Core Scientific Shares Surge 7% as CoreWeave Deal Adds $2 Billion to Revenue Projections: Retail Sentiment Skyrockets

Shares of Core Scientific Inc. ($CORZ) jumped 7% on Tuesday after the company announced an expanded contract with AI hyperscaler CoreWeave for additional computing power.

Earlier this year, the two companies signed a deal for a 200-megawatt (MW) hosting contract for high-performance computing (HPC). Now, Core Scientific will provide an extra 120 MW of IT capacity to support CoreWeave’s NVIDIA ($NVDA) GPUs.

According to the company, the new contract with CoreWeave is expected to add approximately $2 billion to its revenue over the next 12 years, raising its projected cumulative revenue with CoreWeave by nearly 30% from $6.7 billion to $8.7 billion.

All modifications to Core Scientific’s existing infrastructure will be funded by CoreWeave.

“In May, we communicated our plans to contract approximately 500 megawatts of critical IT load to host high-performance computing. With today’s announcement, we have delivered on that commitment,” CEO Adam Sullivan said in a statement.

Retail sentiment on Stocktwits has soared into the ‘bullish’ (73/100) territory from ‘bearish’ a day ago. This shift marks a major rebound after sentiment had plunged by nearly 82% over the past month, according to Stocktwits data.

Core Scientific’s shares have gained 296% since the company went public on Jan. 24. 

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