Core Scientific rated Buy on strong colocation revenue and AI market growth, with 93% stock upside potential.

Core Scientific's colocation business, which makes up over 80% of its revenue, is driving strong financial performance supported by long-term contracts with clients like AMD and CoreWeave. The company is expected to see significant revenue growth, with FY2026 revenue projected at $671.63 million and EBITDA reaching $194.08 million by FY2028. Despite some customer concentration risk, new contracts and favorable AI market trends support a potential 93% increase in stock price by FY2027. This makes Core Scientific an attractive buy in the expanding AI-driven data center market.