• Core Scientific, Inc. reported past first-quarter 2026 results with revenue rising to US$115.24 million while posting a US$347.19 million net loss, largely driven by a US$266.49 million impairment on property, plant and equipment.
• At the same time, the company outlined plans to scale its Muskogee, Oklahoma campus to roughly 1.5 gigawatt of power to support AI-focused data center growth, highlighting an aggressive shift toward high-performance computing infrastructure.
• We’ll now examine how Core Scientific’s Muskogee expansion plans and AI data center build-out reshape the company’s investment narrative and risks.

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Core Scientific Investment Narrative Recap

To own Core Scientific, you need to believe its pivot from Bitcoin mining to AI and high‑performance computing can eventually outweigh ongoing losses and heavy capital needs. The near term catalyst is clearly execution on new AI data center capacity, with the Muskogee build‑out central to that story. The biggest risk right now is that large impairments and continued net losses signal that returns on recent investments may not justify the rapid expansion. This latest news materially sharpens both sides of that equation.

Among recent updates, the Muskogee, Oklahoma expansion stands out as most relevant. Scaling the campus toward roughly 1.5 gigawatt of gross power and delivering a 70 megawatt Nvidia GB300‑ready building in the second quarter of 2026 go straight to the heart of Core Scientific’s AI data center ambitions. For investors focused on catalysts, Muskogee is now a practical test of whether Core Scientific can turn sizeable capital spending into stable, AI‑driven colocation revenue.

Yet beneath the AI growth story, the concentration risk around CoreWeave and the scale of recent impairments are issues investors should be aware of...

Core Scientific's narrative projects $1.4 billion revenue and $439.9 million earnings by 2029. This requires 62.4% yearly revenue growth and an earnings increase of about $720.6 million from -$280.7 million today.

Uncover how Core Scientific's forecasts yield a $26.40 fair value, a 9% upside to its current price.

Exploring Other Perspectives

Some of the most optimistic analysts were once modeling revenue near US$2.1 billion and earnings close to US$988 million by 2029, but Q1’s US$347 million loss and fresh impairment may prompt you to question whether those growth and margin assumptions, particularly around CoreWeave concentration risk, still hold or need to be reconsidered in light of the Muskogee expansion and evolving execution risks.

Explore 3 other fair value estimates on Core Scientific - why the stock might be worth as much as 48% more than the current price!

Decide For Yourself

Don't just follow the ticker - dig into the data and build a conviction that's truly your own.

• A great starting point for your Core Scientific research is our analysis highlighting 2 key rewards and 1 important warning sign that could impact your investment decision.
• Our free Core Scientific research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate Core Scientific's overall financial health at a glance.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.