Core Scientific (NASDAQ:CORZ) Shares Down 8.1% Following Analyst Downgrade

Key Points

• Core Scientific shares fell 8.1% after Keefe, Bruyette & Woods downgraded the stock from “outperform” to “market perform” and set a $25 price target.
• Despite the downgrade, analysts maintain a consensus “Moderate Buy” rating with an average target price of $30.39, though recent coverage remains mixed.
• The company reported a quarterly EPS loss of $1.06, substantially below the expected $0.02 loss, while revenue rose 44.9% year over year to $115.24 million.

Core Scientific, Inc. (NASDAQ:CORZ - Get Free Report)'s share price dropped 8.1% on Monday after Keefe, Bruyette & Woods downgraded the stock from an outperform rating to a market perform rating. Keefe, Bruyette & Woods now has a $25.00 price target on the stock. Core Scientific traded as low as $21.41 and last traded at $20.9080. 1,776,641 shares traded hands during trading, a decline of 86% from the average daily volume of 12,433,539 shares. The stock had previously closed at $22.75.

CORZ has been the subject of a number of other research reports. Weiss Ratings reaffirmed a "sell (d-)" rating on shares of Core Scientific in a report on Friday, July 17th. Canaccord Genuity Group set a $30.00 price objective on Core Scientific in a research report on Friday, May 8th. Loop Capital set a $40.00 target price on Core Scientific in a report on Friday, June 12th. Freedom Capital raised Core Scientific to a "hold" rating in a research report on Monday, June 15th. Finally, Jefferies Financial Group increased their price target on Core Scientific from $24.00 to $37.00 and gave the company a "buy" rating in a report on Thursday, May 14th. One investment analyst has rated the stock with a Strong Buy rating, fourteen have assigned a Buy rating, three have given a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat.com, the company has a consensus rating of "Moderate Buy" and a consensus target price of $30.39.

Insider Activity at Core Scientific

In other news, insider Todd M. Duchene sold 10,000 shares of the stock in a transaction that occurred on Monday, July 6th. The stock was sold at an average price of $22.63, for a total value of $226,300.00. Following the sale, the insider directly owned 2,023,426 shares in the company, valued at approximately $45,790,130.38. This represents a 0.49% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which can be accessed through the SEC website. Insiders sold a total of 70,000 shares of company stock worth $1,802,400 over the last quarter. Corporate insiders own 1.70% of the company's stock.

Institutional Investors Weigh In On Core Scientific

A number of institutional investors and hedge funds have recently added to or reduced their stakes in CORZ. Vanguard Group Inc. boosted its holdings in shares of Core Scientific by 18.7% in the fourth quarter. Vanguard Group Inc. now owns 33,960,320 shares of the company's stock valued at $494,462,000 after purchasing an additional 5,359,710 shares during the period. FNY Investment Advisers LLC purchased a new position in Core Scientific during the 4th quarter worth $1,252,000. Nations Financial Group Inc. IA ADV purchased a new position in Core Scientific during the 4th quarter worth $2,980,000. Jennison Associates LLC bought a new stake in Core Scientific during the 4th quarter valued at $14,075,000. Finally, Oasis Management Co Ltd. bought a new stake in Core Scientific during the 4th quarter valued at $38,493,000.

Core Scientific Stock Performance

The firm has a market capitalization of $6.66 billion, a PE ratio of -18.84 and a beta of 5.50. The company has a fifty day simple moving average of $25.42 and a two-hundred day simple moving average of $20.71.

Core Scientific (NASDAQ:CORZ - Get Free Report) last announced its quarterly earnings results on Wednesday, May 6th. The company reported ($1.06) EPS for the quarter, missing the consensus estimate of ($0.02) by ($1.04). The firm had revenue of $115.24 million during the quarter, compared to analysts' expectations of $117.04 million. The company's revenue for the quarter was up 44.9% on a year-over-year basis. During the same quarter in the prior year, the company posted $1.25 EPS. On average, equities analysts anticipate that Core Scientific, Inc. will post 0.08 earnings per share for the current fiscal year.

Core Scientific Company Profile

Core Scientific, Inc NASDAQ: CORZ is a leading provider of large-scale blockchain infrastructure and digital asset mining services. The company develops, owns and operates high-performance data centers optimized for the mining of Bitcoin and other proof-of-work cryptocurrencies. In addition to its core mining operations, Core Scientific offers colocation, hosting and managed services designed to support institutional clients and enterprise users in deploying and scaling blockchain nodes and computing hardware.

Core Scientific's service portfolio includes hardware procurement, deployment and maintenance, real-time monitoring, power management and network connectivity.

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