CoreWeave (NASDAQ:CRWV) Trading Up 9.7% - Should You Buy?

Key Points

• CoreWeave shares jumped 9.7% on Tuesday, with trading volume running well above average as the stock hit an intraday high of $119.45.
• Positive catalysts included Nasdaq-100 inclusion and upbeat analyst commentary about possible backlog upside, with some firms suggesting CoreWeave may be undervalued relative to its growth prospects.
• Risks remain around leverage and insider selling, as the company carries a heavy debt load and recent stock sales by executives and major shareholders have raised investor caution.

Shares of CoreWeave Inc. (NASDAQ:CRWV - Get Free Report) were up 9.7% on Tuesday . The stock traded as high as $119.45 and last traded at $117.03. Approximately 42,357,279 shares traded hands during trading, an increase of 50% from the average daily volume of 28,224,832 shares. The stock had previously closed at $106.71.

More CoreWeave News

Here are the key news stories impacting CoreWeave this week:

• Positive Sentiment: CoreWeave was added to the Nasdaq-100, a milestone that can trigger index-fund buying and boost visibility with institutional investors. CoreWeave stock pops on Nasdaq-100 inclusion. What to know.
• Positive Sentiment: Analysts are highlighting potential upside in CoreWeave’s second-quarter backlog, with Cantor Fitzgerald pointing to bond-offering disclosures that may imply stronger-than-expected contract growth and a possible backlog beat. CoreWeave stock jumps 10% as analysts see major backlog upside
• Positive Sentiment: Cantor Fitzgerald reportedly became more bullish after reviewing a “hidden” disclosure, with Barron’s noting that some investors may be undervaluing CoreWeave’s backlog and growth profile. Why Investors Are ‘Woefully Undervaluing' CoreWeave Stock
• Positive Sentiment: CoreWeave announced record AI training performance in MLPerf v6.0, including a fast DeepSeek-V3 training result on its NVIDIA GB300 cluster, reinforcing its technical capabilities in AI infrastructure. CoreWeave Sets New AI Training Records in MLPerf® Training v6.0, Training DeepSeek-V3 in Approximately Two Minutes
• Neutral Sentiment: Investors are also weighing broader optimism around CoreWeave’s AI product rollout and its role in the neo-cloud boom, though these developments are more supportive of the long-term story than a direct near-term driver. CoreWeave’s (CRWV) New Agentic AI Features Make It A Top Stock To benefit From The Neo Cloud Boom
• Negative Sentiment: Offsetting the optimism, a report said CoreWeave CFO Nitin Agrawal sold nearly $6 million of stock, which may concern investors watching insider selling and the company’s already leverage-heavy balance sheet. Insider Alert: CoreWeave CFO Dumps Nearly $6 Million in Stock
• Negative Sentiment: Bearish commentary continues to focus on CoreWeave’s rising liabilities and debt burden, which could temper enthusiasm despite the recent rally. CoreWeave: The Liabilities Keep On Piling Up

Analysts Set New Price Targets

Several research analysts have recently weighed in on CRWV shares. Mizuho upped their price objective on CoreWeave from $105.00 to $110.00 and gave the stock a "neutral" rating in a research report on Friday, May 8th. JPMorgan Chase & Co. increased their price target on CoreWeave from $90.00 to $105.00 and gave the company a "neutral" rating in a research report on Friday, May 8th. Wolfe Research began coverage on CoreWeave in a research note on Thursday, April 16th. They issued an "outperform" rating and a $150.00 price target for the company. Citigroup raised their price target on CoreWeave from $155.00 to $158.00 and gave the company a "buy" rating in a research note on Thursday, May 14th. Finally, Truist Financial raised their price target on CoreWeave from $85.00 to $131.00 and gave the company a "hold" rating in a research note on Friday, May 8th. Twenty investment analysts have rated the stock with a Buy rating, twelve have given a Hold rating and two have assigned a Sell rating to the company's stock. According to data from MarketBeat, the stock currently has a consensus rating of "Moderate Buy" and a consensus target price of $131.52.

CoreWeave Stock Performance

The company has a market capitalization of $52.38 billion, a price-to-earnings ratio of -37.63 and a beta of 7.18. The stock has a 50-day moving average price of $108.34 and a 200-day moving average price of $92.79. The company has a debt-to-equity ratio of 3.68, a current ratio of 0.31 and a quick ratio of 0.31.

CoreWeave (NASDAQ:CRWV - Get Free Report) last released its quarterly earnings data on Thursday, May 7th. The company reported ($1.40) earnings per share (EPS) for the quarter, missing analysts' consensus estimates of ($1.17) by ($0.23). The business had revenue of $2.08 billion during the quarter. CoreWeave had a negative net margin of 25.57% and a negative return on equity of 43.07%. The firm's revenue was up 111.6% on a year-over-year basis. During the same period last year, the firm posted ($0.60) earnings per share. As a group, analysts forecast that CoreWeave Inc. will post -4.57 earnings per share for the current year.

Insider Transactions at CoreWeave

In other news, major shareholder Magnetar Financial Llc sold 1,404,667 shares of the stock in a transaction that occurred on Thursday, April 16th. The stock was sold at an average price of $118.30, for a total transaction of $166,172,106.10. Following the transaction, the insider owned 282,570 shares in the company, valued at approximately $33,428,031. This trade represents a 83.25% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, insider Brian M. Venturo sold 1,125,000 shares of the stock in a transaction that occurred on Monday, April 6th. The stock was sold at an average price of $80.86, for a total value of $90,967,500.00. Following the transaction, the insider owned 285,327 shares in the company, valued at approximately $23,071,541.22. This trade represents a 79.77% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last quarter, insiders have sold 27,654,403 shares of company stock worth $3,121,873,121.

Hedge Funds Weigh In On CoreWeave

Large investors have recently made changes to their positions in the company. Sivia Capital Partners LLC bought a new position in CoreWeave during the 2nd quarter worth $39,824,000. Quantbot Technologies LP bought a new position in CoreWeave during the 2nd quarter worth $311,000. Invesco Ltd. bought a new position in CoreWeave during the 2nd quarter worth $882,000. First Trust Advisors LP bought a new position in CoreWeave during the 2nd quarter worth $20,260,000. Finally, Baird Financial Group Inc. bought a new position in CoreWeave during the 2nd quarter worth $455,000.

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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