Nebius is working to bring more data center capacity online, which should eventually allow it to win more business and sustain strong revenue growth levels. Even before Nebius announced the Microsoft contract, it was on track to secure more than 1 gigawatt (GW) of contracted data center capacity by the end of 2026.What's more, investors can expect Nebius to land more such contracts. Due to a shortage of cloud computing capacity to run AI workloads, companies like Microsoft are sitting on huge backlogs . Eve ...

Core Viewpoint - CoreWeave has experienced significant growth since its IPO, driven by the increasing demand for AI computing power and its unique business model of renting Nvidia GPUs [1][5][6] Company Overview - CoreWeave went public in March 2023 at an initial price of $40 per share, which later surged to $183 in June before stabilizing around $133 [5] - The company secured a substantial order of $6.3 billion in GPUs from Nvidia, indicating its status as a major customer and validating its business model [6] Financial Performance - In Q2, CoreWeave reported a revenue increase of 207% year-over-year, reaching $1.2 billion, while its revenue backlog grew by 86% to $30.1 billion [7] - Despite the impressive revenue growth, CoreWeave is currently not profitable, posting a net loss margin of 24% in Q2 [8][9] Business Model and Challenges - CoreWeave's business model involves purchasing Nvidia GPUs and renting out their computing power, but the high operational costs and the short lifespan of GPUs (1 to 3 years) pose challenges to profitability [10] - The increasing internal capabilities of major AI hyperscalers may reduce their reliance on CoreWeave's services over time, potentially impacting future growth [11] Investment Outlook - While CoreWeave is currently benefiting from the AI boom, there are concerns about its long-term sustainability and profitability, leading to skepticism about its potential as a million-dollar stock [12]

Core Investment Insights - High-profile investors are backing CoreWeave, an AI cloud infrastructure company, indicating strong institutional interest in the stock [2][11] - CoreWeave has seen significant growth since its IPO in March, with a revenue increase of 207% to $1.21 billion in the second quarter [7][10] Investor Profiles - Nvidia holds 24.3 million shares of CoreWeave and has a dual role as both a customer and supplier, reflecting a strategic partnership [3][11] - Cathie Wood's Ark Invest owns 340,000 shares, focusing on disruptive growth stocks, while Citadel Securities holds 156,000 shares along with options, showcasing diverse investment strategies [4][11] Business Model and Market Position - CoreWeave operates data centers filled with Nvidia hardware, renting them to customers, positioning itself as a pure-play AI stock [6][10] - The company faces challenges with $11 billion in debt and over $1 billion in interest expenses, leading to deep unprofitability despite strong demand growth [7][8] Competitive Landscape - CoreWeave's neocloud model is seen as disruptive, with only one significant competitor, Nebius, which is much smaller [10] - The partnership with Nvidia, including a $6.3 billion deal, provides reassurance about CoreWeave's market position and reduces perceived risks [11][12] Stock Performance and Outlook - CoreWeave's stock has experienced volatility, peaking at $187 in June after an undersubscribed IPO, indicating a dynamic market response [9][10] - The ongoing AI boom could favor CoreWeave, making it an attractive option for growth investors despite inherent risks [12]

CoreWeave  (CRWV) is arguably 2025’s headline stock. The Nvidia  (NVDA) -backed AI-infrastructure pure-play went public at $40 on Mar. 28, 2025. Its shares have more than tripled since the IPO, and at points even quadrupled. Under the hood, its growth isn’t just a promise. In Q2 2025, CoreWeave posted a whopping $1.21 billion in sales (compared with $395 million a year ago), with its management leaning into GPU-first, bare-metal capacity for model training and inference. Moreover, the demand outlook is ...

CoreWeave, Inc. (NASDAQ:CRWV) is one of the AI Stocks on Market Radar. On September 23, Wells Fargo analyst Michael Turrin upgraded the stock from Equal Weight to Overweight with a price target of $170.00 (from $105.00). In an investor note, the analysts highlighted how Coreweave is poised to benefit from the elevated build cycle and hyperscale industry shortages into 2026. These constraints and shortages create the potential for CoreWeave to win market share. Moreover, CoreWeave is given the opportunity ...

Core Viewpoint - CoreWeave Inc. announced that its Chief Financial Officer Nitin Agrawal will participate in the Jefferies Virtual AI Summit on September 25th [1] Event Details - The session is scheduled for 10 a.m. Pacific time (1 p.m. Eastern time) [1] - A live webcast and a replay of the presentation will be available on CoreWeave's Investor Relations site [1]

Core Insights - The AI infrastructure market is experiencing significant growth, with major players like Nvidia and Amazon leading the charge, while niche companies like CoreWeave are also positioned to benefit from increasing GPU demand [1][2] Company Overview - CoreWeave is a rapidly growing "neocloud" provider specializing in GPU-as-a-service for AI workloads, currently valued at $65 billion by market cap [4] - The company has exclusive partnerships with Nvidia, enabling it to deliver advanced compute capacity more quickly than traditional hyperscalers [4] Market Performance - CoreWeave's stock has been a top performer in 2025, tripling since its March IPO and increasing approximately 200% year-to-date, despite a summer pullback of about 50% from its June highs [5] Analyst Ratings - Analysts are optimistic about CoreWeave, with Raymond James initiating coverage with an "Outperform" rating and a $130 target, while Citizens raised its stance to "Market Outperform" with a $180 price target, indicating a potential 50% upside [2] Financial Projections - CoreWeave has secured a $6.3 billion order arrangement with Nvidia and aims for $20 billion in annual recurring revenue (ARR) by 2027, capitalizing on a booming GPU-as-a-service market projected to reach hundreds of billions [2][3] Valuation Metrics - The stock trades at approximately 10–12 times 2025 revenue, which is lower than peers like Palantir, despite a higher growth rate [6] - CoreWeave's price-to-sales (P/S) multiple is below that of Nvidia and Palantir, with Citi noting its multiples for 2027 revenue and EBIT are well below legacy cloud peers [6]

Core Insights - CoreWeave Inc. (NASDAQ:CRWV) is identified as one of the top AI stocks to consider for investment, with Cantor Fitzgerald maintaining an Overweight rating and a price target of $116 [1] - A new agreement with NVIDIA, valued at $6.3 billion, allows NVIDIA to access CoreWeave's unsold cloud computing capacity until April 13, 2032 [2] - This agreement is expected to increase CoreWeave's backlog by 21%, rising from $30.1 billion at the end of Q2 2025 [2] Company Overview - CoreWeave operates a cloud platform designed to scale, support, and accelerate Generative AI, providing the necessary infrastructure for computational workloads in various companies [3]

This company has a close relationship with the AI chip giant.Nvidia (NVDA -2.79%) has become a famous artificial intelligence (AI) player over the past few years, selling the most sought-after AI chips on the market. And that's resulted in soaring earnings and a stock price that's followed. But Nvidia isn't only involved in selling AI products and services. The company, like you and me, also is investing in stocks that could benefit from the AI revolution.Yes, Nvidia is an investor too. The company's $4.3 b ...

Core View - Wells Fargo upgraded CoreWeave (CRWV.US) from "Hold" to "Buy" and raised its target price from $105 to $170, citing increasingly strong demand signals that cannot be ignored [1] Demand and Market Position - Analysts led by Michael Treynor noted that while other software companies struggle to monetize AI, CoreWeave is benefiting from the current construction cycle and will continue to benefit from an industry supply shortage expected to last until 2026 [1] - The long-term outlook for the AI market remains uncertain, but CoreWeave has demonstrated the ability to expand into the largest consumer base for AI computing power, potentially gaining greater market share over time [1] Key Considerations - Optimistic considerations include evidence from large enterprises indicating AI demand is stronger than expected, significant order volumes from recent AI labs across the industry, and substantial adjustments in capital expenditures from large enterprises [1] - Updated unit economic assumptions from Wells Fargo suggest higher demand will increase the hourly GPU pricing from $2 to $2.5, with NVIDIA (NVDA) committing to underwrite all unused computing power, which may be favorable for CoreWeave [1] Additional Supporting Factors - Profit margin estimates show potential for upside as the vertically integrated technology stack matures and financing rates are better than expected [2] - Continuous expansion with benchmark clients such as Microsoft (MSFT.US), OpenAI, and Google (GOOGL.US) [2] - The end of the company's IPO lock-up period is expected to reduce future stock price volatility [2]