Public Employees Retirement System of Ohio Makes New Investment in CoreWeave Inc. $CRWV

Key Points

• Public Employees Retirement System of Ohio acquired 156,145 CoreWeave shares worth approximately $15.5 million in the second quarter, joining several other institutions that initiated positions.
• CoreWeave reported 112.5% year-over-year revenue growth to $2.58 billion and narrower-than-expected adjusted losses, but remains unprofitable and highly leveraged, with a 5.53 debt-to-equity ratio and analysts projecting a full-year loss.
• Analyst sentiment remains cautiously positive, with a “Moderate Buy” consensus and average price target of $141.90, although substantial insider selling and concerns over GPU costs, debt and future neocloud competition remain risks.

Public Employees Retirement System of Ohio acquired a new position in CoreWeave Inc. (NASDAQ:CRWV - Free Report) during the second quarter, according to its most recent filing with the SEC. The firm acquired 156,145 shares of the company's stock, valued at approximately $15,543,000.

Several other hedge funds have also recently made changes to their positions in the business. Sivia Capital Partners LLC purchased a new stake in CoreWeave in the second quarter worth $39,824,000. Quantbot Technologies LP bought a new stake in CoreWeave in the second quarter valued at $311,000. Invesco Ltd. purchased a new position in CoreWeave during the 2nd quarter valued at $882,000. First Trust Advisors LP purchased a new position in CoreWeave during the 2nd quarter valued at $20,260,000. Finally, Baird Financial Group Inc. bought a new position in CoreWeave in the 2nd quarter worth $455,000.

CoreWeave News Summary

Here are the key news stories impacting CoreWeave this week:

• Positive Sentiment: CoreWeave is being integrated into Rescale’s AI cloud platform, extending its reach into engineering, simulation, research and development, and other enterprise workloads. The partnership could broaden customer adoption and improve utilization of CoreWeave’s GPU infrastructure. CoreWeave Enters Next Generation Engineering AI Workloads
• Positive Sentiment: Truist said NVIDIA’s reported 17% GPU price increase may not materially damage CoreWeave’s margins. Strong AI demand, customer pricing power, and contract structures could allow CoreWeave to pass through higher equipment costs, supporting the firm’s bullish outlook. NVIDIA’s GPU Price Hikes Look Bad for CoreWeave
• Neutral Sentiment: CoreWeave’s latest results showed revenue growth of 112.5% year over year to $2.58 billion, while adjusted losses were narrower than analysts expected. However, the company remains unprofitable, with analysts forecasting a full-year loss, and carries a debt-to-equity ratio of 5.53. Analyst opinions are mixed, although the consensus rating remains “Moderate Buy.”
• Negative Sentiment: CEO Michael Intrator sold 307,692 shares worth approximately $27.3 million, while CFO Nitin Agrawal sold about $488,000. The transactions were made under pre-arranged Rule 10b5-1 plans, which limits their value as a signal of current management sentiment, but the combined sales add near-term supply and investor concern. CoreWeave Insider Selling
• Negative Sentiment: Investors continue to debate whether rising GPU costs, potential future price competition among “neocloud” providers, and CoreWeave’s substantial debt will limit profitability. Those risks are particularly important because the company is investing heavily to expand capacity despite negative earnings and weak liquidity ratios.

CoreWeave Price Performance

Shares of CoreWeave stock opened at $84.23 on Monday. The company has a debt-to-equity ratio of 5.53, a current ratio of 0.46 and a quick ratio of 0.46. The company has a 50-day moving average of $87.16 and a 200 day moving average of $94.78. The firm has a market cap of $38.65 billion, a price-to-earnings ratio of -23.08 and a beta of 7.45. CoreWeave Inc. has a 1 year low of $60.55 and a 1 year high of $153.20.

CoreWeave (NASDAQ:CRWV - Get Free Report) last issued its quarterly earnings results on Tuesday, August 11th. The company reported ($1.14) earnings per share (EPS) for the quarter, beating analysts' consensus estimates of ($1.52) by $0.38. CoreWeave had a negative net margin of 25.41% and a negative return on equity of 47.95%. The company had revenue of $2.58 billion during the quarter. During the same period last year, the business earned ($0.27) earnings per share. The company's revenue was up 112.5% on a year-over-year basis. As a group, sell-side analysts anticipate that CoreWeave Inc. will post -5.19 earnings per share for the current fiscal year.

Analyst Ratings Changes

A number of equities research analysts have recently weighed in on CRWV shares. Cantor Fitzgerald set a $176.00 target price on shares of CoreWeave and gave the company an "overweight" rating in a research note on Wednesday, August 12th. The Goldman Sachs Group increased their price target on shares of CoreWeave from $121.00 to $139.00 and gave the stock a "neutral" rating in a research note on Friday, August 21st. Mizuho raised their price objective on shares of CoreWeave from $100.00 to $115.00 and gave the stock a "neutral" rating in a report on Wednesday, August 12th. Wells Fargo & Company lifted their price objective on CoreWeave from $155.00 to $160.00 and gave the company an "overweight" rating in a research report on Wednesday, August 12th. Finally, Citigroup upped their target price on CoreWeave from $142.00 to $159.00 and gave the stock a "buy" rating in a report on Friday, August 14th. Twenty-one analysts have rated the stock with a Buy rating, ten have given a Hold rating and three have issued a Sell rating to the company's stock. According to data from MarketBeat.com, the stock currently has a consensus rating of "Moderate Buy" and an average target price of $141.90.

Insider Buying and Selling

In related news, CEO Michael N. Intrator sold 278,560 shares of the company's stock in a transaction that occurred on Tuesday, June 30th. The stock was sold at an average price of $97.43, for a total value of $27,140,100.80. Following the sale, the chief executive officer owned 3,138,612 shares in the company, valued at $305,794,967.16. This represents a 8.15% decrease in their position. The transaction was disclosed in a filing with the SEC, which is available at this hyperlink. 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, major shareholder Magnetar Financial Llc sold 307,131 shares of the firm's stock in a transaction that occurred on Friday, August 14th. The shares were sold at an average price of $108.75, for a total value of $33,400,496.25. Following the transaction, the insider directly owned 220,810 shares of the company's stock, valued at approximately $24,013,087.50. This trade represents a 58.18% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders have sold 7,697,668 shares of company stock valued at $734,869,083 in the last ninety days. Insiders own 24.20% of the company's stock.

About CoreWeave

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

Continue following MarketBeat

Add MarketBeat as your preferred source on Google to see our latest stories in your feed.

Add As Preferred Source