Core Scientific carries the strongest revenue growth in its peer group at 45% year-over-year, but an overall quality profile well below the minimum threshold — near-zero gross margins, poor operating margins, 26% short interest, and a single-customer concentration risk — means the growth narrative is not yet supported by the financial fundamentals needed to justify a forward P/E of 95x.
Thesis pillars
- Quality Below Minimum Floor↑Improving
- 26pct Short Interest Elevated Put Call↑Improving
- Single Customer Supplier Concentration↑Improving
- +1 more pillar — see the Why tab for full reasoning
Pillars as of Jul 3, 2026, based on the 10-K filed Mar 2, 2026
Core Scientific, Inc. (CORZ) Stock Analysis
Recovery setup
Technology · Software - Infrastructure
Sell if holding. Engine safety override at $15.00: a dimension score below its floor triggers a hard block regardless of the otherwise-positive setup — overall score 5.6/10 and A.R:R 5.9:1 is above the 1.5:1 BUY gate. Specifically: High short interest: 27%; Below-average business quality; Below long-term trend.
Core Scientific designs, builds, and operates ten large-scale data centers across seven U.S. states, totaling 920 MW of leasable customer power capacity, focused on high-density colocation for AI/HPC and bitcoin self-mining. Revenue was derived primarily from bitcoin self-mining... Read more
Sell if holding. Engine safety override at $15.00: a dimension score below its floor triggers a hard block regardless of the otherwise-positive setup — overall score 5.6/10 and A.R:R 5.9:1 is above the 1.5:1 BUY gate. Specifically: High short interest: 27%; Below-average business quality; Below long-term trend. Chart setup: Death cross but MACD improving, RSI 48. Score 5.6/10, moderate confidence.
Passes 6/9 gates (positive momentum, favorable risk/reward ratio, clean insider activity, news events none recent, semi cycle peak clear, materials cycle peak clear). Fails on earnings proximity 6d<=7d. Suitability: speculative.
About Core Scientific, Inc.
About Core Scientific, Inc.
Core Scientific entered the high-density colocation market through contracts with CoreWeave totaling approximately 590 megawatts of leased customer power capacity at December 31, 2025, anchoring a strategic pivot away from bitcoin self-mining. The portfolio spanned ten data centers across seven U.S. states — Alabama, Georgia, Kentucky, North Carolina, North Dakota, Oklahoma, and Texas — representing 1.4 gigawatts of gross utility power capacity and 920 megawatts of leasable customer power, staffed by 325 full-time employees.
Core Scientific operates three revenue segments: Colocation (high-density services for AI/HPC customers), Digital Asset Self-Mining (bitcoin mining for the company's own account), and Digital Asset Hosted Mining (third-party hosting, which the company does not intend to expand beyond 2025). Under Colocation contracts, customers pay fixed capacity-based fees plus variable charges, structured as triple-net or modified gross leases with take-or-pay commitments that provide multi-year revenue visibility. The company sources power from ten utilities, led by Denton Municipal Electric (394 megawatts at Dallas-Denton, Texas) and Texas New-Mexico Power (300 megawatts at Pecos, Texas). Mining hardware has historically been sourced substantially from Bitmain Technologies Limited; a 2024 agreement with Block, Inc. adds customized 3 nm ASICs. Competitors in the HDC market include Equinix, Digital Realty Trust, QTS, and Vantage Data Centers; mining competitors include CleanSpark and Bitfarms.
Show full overview
Core Scientific's colocation buildout faces a compounded single-source exposure: the 10-K discloses the high-density colocation business is highly dependent on a single customer — CoreWeave, with approximately 590 megawatts contracted, or roughly 64% of total leasable capacity. Mining hardware has simultaneously been sourced substantially from a single manufacturer, Bitmain Technologies Limited. The company also disclosed a material weakness in internal control over financial reporting as of December 31, 2025, under remediation with no assured resolution timeline. In May 2026, Core Scientific completed a $3.3 billion senior secured notes offering, providing capital to fund the portfolio conversion.
See also: Technology · Software - Infrastructure
From Core Scientific, Inc.'s most recent 10-K filing, extracted June 9, 2026.
Recent developments
updated 2026-10-29Recent Developments — Core Scientific, Inc.
Latest news
- NEWS RIOT, MARA, IREN, and CORZ Stocks Slide as Bitcoin Miners Turn Neoclouds Face Credit Risks — benzinga Oct 24, 2026 negative
- NEWS 10 Information Technology Stocks With Whale Alerts In Today’s Session — benzinga Oct 19, 2026 neutral
- NEWS Cantor Fitzgerald Maintains Overweight on Core Scientific, Lowers Price Target to $30 — benzinga Oct 16, 2026 neutral
- NEWS BTIG Reiterates Buy on Core Scientific, Maintains $38 Price Target — benzinga Oct 15, 2026 positive
- NEWS Bitcoin Mining's Next Evolution May Be Owning The Rewards, Not The Hardware — benzinga Oct 14, 2026 neutral
Generated 2026-10-29T11:53:50Z.
Upcoming dated catalysts
Thesis
Key Metrics
Quality Signals
Options Flow
Concentration Risks(10-K Item 1A)
- HIGHCustomersingle customer10-K Item 1A: 'our high-density colocation business is highly dependent on a single customer'
- HIGHSupplierBitmain10-K Item 1: 'we have sourced substantially all of our miners from Bitmain Technologies Limited'
Material Events(8-K, last 90d)
- 2026-05-26Item 5.02LOWSteve M. Smith appointed to the Board of Directors and Nominating and Corporate Governance Committee, effective May 26, 2026. Previously CEO of Zayo and Equinix. No departures noted; no reason cited.SEC filing →
- 2026-05-06Item 1.01MEDIUMCore Scientific Finance I LLC completed $3.3 billion of 7.750% Senior Secured Notes due 2031, issued at 99.250% of par via Rule 144A/Reg S. Representatives: Morgan Stanley and J.P. Morgan Securities.SEC filing →
- 2026-05-06Item 2.03MEDIUMCreation of direct financial obligation: $3.3 billion aggregate principal of 7.750% Senior Secured Notes due 2031 issued by Core Scientific Finance I LLC, a wholly-owned indirect subsidiary.SEC filing →
- 2026-05-05Item 5.02LOWJorge Ray appointed Principal Accounting Officer effective May 7, 2026. Serves as Chief Accounting Officer since March 2026; previously Corporate Controller at Raymond James Financial. No disagreement cited.SEC filing →
Model-generated analysis — not investment advice. Not a registered investment advisor. Past performance does not guarantee future results. How we score · Editorial policy
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Rating Breakdown
4 floor-breakers·1 ceiling hit
Volatile — 7.3% daily ATR makes tight stops impractical. Position-size conservatively.static
Quality below the gate floor. Component breakdown shows what dragged the score down.static
No near-term catalyst priced in. Thesis progression will come from fundamentals grinding, not event reaction.static
Technicals below the gate floor. Component breakdown shows what dragged the score down.static
Price Targets
Position Sizing
Risk Alerts
Earnings
Verdict History
Frequently Asked Questions
Sell if holding. Engine safety override at $15.00: a dimension score below its floor triggers a hard block regardless of the otherwise-positive setup — overall score 5.6/10 and A.R:R 5.9:1 is above the 1.5:1 BUY gate. Specifically: High short interest: 27%; Below-average business quality; Below long-term trend. Chart setup: Death cross but MACD improving, RSI 48. Prior stop was $13.95. Score 5.6/10, moderate confidence.
Analyst target: $28.33 (+88.9% upside). Prior stop was $13.95. Stop-loss: $13.95.
Concentration risk — Customer: single customer; Concentration risk — Supplier: Bitmain; Quality below floor (3.0 < 4.0).
Core Scientific, Inc. trades at a P/E of N/A (forward 92.2). TrendMatrix value score: 4.7/10. Verdict: Sell.
28 analysts cover CORZ with a consensus score of 4.2/5. Average price target: $31.
What does Core Scientific, Inc. do?Core Scientific designs, builds, and operates ten large-scale data centers across seven U.S. states, totaling 920 MW of...
Core Scientific designs, builds, and operates ten large-scale data centers across seven U.S. states, totaling 920 MW of leasable customer power capacity, focused on high-density colocation for AI/HPC and bitcoin self-mining. Revenue was derived primarily from bitcoin self-mining in 2025, with the company converting its portfolio to colocation under long-term contracts led by CoreWeave.