CoreWeave (NASDAQ:CRWV) Stock Price Up 6.3% – Still a Buy?

CoreWeave Inc. (NASDAQ:CRWV)’s share price rose 6.3% during trading on Friday. The stock traded as high as $47.70 and last traded at $46.40. Approximately 59,100,060 shares were traded during mid-day trading, an increase of 84% from the average daily volume of 32,106,986 shares. The stock had previously closed at $43.66.

CoreWeave News Roundup

Here are the key news stories impacting CoreWeave this week:

• Positive Sentiment: Better-than-expected results from other AI-cloud companies helped spark a sector relief rally, lifting CoreWeave after Thursday’s losses. Article: Cloudflare and IREN earnings spark an AI-cloud rebound
• Positive Sentiment: Investors are looking to strong AI demand, a reported $104 billion backlog and expanding infrastructure as potential supports for CoreWeave’s Q3 results. Article: CRWV poised for a Q3 earnings beat
• Neutral Sentiment: Q3 expectations point to rapid growth—guidance implies roughly 158% year-over-year revenue growth—but an adjusted operating margin of about 6.5% would underscore that growth is not yet translating into robust profitability. Article: CoreWeave stock is no bargain—earnings preview
• Negative Sentiment: CoreWeave’s bond yield has topped 16%, signaling heightened concern about the cost of financing its infrastructure expansion. High leverage and a 0.46 current ratio add to refinancing and liquidity risks. Article: CoreWeave bond yield tops 16%
• Negative Sentiment: Investors are also weighing possible tighter rules and slower permitting for data centers, including in Texas, a key market for infrastructure growth. Article: Is CoreWeave facing a growth squeeze from data-center rules?
• Negative Sentiment: A broader pullback in AI and data-center stocks, alongside an analyst downgrade and a price-target cut, has added pressure ahead of earnings. Article: AI stocks hammered as data-center concerns rise

Analyst Upgrades and Downgrades

Several research firms have recently weighed in on CRWV. Sanford C. Bernstein downgraded CoreWeave from a “hold” rating to a “strong sell” rating in a research report on Monday, October 26th. Btg Pactual set a $125.00 price target on shares of CoreWeave in a report on Monday, September 21st. Weiss Ratings reaffirmed a “sell (d-)” rating on shares of CoreWeave in a research note on Monday, September 21st. Rosenblatt Securities reiterated a “buy” rating and set a $250.00 price objective on shares of CoreWeave in a report on Thursday, October 1st. Finally, Barclays boosted their price objective on shares of CoreWeave from $90.00 to $105.00 and gave the company an “equal weight” rating in a research report on Thursday, August 13th. Twenty-seven research analysts have rated the stock with a Buy rating, seven have given a Hold rating and four have assigned a Sell rating to the stock. Based on data from MarketBeat, the company currently has a consensus rating of “Moderate Buy” and a consensus target price of $129.41.

CoreWeave Trading Up 6.3%

The firm has a market capitalization of $21.29 billion, a P/E ratio of -12.71 and a beta of 7.71. The stock has a 50-day simple moving average of $75.56 and a two-hundred day simple moving average of $89.88. The company has a current ratio of 0.46, a quick ratio of 0.46 and a debt-to-equity ratio of 5.53.

CoreWeave (NASDAQ:CRWV) last posted its quarterly earnings results on Tuesday, August 11th. The company reported ($1.14) earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of ($1.52) by $0.38. The business had revenue of $2.58 billion for the quarter. CoreWeave had a negative return on equity of 47.95% and a negative net margin of 25.41%. CoreWeave’s quarterly revenue was up 112.5% compared to the same quarter last year. During the same period in the previous year, the company posted ($0.27) EPS. On average, equities research analysts anticipate that CoreWeave Inc. will post -4.97 earnings per share for the current year.

Insider Buying and Selling at CoreWeave

In other news, insider Kristen Mcveety sold 156,000 shares of the company’s stock in a transaction that occurred on Tuesday, September 1st. The shares were sold at an average price of $81.63, for a total value of $12,734,280.00. Following the completion of the sale, the insider owned 123,313 shares of the company’s stock, valued at approximately $10,066,040.19. This represents a 55.85% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Michael Intrator sold 200,000 shares of the stock in a transaction that occurred on Tuesday, August 11th. The shares were sold at an average price of $89.18, for a total transaction of $17,836,000.00. Following the transaction, the chief executive officer owned 1,876,815 shares in the company, valued at approximately $167,374,361.70. This represents a 9.63% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last quarter, insiders have sold 4,231,708 shares of company stock valued at $383,236,223. Company insiders own 24.20% of the company’s stock.

Institutional Trading of CoreWeave

Hedge funds have recently bought and sold shares of the stock. Astra Wealth Partners LLC acquired a new position in CoreWeave during the third quarter valued at $264,000. Money Concepts Capital Corp boosted its holdings in CoreWeave by 10.5% in the third quarter. Money Concepts Capital Corp now owns 2,784 shares of the company’s stock valued at $243,000 after purchasing an additional 264 shares during the last quarter. Russell Investments Group Ltd. boosted its holdings in CoreWeave by 6.6% in the third quarter. Russell Investments Group Ltd. now owns 126,366 shares of the company’s stock valued at $11,008,000 after purchasing an additional 7,794 shares during the last quarter. Eurizon Capital SGR S.p.A. grew its position in CoreWeave by 41.9% during the 3rd quarter. Eurizon Capital SGR S.p.A. now owns 21,124 shares of the company’s stock worth $1,840,000 after purchasing an additional 6,240 shares during the period. Finally, R Squared Ltd acquired a new stake in CoreWeave during the 3rd quarter worth about $203,000.

CoreWeave Company Profile

CoreWeave is a cloud computing company that provides infrastructure for artificial intelligence, machine learning, and other compute-intensive workloads. Its services include access to graphics processing units (GPUs), cloud storage and networking, and software tools for deploying and managing workloads.

The company was founded in 2017 as a cryptocurrency mining business and later shifted its focus to cloud computing. CoreWeave is headquartered in Livingston, New Jersey, and operates data center infrastructure in the United States and Europe, serving customers that need large-scale computing resources.

Co-founder Michael Intrator serves as CoreWeave’s chief executive officer.