CoreWeave (NASDAQ:CRWV) Releases Quarterly Earnings Results, Beats Estimates By $0.20 EPS

Key Points

• CoreWeave reported quarterly EPS of -$1.32, beating analyst expectations of -$1.52 by $0.20, though the company remained unprofitable with a negative net margin and return on equity.
• Shares rose to $90.32 in midday trading, while the stock continued to show high volatility, with a 52-week range of $60.55 to $153.20 and a beta of 7.45.
• Analysts maintained an overall “Moderate Buy” rating with an average price target of $136.82, but insiders sold more than 9 million shares worth approximately $896.8 million during the quarter.

CoreWeave (NASDAQ:CRWV - Get Free Report) announced its quarterly earnings results on Tuesday. The company reported ($1.32) EPS for the quarter, beating the consensus estimate of ($1.52) by $0.20, Zacks reports. CoreWeave had a negative return on equity of 43.07% and a negative net margin of 25.57%.

CoreWeave Stock Performance

Shares of CRWV stock traded up $2.13 during midday trading on Tuesday, hitting $90.32. 36,232,529 shares of the company were exchanged, compared to its average volume of 28,211,402. CoreWeave has a 52 week low of $60.55 and a 52 week high of $153.20. The firm has a market capitalization of $40.42 billion, a P/E ratio of -29.04 and a beta of 7.45. The firm's 50 day moving average price is $91.08 and its two-hundred day moving average price is $94.76. The company has a debt-to-equity ratio of 3.68, a quick ratio of 0.31 and a current ratio of 0.31.

Analysts Set New Price Targets

A number of equities research analysts recently issued reports on the stock. Citigroup dropped their target price on shares of CoreWeave from $158.00 to $142.00 and set a "buy" rating for the company in a research report on Wednesday, August 5th. Sanford C. Bernstein began coverage on shares of CoreWeave in a research report on Wednesday, July 22nd. They issued an "outperform" rating on the stock. BTIG Research assumed coverage on shares of CoreWeave in a research note on Wednesday, July 22nd. They set a "buy" rating on the stock. Barclays cut their target price on shares of CoreWeave from $120.00 to $90.00 and set an "equal weight" rating for the company in a research note on Tuesday, July 21st. Finally, Oppenheimer boosted their target price on CoreWeave from $140.00 to $150.00 and gave the stock an "outperform" rating in a report on Wednesday, April 29th. One analyst has rated the stock with a Strong Buy rating, twenty-three have given a Buy rating, thirteen have issued a Hold rating and one has assigned a Sell rating to the stock. According to MarketBeat.com, CoreWeave currently has an average rating of "Moderate Buy" and an average price target of $136.82.

Insider Activity

In related news, CEO Michael N. Intrator sold 278,560 shares of the stock in a transaction that occurred on Tuesday, June 30th. The stock was sold at an average price of $97.43, for a total transaction of $27,140,100.80. Following the sale, the chief executive officer owned 3,138,612 shares of the company's stock, valued at $305,794,967.16. This represents a 8.15% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, Director Jack D. Cogen sold 986,540 shares of the firm's stock in a transaction on Tuesday, May 26th. The stock was sold at an average price of $107.80, for a total value of $106,349,012.00. The disclosure for this sale is available in the SEC filing. Over the last quarter, insiders have sold 9,036,105 shares of company stock valued at $896,789,395. 24.20% of the stock is owned by insiders.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently bought and sold shares of the stock. Greenline Wealth Management LLC bought a new stake in shares of CoreWeave during the fourth quarter worth about $28,000. Pin Oak Investment Advisors Inc. bought a new position in shares of CoreWeave during the third quarter worth about $34,000. Gilpin Wealth Management LLC acquired a new position in shares of CoreWeave in the fourth quarter worth approximately $36,000. IFC & Insurance Marketing Inc. bought a new stake in CoreWeave in the fourth quarter valued at approximately $37,000. Finally, Parkside Financial Bank & Trust boosted its holdings in CoreWeave by 26.3% in the fourth quarter. Parkside Financial Bank & Trust now owns 600 shares of the company's stock valued at $43,000 after acquiring an additional 125 shares during the last quarter.

CoreWeave News Summary

Here are the key news stories impacting CoreWeave this week:

• Positive Sentiment: JPMorgan raised its price target for CoreWeave (CRWV) from $105 to $110, implying substantial potential upside, although it retained a neutral rating. Benzinga
• Positive Sentiment: Jefferies maintained a Buy rating and a $150 price target, citing strong demand for AI compute. CoreWeave’s new $2.6 billion financing deal also supports continued data-center expansion, though profitability is not expected to materially improve for several months. CoreWeave earnings: Jefferies eying founder selling, not profit, as the next catalyst
• Positive Sentiment: A deal with Solidigm gives CoreWeave priority access to solid-state drives, potentially easing storage constraints and improving its ability to scale AI-cloud capacity. CRWV's Solidigm Deal
• Positive Sentiment: Market commentator Jim Cramer identified CoreWeave as a preferred AI-infrastructure investment over IREN, describing it as cheaper and better positioned. Jim Cramer Picks CoreWeave as the Better Buy Over IREN

CoreWeave Company Profile

CoreWeave is a U.S.-based provider of GPU-accelerated cloud infrastructure designed to support compute-intensive workloads such as artificial intelligence, machine learning, visual effects rendering and other high-performance computing applications. The company supplies access to large fleets of modern GPUs and complementary infrastructure that enable customers to train and deploy large models, run inference at scale, and process graphics-heavy workloads with low latency and high throughput.

CoreWeave’s product offering includes on-demand and dedicated GPU instances, bare-metal servers, private clusters and managed services tailored for enterprise and developer use.

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