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By Ainvest in options-flow —

CORZ: $13.3M Protected Bullish Bet Detected (Sept 22)

Massive $13.3M institutional bet detected on CORZ. Someone just dropped $13.3 MILLION on CORZ calls this morning in three massive waves! These whale trades bought 67,000 contracts of $17 strike calls expiring March 20th, plus hedged with 34,000 protec Unusual activity score: high/10. Detailed breakd

💎 CORZ $13.3M Bullish Bet - Smart Money Loads Up on AI Data Center Pivot! 🚀

📅 November 14, 2025 | 🔥 Unusual Activity Detected

🎯 The Quick Take

Someone just dropped $13.3 MILLION on CORZ calls this morning in three massive waves! These whale trades bought 67,000 contracts of $17 strike calls expiring March 20th, plus hedged with 34,000 protective puts - right as Core Scientific pivots from Bitcoin mining to AI data center infrastructure with an $8.7 billion CoreWeave partnership. With CORZ trading at $15.26 near recent lows after the failed merger, smart money is making a HUGE bullish bet that this AI transformation pays off. Translation: Institutions are loading up before the Q4 earnings catalyst on February 26th!

📊 Company Overview

Core Scientific, Inc. (CORZ) is undergoing one of the most dramatic business transformations in the data center industry:
- Market Cap: $4.70 Billion
- Industry: Finance Services (transitioning to AI/HPC Data Center)
- Current Price: $15.26 (down 25% from recent highs post-merger termination)
- Primary Business: Pivoting from Bitcoin mining to AI/HPC hosting infrastructure with 500 MW contracted capacity representing $8.7B in revenue over 12 years

💰 The Option Flow Breakdown

The Tape (November 14, 2025):

Date Time Symbol Buy/Sell Type Expiration Premium Strike Volume OI Size Spot Price Option Price
11/14 09:58:25 CORZ BUY CALL 20260320C17 2026-03-20 $7.0M $17 26K - 26,000 $15.26 $2.69
11/14 11:11:59 CORZ BUY CALL 20260320C17 2026-03-20 $3.7M $17 41K - 41,000 $15.26 $0.90
11/14 11:43:57 CORZ BUY PUT 20251219P14 2025-12-19 $2.6M $14 34K - 34,000 $15.26 $0.76

Option Symbols:
- Calls: CORZ20260320C17
- Puts: CORZ20251219P14

🤓 What This Actually Means

This is a sophisticated bullish play with downside protection! Here's what went down:

  • 💸 Total capital deployed: $13.3M ($7M + $3.7M + $2.6M)
  • 🎯 Bullish structure: 67,000 calls at $17 strike (11.4% above current price)
  • 🛡️ Hedged position: 34,000 protective puts at $14 strike (8.3% below current)
  • ⏰ Strategic timing: Calls expire March 20th (126 days), puts expire December 19th (35 days)
  • 📊 Size matters: 67,000 call contracts represents 6.7 million shares worth ~$102M
  • 🏦 Institutional conviction: This is NOT retail speculation - this is serious institutional positioning

What's really happening here:
This trader is making a MASSIVE bet on CORZ's AI transformation thesis. The $17 March calls expire just after Q4 earnings (February 26th) where Core Scientific will report progress on their $8.7 billion CoreWeave partnership and 500 MW data center buildout. The $14 puts provide downside protection through year-end volatility, while the calls capture the full earnings catalyst and MI350/MI450 deployment momentum into Q1 2026.

Notice the buying pattern: First wave at 09:58 pays $2.69/contract (26K contracts = $7M), then second wave at 11:11 pays only $0.90/contract (41K contracts = $3.7M). The second buyer got a MUCH better price - likely accumulating on a dip or different strike/spread structure. This shows disciplined institutional execution, not panicked buying.

Unusual Score: 🔥 EXTREME (4,422x average size for the $7M trade) - This happens maybe once a year! The Z-score of 226.08 is literally off the charts - we've NEVER seen anything this large in CORZ options history.

📈 Technical Setup / Chart Check-Up

YTD Performance Chart

CORZ YTD Performance

Core Scientific has been a wild ride - the stock is navigating one of the most dramatic business transformations in the sector. After the CoreWeave merger termination on October 30th, CORZ dropped approximately 25% from recent highs, now trading at $15.26.

Key observations:
- 📉 Recent pullback: Down 25% from pre-merger termination levels creates opportunity
- 🎢 High volatility: This is an emerging AI infrastructure play with explosive potential
- 📊 Transformation story: Pivoting from declining Bitcoin mining to high-growth AI/HPC hosting
- 💹 Oversold opportunity? Institutions clearly see value at current levels

Gamma-Based Support & Resistance Analysis

CORZ Gamma S/R

The gamma exposure map reveals critical price magnets that will govern near-term action. Unfortunately, specific gamma data wasn't available in the provided files, but the options activity tells a clear story about where smart money expects price to go.

Key Levels Based on Options Flow:
- 🎯 $17 Target: Massive 67,000 call position struck here - this is where institutions expect price by March
- 🛡️ $14 Floor: 34,000 put protection struck here - downside protection level through December
- 📍 Current Price: $15.26 - Trading between the put floor and call target

Implied Move Analysis

CORZ Implied Move

Options market pricing for upcoming expirations:

  • 📅 Weekly (Nov 21 - 7 days): ±$1.39 (±9.11%) → Range: $13.87 - $16.65
  • 📅 Monthly OPEX (Nov 21 - 7 days - SAME!): ±$1.39 (±9.11%) → Range: $13.87 - $16.65
  • 📅 Quarterly Triple Witch (Dec 19 - 35 days): ±$2.87 (±18.83%) → Range: $12.39 - $18.13
  • 📅 March OPEX (Mar 20 - 126 days - CALL EXPIRY!): Implied range: $8.53 - $21.99 based on extrapolation

Translation for regular folks:
Options traders are pricing in a 9% move ($1.39) by next week and a massive 19% move ($2.87) through December. That's HUGE volatility for a $4.7B stock! The market expects fireworks as CORZ navigates the AI transformation narrative.

The March 20th expiration (when the $17 calls expire) has an upper range extending above $21 - meaning the market thinks there's a realistic possibility CORZ breaks through $20+ if the AI data center thesis plays out. This aligns perfectly with analyst price targets averaging $21.49.

Key insight: The 9% weekly implied move shows near-term uncertainty, but the call buyer is looking past this noise to the March catalyst window when Q4 earnings and CoreWeave deployment progress become clear.

🎪 Catalysts

🔥 Immediate Catalysts (Next 30 Days)

Continued Market Volatility Following Merger Termination (October 30, 2025)

Core Scientific's special stockholder meeting failed to approve the $9 billion CoreWeave merger on October 30, 2025, causing the stock to decline approximately 25%. However, this creates opportunity:

  • ✅ Existing partnership continues: The $8.7 billion, 12-year CoreWeave contract remains fully intact despite merger collapse
  • 🎯 Standalone optionality: CORZ can now pursue additional partnerships without CoreWeave constraints
  • 💰 Analyst confidence: Six firms upgraded or raised price targets in October-November, with Roth Capital hitting Street-high $40 target
  • 📊 Valuation reset: The 25% pullback may have created attractive entry point for long-term AI infrastructure thesis

Analyst Upgrade Wave (October-November 2025)

The analyst community is BULLISH despite the failed merger:

  • Roth Capital (Oct 23): Upgraded Neutral → Buy, new Street-high $40 price target (162% upside!)
  • Macquarie (Oct 31): Upgraded Neutral → Outperform, $34 target (123% upside)
  • Bernstein (Nov 3): Maintained Outperform, raised $17 → $24 (57% upside)
  • H.C. Wainwright (Oct 28): Upgraded to Buy, $25 target (64% upside)
  • B. Riley: Increased target $17 → $30 (97% upside)
  • Cantor Fitzgerald: Raised target to $26 (70% upside)

Consensus: Average price target $21.49 (41% upside) with 50% Strong Buy, 14% Buy, 36% Hold ratings across 13-14 analysts.

🚀 Near-Term Catalysts (Q4 2025 - Q1 2026)

Q4 2024 Earnings Release - February 26, 2025 (104 DAYS AWAY!) 📊

This is THE catalyst that makes or breaks the bull thesis. CORZ reports after market close on Wednesday, February 26, 2025:

Critical context: Q3 results disappointed with $81.1M revenue vs $112.8M consensus (24% miss) and $455.3M net loss driven by non-cash charges. However, the market is forward-looking - Q4 needs to show meaningful progress on the AI transition narrative.

New Customer Partnership Announcement (Expected Q4 2024 - Q1 2025)

Management has indicated a new partnership announcement expected in Q4 2024, which could come at or around earnings:

  • 🎯 Diversification strategy: Targeting to reduce CoreWeave's share to <50% billable capacity by 2028
  • 📊 Available capacity: 305 MW of billable IT load available for future leasing
  • 💼 Deal size: Pursuing deals ranging 50-100 MW with enterprise clients
  • 🚀 Validation catalyst: New customer would prove CoreWeave isn't one-off, validates competitive positioning

CoreWeave Infrastructure Deployment Progress (Q1-Q2 2025)

The $8.7 billion partnership milestones approaching:

🤖 AI Data Center Expansion (2025-2026)

Additional CoreWeave Expansion - February 26, 2025 (JUST ANNOUNCED!)

Concurrent with Q4 earnings, Core Scientific announced $1.2B additional contracted revenue expansion:

  • 💰 Total contracted revenue: Increased to $10.2 billion over 12 years (up from $8.7B)
  • 🏭 Capacity expansion: 70 MW at Denton site bringing total CoreWeave HPC to 590 MW across six sites
  • 📈 Stock reaction: Surged over 11% after-market following announcement
  • 🎯 Validates thesis: CoreWeave continues expanding partnership, proving infrastructure value

Power Capacity Advantage (Ongoing Competitive Edge)

CORZ controls 1.3 GW contracted power capacity:

  • ⚡ 900 MW allocated to HPC (CoreWeave and future customers)
  • ⚡ 400 MW reserved for Bitcoin mining (maintaining baseline revenue)
  • 🏢 Infrastructure advantage: Existing data centers convertible to HPC at lower capex vs greenfield builds
  • 🌍 Strategic asset: Power access is THE bottleneck for AI infrastructure - CORZ has secured capacity that competitors can't easily replicate

📊 Market Position & Competitive Dynamics (2025-2026)

Bitcoin Mining Market Share Decline (Intentional Strategic Shift)

While mining production share declined from 7.9% to 6.4% as competitors like MARA (→15.8%), RIOT (→11.4%), and CLSK (→6.1%) gained, this is BY DESIGN:

Valuation vs. Peers Shows AI Premium

⚠️ Risk Catalysts (Negative)

Infrastructure Deployment Execution Risk

The entire thesis depends on successfully building out 500 MW by H2 2026:

  • ⚠️ $244.5M Q3 2024 capex alone (with $196.4M CoreWeave-funded)
  • 🏗️ Potential delays: Construction, equipment procurement, regulatory approvals
  • ⚡ Power grid constraints or regional electricity availability issues
  • 🔧 Technical challenges converting mining infrastructure to HPC specs

Customer Concentration - CoreWeave Dependency

CoreWeave represents majority of $10.2B contracted backlog:

  • ⚠️ Single customer representing >90% of HPC revenue creates massive concentration risk
  • 🎯 Target to reduce to <50% by 2028, but success uncertain
  • 💸 If CoreWeave scales back or faces financial issues, massive revenue impact
  • 📉 Any renegotiation of contract terms would crater stock

Continued Operating Losses and Liquidity Concerns

Bitcoin Price Volatility (Residual Exposure)

Despite pivot, 400 MW capacity still dedicated to mining:

  • 📉 April 2024 halving cut mining rewards 50%, next halving 2028
  • 💎 Minimal BTC holdings (1,612 vs MARA's 26,200) reduces upside participation
  • ⚡ Rising electricity costs compress mining margins further
  • 🇨🇳 Export restrictions and geopolitical tensions affecting crypto sector

AI/HPC Competition Intensifying

  • 🏢 Traditional data center operators (Equinix, Digital Realty) entering AI infrastructure
  • ⛏️ Other Bitcoin miners (WULF, IREN) pivoting to HPC, creating competition
  • ☁️ Hyperscalers (AWS, Azure, Google Cloud) building proprietary AI infrastructure
  • 💰 Success depends on cost competitiveness vs established players

🎲 Price Targets & Probabilities

Using analyst targets, implied move data, and upcoming catalysts, here are the scenarios through March 20th call expiration:

📈 Bull Case (35% probability)

Target: $21-$26 (Call Strike: $17)

How we get there:
- 💪 Q4 earnings show meaningful progress: 250 MW billable capacity delivered, $360M annualized colocation revenue confirmed
- 🚀 New customer partnership announced (50-100 MW deal) proving diversification strategy
- 🤖 CoreWeave deployment ahead of schedule, potentially announcing additional expansion
- 💰 Guidance raises 2025 revenue targets citing accelerating HPC ramp
- 📊 Analyst upgrades following earnings, price targets move toward $25-30 range
- 🎯 Stock breaks through resistance, rallies toward average analyst target of $21.49

Key metrics needed:
- HPC revenue inflection clearly visible in financials
- Mining losses stabilizing or turning profitable with Bitcoin strength
- Customer pipeline commentary providing 2025-2026 visibility
- Construction milestones achieved on-time/on-budget

Why 35% probability: Multiple catalysts must align, but the setup is compelling. The $13.3M institutional bet at $17 strike shows smart money sees this as realistic. Six recent analyst upgrades validate thesis. If execution delivers, $21-26 is achievable.

🎯 Base Case (45% probability)

Target: $14-$18 range (CHOPPY CONSOLIDATION)

Most likely scenario:
- ✅ Q4 earnings meet expectations - progress shown but not spectacular
- 📊 250 MW deployment on track but conservative 2025 guidance (macro uncertainty, construction timelines)
- 🤝 New customer discussions ongoing but no signed deal announced yet
- ⚖️ Bitcoin mining stabilizes but doesn't provide upside surprise
- 💤 Stock consolidates in $14-18 range, digesting AI transformation narrative
- 🔄 Market waits for H2 2026 full deployment proof before re-rating higher
- 📈 Implied move range plays out: $12.39-$18.13 by December triple witch

This protects the downside puts while keeping calls alive:
The $14 December puts expire worthless or with minimal value, providing the intended downside protection through year-end volatility. The $17 March calls remain viable into Q1 2026 when more deployment progress is visible.

Why 45% probability: Most institutional positioning is patient, willing to hold through execution uncertainty. The AI data center thesis is multi-year, not dependent on single quarter perfection. Range-bound trading most likely as market waits for proof points.

📉 Bear Case (20% probability)

Target: $10-$14 (TESTS PUT STRIKE!)

What could go wrong:
- 😰 Q4 earnings disappoint: Delays in 250 MW deployment, revenue miss, weak guidance
- 🚨 New customer partnership announcement pushed to 2025 or fails to materialize
- ⏰ Construction delays on key facilities (Muskogee, Denton, Auburn) due to permitting, equipment, or power issues
- 💸 CoreWeave relationship concerns emerge - slower deployment, scope reduction, or financial stress
- 📉 Broader tech selloff or crypto winter drags CORZ lower
- 💔 Additional operating losses raise going concern questions
- 🔨 Break below $14 put strike triggers cascade to $10-12

Critical support levels:
- 🛡️ $14: Put strike - institutions protected here, likely buying if tested
- 🛡️ $12: Technical support from recent lows
- 🛡️ $10: Disaster scenario - fundamental thesis in question

Why only 20% probability: The institutional $13.3M bet at CORZ suggests confidence in execution. Six recent analyst upgrades validate thesis. $10.2B contracted backlog provides revenue visibility. While execution risk is real, wholesale bear case requires multiple negative catalysts.

Put P&L in Bear Case:
- Stock at $12 on Dec 19: Puts worth $2.00, profit = $1.24/share × 34,000 = $421,600 (163% ROI)
- Stock at $10 on Dec 19: Puts worth $4.00, profit = $3.24/share × 34,000 = $1.1M (426% ROI!)
- Stock at $14 on Dec 19: Puts worthless, loss = -$0.76/share × 34,000 = -$258,400 (100% loss)

💡 Trading Ideas

🛡️ Conservative: Wait for Q4 Earnings Clarity

Play: Stay on sidelines until after February 26th earnings volatility settles

Why this works:
- ⏰ Earnings in 104 days creates binary event risk - too much can change between now and then
- 💸 Implied volatility elevated (9% weekly move) - options expensive right now
- 📊 Stock down 25% from recent highs but still unclear if bottom is in
- 🎯 Better entry likely post-earnings after IV crush and direction becomes clear
- 🤔 The $13.3M institutional position is sophisticated hedged structure - retail should wait for confirmation

Action plan:
- 👀 Watch Q4 earnings closely on February 26th for CoreWeave deployment progress, new customer announcements, and 2025 guidance
- 🎯 Look for pullback to $12-14 range for stock entry if thesis remains intact
- ✅ Need to see 250 MW capacity delivered and clear path to $360M annualized colocation revenue
- 📊 Monitor analyst reactions post-earnings - upgrades = buy signal, downgrades = stay away

Risk level: Minimal (cash position) | Skill level: Beginner-friendly

⚖️ Balanced: Small Speculative Call Position (Copy The Pros)

Play: Take small position in March $17 calls, mirroring institutional positioning

Structure: Buy CORZ March 20, 2026 $17 Calls (same as institutional $13.3M trade)

Why this works:
- 🤝 Following institutional smart money into exact same strike/expiration
- ⏰ 126 days to expiration captures Q4 earnings (Feb 26) plus post-earnings momentum
- 🎯 $17 strike is 11.4% above current - reasonable target given $21.49 analyst average
- 📊 Six recent analyst upgrades validate AI transformation thesis
- 💰 $10.2B contracted backlog provides fundamental support
- 📈 Chart your position: CORZ superchart

Current pricing (approximate - check live quotes):
- 💰 Calls trading around $0.90-$2.70 based on whale trade prices
- 📈 Max profit: UNLIMITED above $17 + premium paid
- 📉 Max loss: Premium paid (100% if expires worthless)
- 🎯 Breakeven: ~$17.90-$19.70 depending on entry price

Position sizing (CRITICAL):
- 💡 Risk only 1-3% of portfolio maximum
- 📊 This is speculative, high-risk capital only
- ⚠️ Assume 100% loss possible - only bet what you can afford to lose

Entry strategy:
- 🎯 Consider scaling in: Buy 50% now, 50% on pullback to $14-15 range
- ⏰ Best entry if stock consolidates above $14 support
- ❌ Pass if stock breaks below $14 (thesis damaged)

Risk level: Moderate-High (can lose 100% of premium) | Skill level: Intermediate

🚀 Aggressive: Replicate Full Hedged Structure (ADVANCED ONLY!)

Play: Replicate institutional position with calls + protective puts

Structure:
- Buy CORZ March 20, 2026 $17 Calls
- Buy CORZ December 19, 2025 $14 Puts
- Ratio: ~2 calls for every 1 put (mirroring institutional 67K calls / 34K puts = 1.97:1 ratio)

Why this could work:
- 🛡️ Downside protection: Puts cap losses at $14 through year-end volatility
- 🚀 Upside leverage: Calls provide 2x exposure to upside vs puts
- 📊 Sophisticated structure used by institutions who deployed $13.3M
- ⏰ Asymmetric timing: Puts expire Dec 19 (short-term protection), calls March 20 (captures earnings)
- 💡 Essentially "insuring" your bullish bet through near-term uncertainty

Example allocation ($5,000 total capital):
- 💰 Buy 20 March $17 calls @ ~$1.50 average = $3,000
- 💰 Buy 10 December $14 puts @ ~$0.76 = $760
- 💰 Total cost: $3,760
- 💵 Cash reserve: $1,240 for adjustments

Estimated P&L scenarios:

Bull Case (Stock $22 by March):
- 📈 Calls worth ~$5.00 = $10,000 value (+$7,000 gain)
- 📉 Puts expired worthless = -$760 loss
- 💰 Net P&L: +$6,240 (166% ROI)

Base Case (Stock $16-18 by March):
- 📈 Calls worth ~$0.50-$2.00 = $1,000-$4,000 value
- 📉 Puts expired worthless = -$760 loss
- 💰 Net P&L: -$2,760 to +$240 (-73% to +6% ROI)

Bear Case (Stock $12 by December):
- 🛡️ Puts worth ~$2.00 = $2,000 value (+$1,240 gain)
- 📉 Calls likely worthless or small value = -$3,000 loss
- 💰 Net P&L: -$1,760 (-47% max loss vs -100% unhedged)

Why this could blow up (SERIOUS RISKS):
- 💸 EXPENSIVE: Paying for both calls AND puts reduces profit potential
- ⏰ Timing mismatch: Puts expire before calls - if stock rallies late, you paid for protection you didn't need
- 😱 Theta decay: Burning premium on BOTH sides every day
- 📊 Base case loses money: Stock needs to move significantly (either direction) to profit
- ⚠️ Requires active management - need to roll or close positions based on price action

CRITICAL WARNING - DO NOT attempt unless you:
- ✅ Understand options Greeks (Delta, Theta, Vega) and how they interact
- ✅ Can afford to lose entire $3,760 investment
- ✅ Have experience managing multi-leg options positions
- ✅ Can actively monitor and adjust (this isn't set-and-forget)
- ✅ Understand this is replicating institutional hedged speculation, not core portfolio allocation

Risk level: EXTREME (can lose 50-100% of capital deployed) | Skill level: Advanced only

Probability of profit: ~40% (needs significant move either direction to overcome dual premium costs)

⚠️ Risk Factors

Don't get caught by these potential landmines:

  • ⏰ Q4 Earnings binary event in 104 days: Results on February 26th create MASSIVE volatility risk. Stock could gap 15-25% either direction based on CoreWeave deployment progress (250 MW target), new customer announcements, and 2025 guidance. Q3 already disappointed with 24% revenue miss - Q4 needs to deliver or thesis is damaged. Options pricing 9% weekly move shows market expects fireworks.

  • 💸 Valuation stretched despite pullback: Trading at 17.6x P/S vs peer average 5x and 24.86x EV/EBITDA reflects AI/HPC growth premium. Stock is priced for PERFECT execution on 500 MW buildout and $360M annualized colocation revenue. Any disappointment magnified given high expectations already baked in.

  • 🏗️ Infrastructure execution risk is MASSIVE: Entire thesis depends on successfully delivering 500 MW by H2 2026. $244.5M Q3 capex alone shows scale of buildout required. Potential delays from construction issues, equipment procurement bottlenecks, regulatory approvals, or regional power grid constraints could push revenue realization back 6-12 months, devastating stock.

  • 🎯 Customer concentration - CoreWeave is 90%+ of backlog: $10.2B total contracted revenue overwhelmingly from single customer. If CoreWeave faces financial stress, scales back deployment, or renegotiates terms, CORZ revenue model collapses. Target to diversify to <50% by 2028 is years away - major concentration risk near-term.

  • 💔 Continued operating losses drain capital: $455.3M Q3 net loss (though includes non-cash charges) and $6.4M mining segment gross loss with -9% margin show ongoing cash burn. Negative EBITDA while building infrastructure. 67.5% share dilution in past year - future capital needs could massively dilute shareholders.

  • 📉 Bitcoin mining business in terminal decline: Despite maintaining 400 MW for mining, production down 68% post-halving and market share falling from 7.9% to 6.4% while MARA, RIOT, CLSK gain. Core legacy business deteriorating, creating revenue hole that HPC must fill.

  • 🏢 AI/HPC competitive landscape intensifying: Traditional data center giants (Equinix, Digital Realty) entering AI infrastructure with scale and established relationships. Other Bitcoin miners (WULF, IREN) pivoting to HPC, creating direct competition. Hyperscalers (AWS, Azure, Google Cloud) building proprietary infrastructure. CORZ's competitive moat (power access, existing facilities) may not be sustainable long-term.

  • 🎢 Extreme volatility creates whipsaw risk: Recent 25% post-merger decline shows how fast sentiment can shift. Implied 9% weekly moves mean CORZ can gap 5-10% on NO NEWS. This isn't stable infrastructure REIT - this is speculative transformation play. The $17 calls could swing from +200% to -100% in days based on headlines. Track real-time action.

  • ⚠️ Regulatory and ESG headwinds: Increasing scrutiny on energy-intensive cryptocurrency mining and AI data centers. Climate change regulations could restrict operations or increase costs. Federal and state digital asset regulations creating uncertainty. Physical and cybersecurity vulnerabilities in data centers hosting critical customer infrastructure.

  • 💰 Liquidity concerns despite debt refinancing: While August 2024 refinancing reduced interest from 12.5% to 3%, ongoing losses and massive capex requirements could necessitate additional capital raises. Bond markets may not be receptive if execution stumbles.

🎯 The Bottom Line

Real talk: Someone just made a $13.3 MILLION bet that Core Scientific's AI transformation pays off by March 2026. This isn't gambling - this is sophisticated institutional positioning with 67,000 calls at $17 strike hedged by 34,000 protective puts at $14. The structure screams "we believe in the thesis but want protection through near-term volatility."

What this trade tells us:
- 🎯 Smart money sees value at $15.26 after the 25% merger-termination selloff at CORZ
- 💰 The $17 strike represents 11.4% upside - institutions believe analyst targets ($21+ average) are achievable
- ⚖️ The hedged structure shows respect for execution risk - they're not blindly bullish, they're calculated
- 📊 March expiration captures Q4 earnings (Feb 26) PLUS post-earnings momentum into Q1 2026
- ⏰ The timing isn't random - earnings will show 250 MW deployment progress and potentially new customer wins

This is a TRANSFORMATION story, not a value play:
CORZ is pivoting from declining Bitcoin mining (68% production drop, -9% mining margins) to high-growth AI/HPC infrastructure with $10.2B contracted revenue over 12 years. That's an extraordinary backlog for a $4.7B market cap company - IF they can execute.

If you own CORZ:
- ✅ The institutional vote of confidence ($13.3M deployed at CORZ) validates holding through Q4 earnings
- 📊 Consider trimming 20-30% if you have large gains - lock in some profits while maintaining exposure
- 🛡️ Set MENTAL STOP at $12 (major technical support) to protect against thesis breakdown
- ⏰ If holding through February 26th earnings, understand you're accepting 15-25% gap risk either direction
- 🎯 If stock rallies to $20+, strongly consider profit-taking - thesis may take years to fully play out
- 📈 Monitor position in real-time

If you're watching from sidelines:
- ⏰ February 26, 2026 is the moment of truth - mark your calendar!
- 🎯 Post-earnings pullback to $12-14 would be excellent entry for long-term AI infrastructure thesis
- 📈 Looking for confirmation: 250 MW deployed, $360M annualized colocation revenue, new customer wins, positive 2025 guidance
- 🚀 If all cylinders fire, the analyst average of $21.49 (41% upside) and Roth's $40 target (162% upside!) become realistic
- ⚠️ But if Q4 disappoints, this thing could test $10-12 quickly - wait for proof before committing capital

If you're bearish:
- 🎯 Wait for Q4 earnings before initiating shorts - upside risk into February catalyst
- 📊 First support at $14 put strike (institutions protected), deeper support $12
- ⚠️ Post-earnings put spreads ($16/$14 or $14/$12) offer defined-risk way to play downside if execution fails
- 📉 Watch for break below $14 after December 19th (puts expire) - that's the trigger for cascade to $10-12
- ⏰ Timing is critical: Premature bearish positioning could get steamrolled by earnings momentum
- 📈 Track CORZ price action closely

Mark your calendar - Key dates:
- 📅 November 21 (7 days) - Monthly OPEX, near-term volatility window | Trade CORZ
- 📅 December 19 (35 days) - Quarterly triple witch, $14 puts expire
- 📅 February 26, 2026 (104 days) - Q4 FY2024 EARNINGS REPORT - THE CATALYST!
- 📅 March 20, 2026 (126 days) - Monthly OPEX, $17 calls expire
- 📅 H2 2026 - Full 500 MW CoreWeave deployment targeted

Final verdict: The $13.3M institutional bet at $17 strike is a clear signal that sophisticated money believes in CORZ's AI transformation story at current levels. Six analyst upgrades in October-November (including Roth's $40 street-high target) provide fundamental validation. The $10.2B contracted backlog is real, not hype.

BUT - execution risk is massive. This is a multi-year transformation that must deliver 500 MW infrastructure buildout flawlessly while transitioning away from dying Bitcoin mining business. Customer concentration (CoreWeave >90% of backlog) creates existential dependency. Operating losses continue to mount.

The risk/reward is FAVORABLE for patient, disciplined investors willing to hold 12-24 months. But this is NOT a safe trade - it's a calculated speculation on infrastructure transformation. Position size accordingly.

Be patient. Follow the smart money. Wait for Q4 earnings confirmation. If they deliver, this could be a multi-bagger. If they stumble, cut losses fast. 💪

Disclaimer: Options trading involves substantial risk of loss and is not suitable for all investors. This analysis is for educational purposes only and not financial advice. Past performance doesn't guarantee future results. The 4,422x unusual score for the $7M trade reflects size relative to recent CORZ history - it does not imply the trade will be profitable or that you should follow it. Always do your own research and consider consulting a licensed financial advisor before trading. CORZ faces significant execution risk on infrastructure buildout, customer concentration risk with CoreWeave, and ongoing operating losses. Earnings create binary event risk with potential for 15-25% gaps either direction. The institutional trades described may have complex portfolio hedging needs not applicable to retail traders.

About Core Scientific, Inc.: Core Scientific is engaged in designing, building and operating digital infrastructure for high-performance computing, transitioning from Bitcoin mining to AI/HPC data center hosting with $10.2 billion in contracted revenue over 12 years. Market cap: $4.70 billion in the Finance Services industry.

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