{"id":42755,"date":"2025-08-18T15:47:09","date_gmt":"2025-08-18T15:47:09","guid":{"rendered":"https:\/\/dogewisperer.com\/?p=42755"},"modified":"2025-08-18T15:47:09","modified_gmt":"2025-08-18T15:47:09","slug":"core-scientific-faces-valuation-disconnect-pt-hiked-to-22-jefferies","status":"publish","type":"post","link":"https:\/\/dogewisperer.com\/?p=42755","title":{"rendered":"Core Scientific Faces Valuation Disconnect; PT Hiked to $22: Jefferies"},"content":{"rendered":"<div>\n<p>Core Scientific (CORZ) reported weaker-than-expected revenue but topped adjusted EBITDA estimates in its <a href=\"https:\/\/investors.corescientific.com\/news-events\/press-releases\/detail\/121\/core-scientific-announces-fiscal-second-quarter-2025-results\">second-quarter 2025 results<\/a>. Yet the main focus remains its <a href=\"https:\/\/www.coindesk.com\/markets\/2025\/07\/07\/coreweave-to-acquire-core-scientific-in-9b-all-stock-deal\">proposed merger<\/a> with AI cloud provider CoreWeave (CRWV), which is set for a shareholder vote in the fourth quarter, investment bank Jefferies said in a research report Monday.<\/p>\n<p>At CoreWeave\u2019s current price of $99.97, the all-stock deal values Core Scientific shares at roughly $12.35, well below Jefferies\u2019 estimated fair value of $16 to $23. <\/p>\n<p>Investor sentiment on the merger is tied directly to CoreWeave\u2019s price, the report said. The agreed exchange ratio of 0.1235 translates into a Core Scientific value that fluctuates with CRVW\u2019s share swings. <\/p>\n<p>The report noted that while CoreWeave has traded as high as $183 in June, the stock closed below $100 on Friday, pushing the implied Core Scientific price beneath market levels. CORZ itself ended the day at $14.13.<\/p>\n<p>This disconnect suggests some investors expect the deal to fail, Jefferies said, arguing that Core Scientific\u2019s assets and cash flow potential justify a higher valuation. <\/p>\n<p>If CoreWeave&#8217;s stock doesn\u2019t recover ahead of the vote, Jefferies sees room for renegotiation. A higher exchange ratio, potentially 0.16 to 0.20, could bring the implied valuation of CORZ shares back within the $16 to $23 range. A collar provision could also stabilize the deal against further volatility.<\/p>\n<p>The bank has a buy rating on Core Scientific shares. It raised its CORZ price target to $22 from $16 to reflect the CoreWeave acquisition. The shares were 1.8% higher, trading around $14.40 at publication time.<\/p>\n<p><strong><em>Read more: <a href=\"https:\/\/www.coindesk.com\/business\/2025\/08\/07\/bitcoin-miner-core-scientific-s-third-largest-shareholder-opposes-coreweave-deal\"><span style=\"text-decoration:underline\">Bitcoin Miner Core Scientific\u2019s Third Largest Shareholder Opposes CoreWeave Deal<\/span><\/a><\/em><\/strong><\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p>Core Scientific (CORZ) reported weaker-than-expected revenue but topped adjusted EBITDA estimates in its second-quarter 2025 results. Yet the main focus remains its proposed merger with AI cloud provider CoreWeave (CRWV), which is set for a shareholder vote in the fourth quarter, investment bank Jefferies said in a research report Monday. At CoreWeave\u2019s current price of [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"iawp_total_views":0,"footnotes":""},"categories":[2],"tags":[3,4,5],"class_list":["post-42755","post","type-post","status-publish","format-standard","hentry","category-news","tag-crypto","tag-doge","tag-news"],"_links":{"self":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/posts\/42755","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=42755"}],"version-history":[{"count":0,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/posts\/42755\/revisions"}],"wp:attachment":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=42755"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=42755"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=42755"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}