CoreWeave (CRWV) stock soared on Thursday after the cloud platform operator announced a $21 billion expansion to its AI infrastructure agreement with Meta Platforms (META). The terms of this deal will see CoreWeave provide Meta Platforms with AI cloud capacity through December 2032 to support the latter’s ongoing AI development.
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Forget margin or options. Here's how the pros trade IBMCoreWeave said that the AI cloud capacity that it will supply Meta Platforms with will come from multiple locations. It also noted that this cloud supply will include some of its initial deployments of Nvidia’s (NVDA) Vera Rubin platform. CoreWeave claimed that the need for more cloud services highlighted the need for the company’s “high-performance infrastructure capable of supporting increasingly complex, large-scale AI workloads.”
Michael Intrator, co-founder, chairman, and CEO of CoreWeave, said, “This is another example that leading companies are choosing CoreWeave’s AI cloud to run their most demanding workloads.” CoreWeave offers its AI infrastructure to several large companies, both private and public, including ChatGPT owner OpenAI, tech giant Microsoft (MSFT), industrial research organization IBM (IBM), and AI engine operator Perplexity.
CoreWeave Stock Movement Today
CoreWeave stock was up 3.64% in pre-market trading on Thursday, following a 4.29% rally yesterday. The shares have increased 24.14% year-to-date and 110.66% over the past 12 months.
CRWV stock trading activity saw some 2.8 million shares change hands this morning, compared to a three-month average daily trading volume of about 23.35 million shares.
Is CoreWeave Stock a Buy, Sell, or Hold?
Turning to Wall Street, the analysts’ consensus rating for CoreWeave is Moderate Buy, based on 13 Buy, eight Hold, and a single Sell rating over the past three months. With that comes an average CRWV stock price target of $115.10, representing a potential 29.46% upside for the shares.
