―	347.52%	62.22%
CORZ	40 Underperform	$2.08B	―	160.33%	―	1.65%	-700.27%

Core Scientific Inc Corporate Events

Core Scientific Reports March Bitcoin Mining Results

In March 2025, Core Scientific earned 247 self-mined bitcoins, bringing the year-to-date total to 718 bitcoins, while customer-hosted miners earned an estimated 17 bitcoins. The company operated approximately 163,000 bitcoin miners with a total energized hash rate of 19.1 EH/s, and contributed 35,295 megawatt hours to local electrical grids by reducing power consumption at its data centers.

Spark’s Take on CORZ Stock

According to Spark, TipRanks’ AI Analyst, CORZ is a Underperform.

Core Scientific Inc. is currently facing significant financial hurdles, characterized by persistent losses and high leverage, which weigh heavily on its overall stock score. Technical indicators also suggest bearish momentum, adding to short-term risk. On the positive side, strategic initiatives, such as the HPC hosting contract, suggest potential for future growth. However, the company’s valuation remains unattractive due to its unprofitability and lack of dividend yield. While corporate events indicate strategic advancements, they are offset by recent financial losses. Overall, the company’s current financial instability and negative market sentiment result in a low stock score of 40.

To see Spark’s full report on CORZ stock, click here.

Core Scientific Appoints New CFO James P. Nygaard

On March 2, 2025, Core Scientific announced the appointment of James P. Nygaard, Jr. as Executive Vice President and Chief Financial Officer, effective March 17, 2025. Nygaard brings nearly 30 years of investment banking experience, having previously served as Managing Director at XMS Capital Partners and CFO of Power & Digital Infrastructure Acquisition Corp. This transition follows the resignation of Denise Sterling, who played a critical role in stabilizing the company during its restructuring and emergence from Chapter 11. Nygaard’s expertise is expected to help Core Scientific continue scaling its operations and enhancing shareholder value.

Core Scientific Expands Denton Facility with CoreWeave

On February 26, 2025, Core Scientific, Inc. announced an agreement with CoreWeave, Inc. to expand its Denton, Texas facility by 70MW, bringing the total contracted HPC infrastructure to approximately 590MW across six sites. This $1.2 billion expansion solidifies Core Scientific’s position as a premier provider of application-specific data centers for HPC workloads, with a total contracted revenue of $10.2 billion over 12 years. The expansion aims to meet the growing demand for scalable, high-power data center solutions, particularly for NVIDIA GPU operations, and further positions Core Scientific as a leader in the high-performance compute data center space.

Core Scientific Inc Reports Q4 2024 Financial Loss

Core Scientific, Inc. reported a net loss of $265.5 million for the fiscal fourth quarter of 2024, largely due to a $224.7 million non-cash mark-to-market adjustment related to warrants and contingent value rights. Despite the financial loss, the company secured $625 million through a convertible note offering and expanded its infrastructure capacity to 1,300 MW, positioning itself for future growth in HPC and bitcoin mining operations.

Core Scientific Inc Reports January 2025 Bitcoin Production

On February 5, 2025, Core Scientific announced its production and operations updates for January 2025. The company earned 256 self-mined bitcoins and hosted customers earned an estimated 17 bitcoins at its data centers. The total energized hash rate was 19.5 EH/s, with 161,000 bitcoin miners operating. The company also supported local electrical grids by reducing power consumption significantly.