In a report released yesterday, Gautam Chhugani from Bernstein maintained a Buy rating on Core Scientific Inc (CORZ – Research Report), with a price target of $17.00.
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Gautam Chhugani has given his Buy rating due to a combination of factors that highlight Core Scientific Inc’s strategic positioning in the AI data center market. The company is on track to deliver 590MW to CoreWeave, with a significant portion of this capacity expected to be operational by the end of 2025. This commitment underscores the management’s confidence in meeting delivery schedules, which is crucial for maintaining investor trust and negating concerns about potential lease withdrawals.
Furthermore, Core Scientific is making strides in expanding its AI co-location capacity, with plans to develop 1.3GW, including new power developments and site acquisitions. The company’s efforts to establish one of the largest GPU clusters in North America will not only enhance its credentials but also attract a diverse client base. Despite a recent decline in stock price due to market fears, Chhugani believes that the company’s robust execution pipeline and strategic initiatives position it well for long-term growth, making it an attractive investment opportunity.
According to TipRanks, Chhugani is a 4-star analyst with an average return of 12.6% and a 51.16% success rate. Chhugani covers the Financial sector, focusing on stocks such as Riot Platforms, Cleanspark, and Coinbase Global.
In another report released today, Needham also maintained a Buy rating on the stock with a $16.00 price target.