Nebius Stock Has Made a Big Move. This Artificial Intelligence (AI) Stock Could Be Next.

Core Points - CoreWeave's revenue surged by 207% in Q2 2025, reaching $1.2 billion, with a backlog of $30.1 billion, an increase of nearly $14 billion year-over-year [1][8] - The company has secured significant contracts from major clients like OpenAI and Google Cloud, contributing to its robust demand for AI infrastructure [2][8] - CoreWeave's stock rose over 7% following the Nebius-Microsoft deal, highlighting its competitive position in the AI cloud infrastructure market [3][6] Financial Performance - CoreWeave's revenue backlog has doubled in the first half of 2025, indicating strong growth potential [1] - The company has contracts totaling $15.9 billion from OpenAI this year, further enhancing its revenue outlook [8] - CoreWeave's active power capacity was 470 megawatts (MW) at the end of the previous quarter, with plans to increase to 900 MW by year-end [11] Market Position - CoreWeave operates 33 AI data centers across North America and Europe, with a contracted capacity of 2.2 gigawatts (GW), significantly higher than competitors like Nebius [11][13] - The total addressable market for AI infrastructure is projected to reach $400 billion by 2028, positioning CoreWeave for sustained growth [10][7] - CoreWeave's valuation is attractive, trading at less than 14 times sales compared to Nebius' price-to-sales ratio of 91 [14] Growth Potential - Consensus estimates suggest that CoreWeave's revenue could more than triple in two years, driven by its substantial backlog and market demand [14] - If CoreWeave achieves $17 billion in revenue in three years, its market cap could increase to $85 billion, representing a potential 73% gain from current levels [15]