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Truist Initiates CoreWeave Coverage, Flags Leverage and Capex Risks
Financial Modeling Prep· 2026-01-06 22:17
Core View - Truist Securities initiated coverage on CoreWeave with a Hold rating and a price target of $84.00, highlighting its position as a leading provider of cloud infrastructure for AI workloads [1] Company Growth - CoreWeave experienced rapid growth, with revenue increasing more than 14 times in fiscal 2023, over 8 times in fiscal 2024, and management projecting more than a doubling of revenue in fiscal 2025 [2] Partnerships and Supply Chain - The company has a close partnership with NVIDIA, which is critical for securing access to GPUs necessary for its operations [1] Financial Considerations - Despite the strong growth momentum, the stock's risk-reward profile is considered balanced due to CoreWeave's high leverage and significant capital expenditure requirements to support its growth [2]