CoreWeave (NASDAQ:CRWV) Stock Price Down 7.2% After Insider Selling

Key Points

• CoreWeave's stock fell 7.2% to $127.06 during trading after significant insider selling activity by major shareholder Magnetar Financial LLC, who sold over 1 million shares.
• Following these sales, Magnetar Financial's stake in CoreWeave decreased by as much as 63.23%, raising concerns among investors regarding insider confidence in the company's future performance.
• Despite the recent decline, Wall Street analysts maintain a positive outlook with an average rating of "Moderate Buy" and a consensus target price of $127.64 for CoreWeave.

Shares of CoreWeave Inc. (NASDAQ:CRWV - Get Free Report) were down 7.2% during mid-day trading on Monday following insider selling activity. The stock traded as low as $126.71 and last traded at $127.06. Approximately 25,153,536 shares changed hands during trading, an increase of 8% from the average daily volume of 23,255,490 shares. The stock had previously closed at $136.87.

Specifically, major shareholder Magnetar Financial Llc sold 556,230 shares of the company's stock in a transaction that occurred on Wednesday, October 15th. The stock was sold at an average price of $138.76, for a total transaction of $77,182,474.80. Following the transaction, the insider owned 323,465 shares in the company, valued at approximately $44,884,003.40. This represents a 63.23% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, major shareholder Magnetar Financial Llc sold 495,122 shares of the company's stock in a transaction that occurred on Wednesday, October 15th. The stock was sold at an average price of $138.75, for a total value of $68,698,177.50. Following the transaction, the insider owned 1,375,868 shares in the company, valued at $190,901,685. This trade represents a 26.46% decrease in their position. The disclosure for this sale can be found here. In other CoreWeave news, major shareholder Magnetar Financial Llc sold 12,876 shares of the company's stock in a transaction that occurred on Wednesday, October 15th. The stock was sold at an average price of $138.75, for a total transaction of $1,786,545.00. Following the transaction, the insider owned 932,272 shares in the company, valued at approximately $129,352,740. This represents a 1.36% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website.

Wall Street Analysts Forecast Growth

A number of research firms have weighed in on CRWV. Raymond James Financial assumed coverage on CoreWeave in a report on Monday, September 15th. They set an "outperform" rating and a $130.00 target price on the stock. Argus reissued a "buy" rating and issued a $200.00 price target on shares of CoreWeave in a research report on Thursday, August 14th. Moffett Nathanson boosted their price target on CoreWeave from $56.00 to $65.00 and gave the stock a "neutral" rating in a research report on Tuesday, August 19th. Citigroup raised CoreWeave from a "neutral" rating to a "buy" rating and set a $160.00 price target on the stock in a research report on Thursday, July 31st. Finally, Morgan Stanley boosted their price target on CoreWeave from $58.00 to $91.00 and gave the stock an "equal weight" rating in a research report on Thursday, July 31st. Two analysts have rated the stock with a Strong Buy rating, sixteen have issued a Buy rating, eleven have given a Hold rating and three have issued a Sell rating to the company. According to data from MarketBeat, CoreWeave has an average rating of "Moderate Buy" and a consensus target price of $127.64.

CoreWeave Trading Down 7.2%

The firm has a fifty day moving average price of $117.09 and a two-hundred day moving average price of $108.94. The company has a debt-to-equity ratio of 2.79, a quick ratio of 0.52 and a current ratio of 0.52.

CoreWeave (NASDAQ:CRWV - Get Free Report) last released its quarterly earnings results on Tuesday, August 12th. The company reported ($0.27) earnings per share for the quarter, missing the consensus estimate of ($0.20) by ($0.07). The firm had revenue of $1.21 million during the quarter. The business's quarterly revenue was up 206.7% compared to the same quarter last year. CoreWeave has set its Q3 2025 guidance at EPS. FY 2025 guidance at EPS.

Institutional Investors Weigh In On CoreWeave

Several hedge funds and other institutional investors have recently modified their holdings of the stock. Nvidia Corp increased its stake in shares of CoreWeave by 0.4% in the 2nd quarter. Nvidia Corp now owns 24,277,573 shares of the company's stock worth $3,958,701,000 after purchasing an additional 95,113 shares in the last quarter. Cisco Systems Inc. purchased a new stake in shares of CoreWeave in the 2nd quarter worth $173,493,000. Voya Investment Management LLC purchased a new stake in shares of CoreWeave in the 3rd quarter worth $110,562,000. Geode Capital Management LLC increased its stake in shares of CoreWeave by 142.6% in the 2nd quarter. Geode Capital Management LLC now owns 716,178 shares of the company's stock worth $116,809,000 after purchasing an additional 420,915 shares in the last quarter. Finally, Munro Partners increased its stake in CoreWeave by 5,272.4% in the 3rd quarter. Munro Partners now owns 616,485 shares of the company's stock worth $84,366,000 after buying an additional 605,010 shares in the last quarter.

About CoreWeave

CoreWeave, Inc engages in the powers of the creation and delivery of the intelligence that drives innovation. It offers a solution used by organizations of all sizes that require sophisticated AI computing, from the largest of enterprises to small, well-funded start-ups. The company was founded by Michael Intrator, Brian Venturo, and Brannin McBee on September 21, 2017 and is headquartered in Livingston, NJ.

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