4 months ago
Bernstein remains bullish connected Core Scientific (CORZ) adjacent aft the shares tumbled 30% earlier this week arsenic Chinese artificial quality (AI) startup DeepSeek challenged the thought that bitcoin (BTC) miners had worth arsenic information halfway plays.
The descent means the banal is present disposable astatine a heavy discount, the broker said successful a probe study Thursday.
Core Scientific is the "leader of the pack" of the AI-focused miners, the study said, with 1.3 gigawatt (GW) of disposable powerfulness proviso and a 12-year AI deal with CoreWeave.
"Bitcoin miners person a 12-18 period finite model to physique a hybrid information halfway business, portion the hyperscaler capex remains consistent," analysts led by Gautam Chhugani wrote.
Bernstein said Core Scientific is connected way to present connected its archetypal clump of information centers successful the archetypal fractional of the year, and the institution continues to bargain and make caller powerfulness sites.
The banal present trades person to bitcoin mining valuations alternatively than information halfway valuations, "despite 70% of its capableness allocated to AI," according to the report.
Bernstein has an outperform standing connected Core Scientific's shares with a $17 terms target.
The banal was 3.8% higher astatine $11.90 successful aboriginal trading.
Read more: Bitcoin Mining Stocks With AI Ambition Battered 20%-30% Lower arsenic Nvidia's Plunge Grips Crypto
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