James Foord is an economist by trade and has been analyzing global markets for the past decade. He leads the investing group The Pragmatic Investor where the focus is on building robust and truly diversified portfolios that will continually preserve and increase wealth. The Pragmatic Investor covers global macro, international equities, commodities, tech and cryptocurrencies and is designed to guide investors of all levels in their journey. Features include a The Pragmatic Investor Portfolio, weekly market ...

Core Insights - CoreWeave, Inc. (CRWV) is the world's first hyperscale AI cloud, providing specialized compute, storage, networking, and software to accelerate AI product development [1] - The stock has decreased by 49.2% over the past three months, significantly underperforming compared to the Zacks Internet-Software Market and the S&P 500 Composite [1][2] - Concerns regarding execution, heavy capital spending, and leverage have contributed to the stock's decline, alongside broader volatility in AI-related equities [2] Performance Metrics - CRWV currently trades at $67.68, well below its 52-week high of $187, raising questions about whether the stock's pullback is a buying opportunity or indicative of deeper issues [3] - The company has a substantial backlog of $55.6 billion, representing a 271% year-over-year increase, which supports future growth despite current challenges [8][11] Financial Guidance - Management has lowered its 2025 revenue outlook to $5.05–$5.15 billion from a previous range of $5.15–$5.35 billion, and adjusted operating income expectations to $690–$720 million from $800–$830 million [4] - Capital expenditures (CapEx) for 2025 are projected at $12–$14 billion, reflecting deferrals rather than true cost savings, which extends cash flow pressures [6] Growth Opportunities - CoreWeave plans to launch significant deployments in the fourth quarter, although this may negatively impact near-term adjusted operating margins due to timing mismatches between costs and revenue recognition [5] - The company is pursuing growth through strategic partnerships, including collaborations with NVIDIA, and has made acquisitions to enhance its market position [13] Long-term Outlook - Management anticipates that 2026 CapEx will more than double from 2025 levels, indicating increased capital demands despite ongoing margin pressures [9] - The backlog mix shows that 40% is expected to convert within 24 months, with a significant portion extending beyond that, enhancing revenue visibility [12] Valuation Considerations - CRWV's stock is considered to have a stretched valuation, with a Price/Book ratio of 8.53X compared to the industry average of 5.95X [16]

Core Insights - CoreWeave Inc (NASDAQ:CRWV) is experiencing significant stock movement, with a 9.8% increase to $74.33 following its announcement to join the U.S. Department of Energy's Genesis Mission, which focuses on AI and supercomputing for scientific discovery and energy innovation [1] - The stock is on track for its best single-day performance since September 30, rebounding from a low of around $60, despite a 59.9% decline over the past six months [2] Stock Performance - The stock's recent performance indicates a bounce off its lowest level since May, with a familiar support level around $60 [2] - Short interest in CRWV has increased by 32.9% over the last month, with 34.83 million shares sold short, representing 11.1% of the equity's available float [3] Market Sentiment - Analyst coverage is mixed, with 15 analysts rating the stock as "buy" or better, while 14 have a "hold" or worse rating [3] - Options trading activity is notably high, with 53,000 calls exchanged in the first half hour of trading, significantly above the average volume, indicating bullish sentiment [4]

Core Company Insights - CoreWeave, Inc. (NASDAQ:CRWV) is a significant player in the AI industry, providing essential computing infrastructure to AI software firms [2] - The company's shares have increased by 61% since its IPO in March but have experienced a 14% decline over the past month [2] - Since the beginning of October, CoreWeave's shares have dropped by over 50%, prompting multiple analysts to adjust their ratings [3] Financial Performance and Analyst Ratings - BofA reduced its share price target for CoreWeave from $168 to $140 while maintaining a Neutral rating, citing a reduced fiscal year outlook but noting a strong backlog [3] - Jefferies also lowered its price target from $180 to $155 due to lower 2025 capital expenditure guidance [3] Operational Challenges - CoreWeave's 260-megawatt data center in Texas is facing construction delays attributed to adverse weather conditions [2] - There is a concern regarding a talent shortage in the construction sector, which may impact the company's ability to meet its operational goals [4] Long-term Outlook - Despite current challenges, there is optimism regarding CoreWeave's business model, which focuses on maximizing capacity and renting it out [4] - The potential for CoreWeave as an investment is acknowledged, although some analysts believe other AI stocks may offer better returns with lower risk [4]

Financial realities could soon pour water on one of this year's hottest IPO stocks.Throughout history, technological innovations have often coincided with investor enthusiasm that can occasionally reach euphoric levels. Today's craze for artificial intelligence (AI) is likely to create some bubbles within the industry, even if AI as a whole is a genuinely revolutionary technology and investment opportunity.There are some similarities between today's market and the late 1990s, when the internet helped inflat ...

WASHINGTON--(BUSINESS WIRE)--CoreWeave, Inc. (Nasdaq: CRWV), The Essential Cloud for AIâ"¢, today announced it has joined the Genesis Mission, a Department of Energy initiative that brings together the nation's leading scientific institutions, supercomputing centers, AI platforms, and technology providers to accelerate discovery science, strengthen national security, and advance U.S. energy innovation. The Genesis Mission aims to connect advanced compute resources, experimental research facilities, and larg ...

CoreWeave stock price continued its downward trend this week as investors remained concerned about the AI bubble. CRWV has dropped in the last four consecutive days, reaching its lowest level since Ma... ...

Micron's earnings report is lifting AI stocks in general, but a Seaport analyst wondered if investors were reacting too severely to debt concerns. ...

Core Company Insights - CoreWeave (CRWV) is currently trading at approximately $70, which indicates that the share price has nearly halved since its peak levels in Autumn 2025 [1] - The company has been under bullish coverage, suggesting a positive outlook despite the recent decline in share price [1] Analyst Background - The analyst has a decade of experience at a Big 4 audit firm, focusing on banking, mining, and energy sectors, providing a strong foundation in finance and strategy [1] - Currently, the analyst serves as the Head of Finance for a leading retail real estate owner and operator, overseeing complex financial operations and strategy [1] - The analyst has been an active investor in the U.S. stock market for 13 years, with a portfolio that reflects a balanced approach, emphasizing value stocks while maintaining exposure to growth opportunities [1] Investment Philosophy - The investment philosophy is based on thorough research and a long-term perspective, which has been effective in navigating various market cycles [1] - The aim is to uncover promising under-the-radar stocks that may not yet be recognized by the broader market [1]

Core Insights - The company is currently in the process of selecting between two bidders after initiating discussions with potential buyers in April [1] Company Developments - The arms and automotive manufacturer has launched talks with potential buyers since April, indicating a strategic move towards divestment or acquisition [1]