CoreWeave, the artificial intelligence (AI) start-up company that has received substantial backing from chipmaker Nvidia (NVDA), has set the pricing for its upcoming initial public offering (IPO) at $47 to $55 per share.
CoreWeave is holding its IPO roadshow and marketing this week. The price range would enable CoreWeave to raise $2.3 billion to $2.7 billion from the share sale. However, CoreWeave might raise the price range should investor demand for the IPO prove to be exceptionally strong.
CoreWeave is expected to make its market debut by the end of March, with its stock trading on the technology-laden Nasdaq index under the ticker symbol “CRWV.” Founded in 2017, CoreWeave provides access to data centers and high-powered chips that facilitate AI workloads.
Financial Disclosure
Nvidia has been an early backer of CoreWeave, which competes in the cloud provider space against the likes of Microsoft (MSFT) and Amazon (AMZN). CoreWeave’s customers include technology companies such as Meta Platforms (META) and IBM (IBM).
In its IPO filing, CoreWeave reported revenue of $1.92 billion in 2024, up from $228.9 million a year earlier. Its net loss widened to -$863.4 million last year, increasing from -$593.7 million in 2023. Investment banks Morgan Stanley (MS) and Goldman Sachs (GS) are underwriting the IPO.
Is NVDA Stock a Buy?
As CoreWeave is not yet publicly traded, we’ll look at NVDA stock. The stock of Nvidia has a consensus Strong Buy rating among 42 Wall Street analysts. That rating is based on 39 Buy and three Hold recommendations issued in the last three months. The average NVDA price target of $176.68 implies 50.34% upside from current levels.
Read more analyst ratings on NVDA stock
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