CoreWeave (CRWV) is once again in talks to acquire Core Scientific (CORZ), according to the Wall Street Journal, which cited sources familiar with the matter. The AI-focused cloud infrastructure company previously made an unsuccessful attempt to buy Core Scientific about a year ago. Indeed, CoreWeave offered to acquire Core Scientific for $5.75 per share, which valued the company at just over $1 billion. However, that offer was rejected. While the exact terms of the current deal haven’t been revealed, discussions appear to be progressing and could lead to a finalized agreement in the coming weeks, assuming no major issues arise.
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Core Scientific, which is now valued at roughly $3.7 billion despite a 15% drop in its stock price this year, is one of the largest digital infrastructure providers for Bitcoin mining and hosting in North America. Meanwhile, CoreWeave—valued at around $75 billion after going public in March—offers AI cloud services and leases access to Nvidia GPUs to major tech clients, such as Microsoft (MSFT), Meta (META), and IBM (IBM). In fact, Microsoft alone accounted for 62% of CoreWeave’s revenue in 2024, based on the company’s IPO filing.
It is worth noting that the two companies already have a strong working relationship. In June 2023, they entered a 12-year hosting deal in which Core Scientific would provide hundreds of megawatts to power CoreWeave’s operations. As demand for data centers and power surges due to the AI boom, Core Scientific and other Bitcoin miners are looking to capitalize on the growing shortage of digital infrastructure.
Is CRWV a Good Stock to Buy?
Turning to Wall Street, analysts have a Moderate Buy consensus rating on CRWV stock based on six Buys, 11 Holds, and one Sell assigned in the past three months, as indicated by the graphic below. Furthermore, the average CRWV price target of $78.53 per share implies over 50% downside risk.
