Jefferies Raises Price Target to $22: CORZ Stock Update

Jefferies analyst Jonathan Petersen has maintained a "Buy" rating for Core Scientific (CORZ) and raised the price target from $16.00 to $22.00, a 37.50% increase. The average target price for CORZ is $18.84 with a high estimate of $24.10 and a low estimate of $15.00, implying an upside of 33.33% from the current price of $14.13. The average brokerage recommendation is currently 2.3, indicating "Outperform" status.

Core Scientific (CORZ) reported weaker-than-expected revenue but topped adjusted EBITDA estimates in its second-quarter 2025 results. The main focus, however, remains on its proposed merger with AI cloud provider CoreWeave (CRWV), set for a shareholder vote in the fourth quarter. Investment bank Jefferies has highlighted significant valuation discrepancies in the deal.

At CoreWeave’s current price of $99.97, the all-stock deal values Core Scientific shares at roughly $12.35, well below Jefferies’ estimated fair value of $16 to $23. The agreed exchange ratio of 0.1235 means the implied Core Scientific value fluctuates with CoreWeave’s share price swings. If CoreWeave’s stock doesn’t recover ahead of the vote, Jefferies sees room for renegotiation, potentially raising the exchange ratio to 0.16 to 0.20 to bring the implied valuation of CORZ shares back within the $16 to $23 range.

Jefferies analyst Jonathan Petersen maintains a "Buy" rating for Core Scientific and raised the price target from $16.00 to $22.00, a 37.50% increase. The average target price for CORZ is $18.84 with a high estimate of $24.10 and a low estimate of $15.00, implying an upside of 33.33% from the current price of $14.13. The average brokerage recommendation is currently 2.3, indicating an "Outperform" status.

The merger’s success is tied to CoreWeave’s stock performance, with some investors expecting the deal to fail due to the current undervaluation. If CoreWeave's stock doesn’t recover, Jefferies suggests a higher exchange ratio or a collar provision to stabilize the deal against further volatility.

References:
[1] https://au.finance.yahoo.com/news/core-scientific-faces-valuation-disconnect-144739979.html
[2] https://www.coindesk.com/markets/2025/08/18/core-scientific-faces-valuation-disconnect-pt-hiked-to-usd22-jefferies