11 Oversold NASDAQ Stocks to Buy Right Now

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4. Core Scientific, Inc. (NASDAQ:CORZ)

Perf YTD: -41.35%

Analyst Upside: 124.51%

Number of Hedge Fund Holders: 66

Core Scientific, Inc. (NASDAQ:CORZ) operates digital Bitcoin mining and high-performance computing infrastructure. The company leverages its own fleet of computers, called miners, to earn Bitcoin for its own account and also provides hosting services for Bitcoin mining and high-performance computing customers at eight US-based operational data centers.

On April 23, analyst Jonathan Petersen of Jefferies maintained a Buy rating on Core Scientific, Inc. (NASDAQ:CORZ) and reduced its price target to $14.00. The analyst supported his buy rating with the company’s growth potential and strategic positioning, believing it is uniquely positioned to capitalize on the exponentially growing data center demand. This holds especially true for those supporting AI infrastructure, thanks to the company’s expertise in the field, which is essential for securing partnerships with hyperscalers who are generally cautious about their vendor list expansion.

The analyst further reasoned that Core Scientific, Inc.’s (NASDAQ:CORZ) partnership with cloud provider CoreWeave to significantly expand its AI business is a key revenue growth driver, as the deal is anticipated to bring in around $851 million per annum after the utilization of capital expenditure credits. Peterson said that the market appears to be undervaluing this deal and potential deals with other hyperscalers in the future, pointing towards a misalignment in current stock pricing. Core Scientific, Inc. (NASDAQ:CORZ) is also expanding into strategic locations such as Auburn, AL, and has the potential to grow its power capacity. These factors further support the buy rating by positioning the company to meet the growing demand for data center space.

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