CORZ Stock 17% Higher Weekly, Targeting the Highs As Semiconductor Stocks Remain Bid
Core Scientific (NASDAQ: CORZ) is showing renewed strength this week, riding the wave of AI optimism and potential acquisition by CoreWeave.
Quick overview
- Core Scientific's stock has rebounded nearly 10% this week, driven by AI optimism and potential acquisition by CoreWeave.
- The company's stock has surged 600% in 2024 but faced recent pullbacks due to concerns over CoreWeave's slowdown and acquisition rumors.
- CoreWeave's proposed acquisition is expected to boost Core Scientific's growth, supported by strong demand from major clients like Microsoft and OpenAI.
- Investors are divided on the risks associated with heavy spending and reliance on key partners in the face of potential vulnerabilities.
Core Scientific (NASDAQ: CORZ) is showing renewed strength this week, riding the wave of AI optimism and potential acquisition by CoreWeave.
Strong Weekly Rebound
After weeks of pressure, Core Scientific stock closed Wednesday up nearly 10%, extending gains to more than 17% this week. Shares are now trading above $16, eyeing a return to the all-time highs of $18.66. Technical support from the 50-day SMA has helped stabilize the stock, fueling confidence in its recovery.
From Historic Rally to Recent Pullback
The company has been one of the biggest movers in AI infrastructure, with its stock soaring 600% in 2024 from $3 to $18.60. Another strong run between April and July 2025 pushed it above $18 again, but sentiment turned sour in recent months as investors grew cautious over CoreWeave’s slowdown and persistent acquisition rumors.
CORZ Chart Weekly – The 50 SMA Held As Support
CoreWeave’s Role in Expansion
CoreWeave, which heavily relies on Nvidia’s GPU-powered infrastructure, is expected to accelerate Core Scientific’s growth through the proposed acquisition. Strong demand from Microsoft, OpenAI, and other hyperscalers drove CoreWeave’s Q2 revenue up more than 100% year over year to $1.21 billion, supported by a massive $30.1 billion backlog of contracted workloads.
However, the expansion comes at a steep cost: Q2 net losses widened to $290.5 million, driven by $2.9 billion in capex. Looking ahead, CoreWeave plans to spend $20–23 billion annually on infrastructure to keep pace with AI-driven demand.
Investor Debate: Growth vs. Risk
While the potential deal with Core Scientific could enhance capacity and strengthen CoreWeave’s competitive edge, critics warn about the risks of over-reliance on a few key partners. Any changes to these relationships—or renegotiations of major contracts—could expose vulnerabilities. Investors are weighing whether the heavy spending and acquisition strategy will ultimately drive sustainable returns.
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