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CORZ — Core Scientific: the bitcoin miner that became an AI landlord

Convert power and real estate into long-dated AI colocation leases, finance the build with debt, and hope the contracted backlog is worth more than the cost of delivering it.

Ticker CORZ · Nasdaq Price $17.99 Mkt cap ~$5.8B 52-wk $13.36–30.46 Snapshot Sep 18, 2026

01The 30-second read

Fast read

Core Scientific is the highest-profile example of a Bitcoin miner reinventing itself as an AI data-center landlord. It leases purpose-built, high-density colocation capacity on long-term contracts to two anchor tenants: CoreWeave (~590 MW, ~$10.2B over 12 years) and AMD (530 MW, $14B+ over 15 years, with rights to up to 2.5 GW) — roughly 1.1 GW and $24B+ of base contracted revenue.

The catch is capital. Q2 2026 revenue was $164.2M (+109% YoY) at $41.1M adjusted EBITDA, but the quarter produced a ~$1.16B GAAP net loss (mostly non-cash warrant revaluation and impairment), and the company carries ~$4.41B of debt against negative book equity of ~−$2.42B. Bulls see a backlog that dwarfs today’s revenue; bears see a business that must keep raising capital to deliver it.

$164.2MQ2 revenue · +109% YoY
$41.1MQ2 adjusted EBITDA
~1.1 GWcontracted · $24B+ base revenue
~+106%implied upside to avg target

02What Core Scientific actually is

Core Scientific builds and leases high-density data-center capacity. It is not a cloud and it does not sell GPUs — it sells the building, the power, and the cooling that GPUs need. The model is “AI data-center landlord”: sign a long-term lease with an AI customer, construct a liquid-cooled facility sized to their racks, then collect rent for a decade or more. Capital comes from debt and project financings; returns come from the spread between build cost and contracted rent.

The history matters. Core Scientific was a large Bitcoin self-miner that filed for Chapter 11 in December 2022 and emerged and relisted on Nasdaq on January 24, 2024. Since then it has pivoted from mining to colocation, converting its power and real estate into AI capacity. Mining is being wound down — self-mining at only two sites by mid-2026, with nearly 30% fewer miners online than at the end of Q1, and mining assets impaired in Q2.

Its campus footprint spans the U.S. The CoreWeave program runs across Denton, TX (~260 MW), Dalton, GA (~175 MW), Muskogee, OK (~70 MW), Marble, NC (~65 MW), and Austin, TX (~20 MW), while Pecos, TX and Hunt lead the AMD build-out. The CoreWeave relationship began as a 16 MW lease at Auburn in 2024 and grew into the ~590 MW program it is today — a useful illustration of how these contracts expand.

03The bull case

1 · Contracted revenue is enormous

  • ~1.1 GW of contracted billable capacity and $24B+ of base contracted revenue
  • CoreWeave: ~590 MW tied to ~$10.2B over 12-year terms
  • AMD: 530 MW, $14B+ over 15 years (2.5% annual escalators) plus an exclusive right over up to 2 more GW

2 · Execution is ahead of schedule

  • 437 MW billing by mid-July 2026 — nearly 200 MW more than Q1’s 243 MW, ahead of plan
  • Four of five CoreWeave campuses substantially complete before end of summer
  • Colocation revenue $137M at a 59% gross margin; guided higher in Q3

3 · Capital structure is deliberate

  • $3.3B of 7.750% senior secured notes due 2031 closed Apr/May 2026 (priced 99.25% of par)
  • $600M of committed senior secured credit facilities added Aug 27, 2026 ($100M revolver + $500M letter of credit), expected to release ~$300M of restricted cash
  • ~$1.8B of liquidity at Q2-end
  • AMD build (~$6B) expected to be funded at the project level; AMD-backed leases carry credit support for the full 15-year term

4 · The Street is constructive

  • Consensus “Strong Buy” — 17 analysts polled by S&P Global
  • Average target ~$37.13, range $28–$55 — roughly +106% vs. $17.99
  • Other aggregators lower ($29.78–$31.96), but all see upside

04The bear case

1 · The balance sheet is stretched

  • ~$4.41B of debt vs. ~$1.77B cash — net cash −$2.64B
  • Book equity ~−$2.42B (negative)
  • TTM net loss −$1.63B (−$5.07/share)

2 · Free cash flow is deeply negative

  • TTM operating cash flow +$520M vs. capex −$1.48B → FCF −$958M
  • Build cost $11–12M per MW; AMD’s 530 MW alone needs ~$6B
  • Prepared to spend up to ~$1B ahead of contracts on ~500 MW

3 · Concentration cuts both ways

  • Two counterparties each committed to 500+ MW — effectively two tenants deep
  • CoreWeave is both largest customer and the rejected suitor: a ~$9B takeover was voted down and terminated Oct 30, 2025 (second failed attempt after June 2024)
  • AMD is a chip designer, not a cloud operator — a newer tenant type here

4 · Report volatility, overhang, and the tape

  • Q2’s ~$1.16B loss driven by a ~$1.05B non-cash warrant revaluation + $266.5M impairment; EPS −$3.32 badly missed −$0.06
  • ~20.2% of shares sold short; beta 5.48
  • Stock down ~4.6% in a month, ~41% off the $30.46 high

05The numbers

MetricValueNote
Q2 2026 revenue$164.2M+109% YoY; beat ~$144.8M consensus
Q2 colocation revenue$137MGAAP; straight-lined over 12-yr CoreWeave leases
Q2 net loss~$1.16B+$1.05B warrant revaluation; $266.5M impairment
Q2 EPS−$3.32Missed −$0.06 consensus
Q2 adjusted EBITDA$41.1Mvs. $28.5M a year earlier
Gross margin43% / 59%Consolidated / colocation
TTM revenue$440.3M
TTM net loss−$1.63B−$5.07 per share
Free cash flow (TTM)−$957.8MOCF +$520.2M; capex −$1.48B
Cash~$1.77B
Total debt~$4.41BIncludes $3.3B 7.750% notes due 2031
Net cash−$2.64BBook equity ~−$2.42B
Credit facilities$600M$100M revolver + $500M LC; announced Aug 27, 2026
Contracted capacity~1.1 GW437 MW billing as of mid-July 2026
Contracted revenue$24B+“Base contracted revenue" (company-defined)
CoreWeave program~590 MW~$10.2B projected / 12 years
AMD program530 MW$14B+ / 15 years; up to 2.5 GW
Build cost$11–12M/MWAMD 530 MW ≈ $6B capex
Shares outstanding321.3MShort interest ~20.2% of shares
ConsensusStrong Buy17 analysts
Avg target~$37.13Range $28–$55
Implied upside~+106%vs. $17.99

06What could change the story

Bull triggers

  • Q3 revenue steps up clearly as the 437 MW billing for a full quarter
  • AMD delivery hits schedule — Pecos’s first MW in H1 2027, ~half the contract in 2027, the rest in 2028
  • Project-level bond financing for the AMD build-out lands on attractive terms
  • Mining wind-down completes, producing a cleaner P&L into 2027
  • A third customer is signed, easing two-tenant concentration

Bear triggers

  • A construction, energization, or equipment delay pushing rent commencement out
  • Punitive financing terms, or a capital-markets window that shuts for levered AI developers
  • A customer-concentration event at CoreWeave or AMD
  • Continued GAAP losses and warrant/equity dilution outrunning demand for the shares
  • Higher-for-longer rates raising the cost of a project-finance-heavy model

07What’s next

OCT 23
2026

Q3 earnings (estimated), after close. The test of the “meaningful step-up” from $137M colocation revenue, plus any AMD-build financing.

H1
2027

Pecos first megawatts. The first AMD capacity is due online; ~half the 530 MW contract is scheduled across 2027.

2028

AMD ramp completion. The remaining half of the AMD program is due by end-2028; management targets a ~600 MW/year build cadence.

08FAQ

Is Core Scientific a Bitcoin miner or an AI company?

In transition. Mining is being wound down — self-mining at two sites by mid-2026, mining assets impaired in Q2. The growth story is high-density colocation leased to AI customers. The miner label should fade, but it has not yet.

How big is the contracted backlog?

Roughly 1.1 GW of contracted billable capacity and $24B+ of base contracted revenue — CoreWeave’s ~590 MW (~$10.2B / 12 years) plus AMD’s 530 MW ($14B+ / 15 years), with an AMD reservation right over up to 2 GW more.

Why is a $24B backlog worth only ~$5.8B?

Because the backlog is not free: delivering it needs billions of capex ($11–12M per MW), the company has ~$4.41B of debt and negative book equity, free cash flow is deeply negative, and the market is discounting execution, financing, and concentration risk.

Is CORZ profitable?

No. Q2 2026 was a ~$1.16B net loss, though mostly non-cash (warrant revaluation and impairment). Adjusted EBITDA was positive at $41.1M. This page is research, not a recommendation.

Sources & method