H.C. Wainwright Upgrades Core Scientific (CORZ) to Buy, Raises PT to $25

Core Scientific, Inc. (NASDAQ:CORZ) is one of the AI Stocks Analysts are Tracking Closely. On October 28, H.C. Wainwright upgraded the stock from “Neutral” to Buy and set a price target of $25.00.

The rating upgrade follows recommendations from proxy advisory firms ISS and Glass Lewis, both of which have issued “against” votes for the proposed acquisition of Core Scientific by CoreWeave (CRWV) scheduled for October 30.

The firm highlighted Core Scientific’s proven competencies, including its ability to develop compute-focused infrastructure quickly and at low cost, its expertise in artificial intelligence compute builds, and its record in customer acquisition and support.

Based on this proven track record and leadership in AI compute build out, the firm’s view of Core Scientific hasn’t changed, and in turn resulted in a rating upgrade.

“Apparently, they are leaning against. Last week, both ISS and Glass Lewis, the two leading proxy advisory firms, conjointly issued “against” votes on behalf of Core Scientific voters in the upcoming Oct. 30 CoreWeave (CRWV; Buy) proposed acquisition. We are certainly not bringing anything new to the table here as a contingent of sharp sell-siders have set new, elevated expectations for Core Scientific and its shares. By way of explanation, we spent last week on the other side of the world, news-wise isolated á la Tom Hanks’ Cast Away, and unable to react quickly, as is our preference—we were the first to upgrade Core Scientific post its bankruptcy emergence Jan. 25, 2024, as detailed here we offer as evidence of understanding the company’s many competencies. Nothing has changed on that front, with the original $10.2B, 12-year HPC hosting deal struck with CoreWeave representing the foundation of the opportunity before Core Scientific’s proven speed-to-market track record. With Core Scientific’s proven proficiency in: (1) developing compute-focused, powered infrastructure at velocity and at low cost; (2) industry-leading artificial intelligence compute build technical savvy; and (3) verified customer acquisition, retention, and support, we are raising our rating to Buy from Neutral and setting a $25 price target.”

Core Scientific, Inc. (NASDAQ:CORZ) has transitioned into an AI business by leveraging advanced infrastructure and expertise in HPC (high-performance computing).

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