11 Best Young Stocks to Buy According to Hedge Funds

4. Core Scientific Inc. (NASDAQ:CORZ)

Number of Hedge Fund Holders: 66

Core Scientific Inc. (NASDAQ:CORZ) is a digital asset mining company that offers infrastructure, software, and hosting solutions across the US. It operates through self-mining, hosted mining, and HPC hosting segments. It provides data center facilities, miner deployment & management, and essential infrastructure services to support blockchain transactions and digital asset operations.

On May 8, H.C. Wainwright analyst Kevin Dede maintained a Buy rating on Core Scientific with a $17 price target. The strategy centers on the company’s high-density co-location business, which is driven by its contracts with CoreWeave. These agreements are structured as take-or-pay and fixed-price contracts, which ensure a consistent revenue stream regardless of utilization. CoreWeave is funding the majority of CapEx for these deployments.

This model allows Core Scientific to maintain a light balance sheet, with its direct capital outlay on the largest 70-megawatt expansion being $104 million. The company expects to deliver 250 megawatts to CoreWeave by the end of 2025 and 590 megawatts by early 2027. It’s also building out 570 megawatts of billable capacity across 4 locations. The Denton, Texas, facility is projected to deliver 260 megawatts of buildable capacity and potentially host one of North America’s largest GPU clusters.