CoreWeave to Proceed Independently After Core Scientific Merger Rejection
Mizuho Securities analyst Gregg Moskowitz downplayed the long-term impact on CoreWeave following Core Scientific shareholders' rejection of a proposed $9 billion merger. The AI cloud-computing firm's stock dropped 6.3% post-announcement, but Moskowitz maintained a $150 price target, suggesting 14.5% upside potential.
CoreWeave's strategic partnership with CORE Scientific remains intact, anchored by $10 billion in future lease commitments and 840MW of contracted capacity. The failed merger eliminates projected $500 million annual savings by 2027, though CoreWeave retains its position as a key GPU infrastructure provider for AI developers.
While the cryptocurrency mining operator Core Scientific continues separate operations, the market appears to view the dissolution as a temporary setback rather than a structural threat to CoreWeave's growth trajectory in AI cloud services.
