Wall Street top-tier investment bank Bernstein recently pointed out in a report that as the partnership between Bitcoin mining company Core Scientific and AI cloud computing company CoreWeave deepens, and CoreWeave reaches a long-term cooperation worth $15.9 billion with OpenAI, Core Scientific's stock price is expected to benefit from CoreWeave's strong performance and be driven upward.
CoreWeave's Stock Price Soars, Core Scientific Steadily Rebounds
According to the latest Google Finance data, CoreWeave (stock code: CRWV) has seen its stock price surge by 122.2% since its listing in March this year, reaching $88.85, with a market value of $42.62 billion.
For Core Scientific (stock code: CORZ), its stock price has significantly rebounded by 69.72% in the past month, returning to $10.84, but it has still declined by 22.88% year-to-date, with a current market value of $3.23 billion.
Against this background, Bernstein analysts reiterated their "outperform" rating for Core Scientific's stock, setting a target price of $17, which represents approximately a 60% increase from the current price.
Analysts noted that the market currently views Core Scientific as a Bitcoin mining company rather than an advanced data center platform. However, its AI division is expected to account for 43% of its enterprise value. Due to its partnership with CoreWeave, Core Scientific's revenue is expected to continue growing steadily, which will quickly restore investor confidence.
What is the Relationship Between Core Scientific and CoreWeave?
Core Scientific is a digital infrastructure company headquartered in Austin, Texas, founded in 2017, and is one of the largest publicly listed Bitcoin mining companies in North America. In recent years, the company has actively transformed, converting its data center infrastructure to support AI high-performance computing (HPC) infrastructure.
CoreWeave is an AI cloud computing company headquartered in New Jersey, also founded in 2017, initially engaged in Ethereum mining. After Ethereum's transition to proof-of-stake in 2022, it transformed into an AI cloud computing provider. In 2024, its revenue reached $1.92 billion, showing significant growth compared to the previous two years.
The collaboration between Core Scientific and CoreWeave originated from their shared history in cryptocurrency mining. From 2019 to 2022, Core Scientific provided hosting services for CoreWeave's GPUs. After 2022, as CoreWeave transformed into an AI cloud computing company, their cooperation shifted towards high-performance computing infrastructure.
In March 2024, Core Scientific leased a data center in Austin, Texas, to CoreWeave. In June of the same year, they signed a 12-year 200MW hosting contract, with Core Scientific modifying its data center to support CoreWeave's NVIDIA GPUs. Subsequently, from June 2024 to February 2025, this contract expanded to 590MW, covering six bases. The 260MW base in Denton, Texas, will become one of the largest GPU clusters in North America, closely related to OpenAI's workload.
