CoreWeave (CRWV) stock rallied on Tuesday after the company announced a $1.5 billion private offering of senior notes due 2030. These notes will be guaranteed by subsidiary CoreWeave Cash Management LLC. Only qualified institutional investors and persons outside the U.S. will be able to take part in the private senior notes offering.
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CoreWeave has already revealed plans for the $1.5 billion in gross proceeds it expects from the offering. The company intends to use the funds for general corporate purposes, which includes the repayment of outstanding debt, and cover the fees and costs connected to the notes offering.
CoreWeave also announced negotiations for a new $2.6 billion delayed draw term loan facility. These resources would be used to cover the costs of equipment and infrastructure for a strategic customer. CoreWeave is an artificial intelligence (AI) hyperscaler that offers cloud computing services to customers in the sector.
CRWV Stock Movement
CoreWeave went public earlier this year when it listed shares for $40, below its initial $47 to $55 expectation. Shareholders who picked up the shares for its initial public offering (IPO) price are no doubt pleased with their investment, as the stock has more than doubled in price, closing trading yesterday at $86.59 per share. Nvidia (NVDA) is among them with its 24.2 million shares of CRWV stock, representing a 7% stake in the company.
CoreWeave’s 2025 stock rally continued yesterday with a 7.83% increase as 33.63 million shares were traded, compared to a three-month daily average of 11.48 million shares. The stock has also soared in pre-market trading today with a 3.75% rise.
Is CRWV Stock a Buy, Sell, or Hold?
Turning to Wall Street, the analysts’ consensus rating for CoreWeave is Moderate Buy, based on seven Buy and five Hold ratings over the last three months. With that comes an average CRWV stock price target of $47.42, representing a potential 45.24% downside for the shares.
