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CoreWeave (CRWV)
NASDAQ:CRWV
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CoreWeave (CRWV) AI Stock Analysis

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CRWV

CoreWeave

(NASDAQ:CRWV)

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Neutral 51 (OpenAI - 4o)
Rating:51Neutral
Price Target:
$122.00
▼(-7.96% Downside)
CoreWeave, Inc. Class A's overall stock score reflects strong revenue growth and demand, as highlighted in the earnings call. However, significant financial challenges, including high leverage, negative equity, and unprofitability, weigh heavily on the score. Technical indicators show mixed momentum, and valuation metrics are unattractive due to negative earnings.
Positive Factors
Revenue Growth
CoreWeave's significant revenue growth indicates strong market demand and effective business scaling, reinforcing its competitive position in the AI cloud sector.
Strong Contracted Backlog
A robust contracted backlog ensures future revenue streams and reflects sustained demand for CoreWeave's services, supporting long-term business stability.
New Product Launch
The launch of AI Object Storage enhances CoreWeave's service portfolio, catering to AI-specific needs and potentially attracting more clients, boosting revenue.
Negative Factors
High Leverage
High leverage and negative equity pose financial risks, potentially limiting CoreWeave's ability to invest in growth opportunities and manage economic downturns.
Negative Free Cash Flow
Negative free cash flow indicates cash management challenges, which could hinder CoreWeave's ability to fund operations and growth without additional financing.
Unprofitability
Persistent unprofitability raises concerns about CoreWeave's operational efficiency and long-term financial health, potentially affecting investor confidence.

CoreWeave (CRWV) vs. SPDR S&P 500 ETF (SPY)

CoreWeave Business Overview & Revenue Model

Company DescriptionCoreWeave (CRWV) is a cloud computing company that specializes in providing high-performance GPU-based infrastructure solutions for a variety of sectors including artificial intelligence (AI), machine learning (ML), visual effects, and rendering. By leveraging its extensive network of data centers, CoreWeave delivers scalable and cost-effective computing resources tailored to meet the demands of businesses that require intensive processing capabilities.
How the Company Makes MoneyCoreWeave generates revenue primarily through its cloud services, where customers pay for access to its GPU computing power on a pay-as-you-go or subscription basis. This model allows businesses to scale their computing needs based on project demands without the upfront costs associated with purchasing hardware. Key revenue streams include hourly usage fees for GPU instances, managed services, and potentially long-term contracts with enterprise clients. Additionally, strategic partnerships with technology companies and integration with popular AI and ML frameworks enhance its service offerings and attract a broader customer base, thereby contributing to its overall earnings.

CoreWeave Earnings Call Summary

Earnings Call Date:Aug 12, 2025
(Q2-2025)
|
% Change Since: |
Next Earnings Date:Nov 12, 2025
Earnings Call Sentiment Positive
The earnings call highlighted significant revenue growth, strong contracted backlog, and successful capital market activities, reflecting a robust demand environment. However, it also noted an adjusted net loss and increased interest expenses due to infrastructure scaling.
Q2-2025 Updates
Positive Updates
Record Revenue Growth
Revenue grew 107% year over year to $1.2 billion in Q2, marking the first quarter with over $1 billion in revenue and $200 million in adjusted operating income.
Strong Contracted Backlog
The company ended Q2 with $30.1 billion in contracted backlog, up $4 billion from Q1 and doubling year to date. This includes a $4 billion expansion with OpenAI.
Increased Capacity and Power
Active power increased to nearly 470 megawatts, with plans to deliver over 900 megawatts by year-end. Total contracted power rose to 2.2 gigawatts.
Successful Capital Market Activities
CoreWeave raised $6.4 billion in capital markets through two high-yield offerings, lowering their cost of capital and securing over $25 billion since 2024.
Proposed Acquisition of Core Scientific
Expected to drive $500 million in fully ramped annual run rate cost savings by 2027 and eliminate over $10 billion in future lease liability overhead.
Negative Updates
Adjusted Net Loss
Adjusted net loss for Q2 was $131 million, impacted by increased interest expense due to scaling infrastructure, despite growth in adjusted operating income.
Interest Expense Increase
Interest expense for Q2 was $267 million, up from $67 million in 2024, due to increased debt to support infrastructure scaling.
Operating Expenses
Operating expenses in Q2 were $1.2 billion, including stock-based compensation of $145 million, driven by investments in data center and server infrastructure.
Company Guidance
During the second quarter of 2025, CoreWeave, Inc. reported impressive growth, with revenue increasing 107% year over year to $1.2 billion and achieving an adjusted operating income of $200 million. This quarter marked the first time the company surpassed both $1 billion in revenue and $200 million in adjusted operating income. The company ended the quarter with a contracted backlog of $30.1 billion, up $4 billion from the first quarter, indicating strong demand across various sectors including media, finance, and healthcare. The company also highlighted a significant increase in its active power capacity, closing at 470 megawatts, and plans to reach over 900 megawatts by the end of the year. Additionally, the company's capital expenditures hit $2.9 billion as it rapidly scales its infrastructure to meet the demand for AI cloud services. CoreWeave raised $6.4 billion in capital through various offerings, reducing its cost of capital and securing its position in the market. The guidance for the third quarter projects revenue between $1.26 billion and $1.3 billion, with full-year 2025 revenue expected to reach between $5.15 billion and $5.35 billion, highlighting the company's robust growth trajectory and strategic positioning in the AI cloud services sector.

CoreWeave Financial Statement Overview

Summary
CoreWeave, Inc. Class A shows strong revenue growth but faces significant challenges with profitability and financial stability. High leverage and negative equity pose substantial financial risks, while robust operating cash flow is offset by negative free cash flow due to high capital expenditures.
Income Statement
45
Neutral
CoreWeave, Inc. Class A exhibits significant revenue growth year-over-year, indicating strong top-line expansion. However, the company faces challenges with profitability, as reflected by negative net income and poor net profit margins. Despite a positive gross profit margin, the negative EBIT and EBITDA margins highlight operational inefficiencies and high operating costs.
Balance Sheet
30
Negative
The balance sheet reveals a heavily leveraged position with a negative stockholders' equity, indicating financial instability. The debt-to-equity ratio is alarming, reflecting high financial risk. Despite substantial assets, the equity deficit suggests potential solvency issues. The equity ratio is also negative, reinforcing the need for improved capital management.
Cash Flow
55
Neutral
Operating cash flow remains robust, showcasing the company's ability to generate cash from operations. However, substantial negative free cash flow due to high capital expenditures poses challenges. The company maintains a positive operating cash flow to net income ratio, but the negative free cash flow to net income ratio suggests an unsustainable cash flow situation.
BreakdownTTMDec 2024Dec 2023
Income Statement
Total Revenue2.94B1.92B228.94M
Gross Profit2.18B1.42B160.16M
EBITDA1.51B480.04M-426.43M
Net Income-656.52M-863.45M-593.75M
Balance Sheet
Total Assets26.24B17.83B4.98B
Cash, Cash Equivalents and Short-Term Investments1.71B1.36B219.51M
Total Debt7.14B10.62B2.00B
Total Liabilities22.42B18.25B5.57B
Stockholders Equity3.82B-413.60M-596.59M
Cash Flow
Free Cash Flow-7.36B-5.95B-1.11B
Operating Cash Flow-3.35M2.75B1.83B
Investing Cash Flow-7.34B-8.66B-3.15B
Financing Cash Flow7.47B7.46B1.79B

CoreWeave Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
$146.96B135.6917.45%14.87%-57.43%
$65.56B34.15165.17%14.46%48.06%
$51.13B-2.70%23.31%31.04%
$75.92B-11.04%27.32%-11.94%
$132.33B-8.99%23.46%-270.07%
$37.18B12.37-10.20%1.83%8.50%-7.62%
$66.05B
* Technology Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
CRWV
CoreWeave
132.55
95.47
257.47%
FTNT
Fortinet
85.56
4.80
5.94%
PANW
Palo Alto Networks
217.11
35.93
19.83%
ZS
Zscaler
323.00
136.00
72.73%
CRWD
CrowdStrike Holdings
527.32
226.00
75.00%
NET
Cloudflare
217.85
129.91
147.73%

CoreWeave Corporate Events

Business Operations and StrategyPrivate Placements and Financing
CoreWeave Secures $3 Billion Loan for Expansion
Positive
Oct 2, 2025

On September 29, 2025, CoreWeave Compute Acquisition Co., IV, LLC, a subsidiary of CoreWeave, Inc., amended its existing credit agreement to include an additional $3 billion in delayed draw term loans. This amendment aims to enhance the company’s operational capacity by funding the acquisition and maintenance of essential equipment and infrastructure, potentially strengthening its market position and service offerings.

The most recent analyst rating on (CRWV) stock is a Hold with a $145.00 price target. To see the full list of analyst forecasts on CoreWeave stock, see the CRWV Stock Forecast page.

Business Operations and Strategy
CoreWeave Secures Major Cloud Deal with Meta
Positive
Sep 30, 2025

On September 25, 2025, CoreWeave, Inc. and Meta Platforms, Inc. entered into a new order form under their existing Master Services Agreement, allowing Meta access to CoreWeave’s cloud computing capacity. Meta has committed to pay up to approximately $14.2 billion through December 14, 2031, with an option to expand the commitment through 2032, marking a significant impact on CoreWeave’s operations and positioning in the cloud computing market.

The most recent analyst rating on (CRWV) stock is a Buy with a $175.00 price target. To see the full list of analyst forecasts on CoreWeave stock, see the CRWV Stock Forecast page.

Business Operations and Strategy
CoreWeave Secures Major Cloud Deal with OpenAI
Positive
Sep 25, 2025

On September 23, 2025, CoreWeave, Inc. and OpenAI OpCo, LLC entered into a new order form under their existing Master Services Agreement, allowing OpenAI access to CoreWeave’s cloud computing capacity. OpenAI has committed to paying CoreWeave up to $6.5 billion through May 31, 2031, marking the MSA as a material agreement. This development signifies a significant financial commitment from OpenAI and positions CoreWeave as a key player in providing cloud services to major AI companies.

The most recent analyst rating on (CRWV) stock is a Buy with a $170.00 price target. To see the full list of analyst forecasts on CoreWeave stock, see the CRWV Stock Forecast page.

Business Operations and Strategy
CoreWeave Secures $6.3 Billion Deal with NVIDIA
Positive
Sep 15, 2025

On September 9, 2025, CoreWeave, Inc. and NVIDIA Corporation entered into a new order form under their existing Master Services Agreement, initially valued at $6.3 billion. This agreement allows NVIDIA to purchase any unsold cloud computing capacity from CoreWeave until April 13, 2032, ensuring optimal utilization of CoreWeave’s datacenter resources. The agreement is significant for CoreWeave, as it enhances its operational efficiency and strengthens its market position by securing a substantial commitment from a key partner and stakeholder.

The most recent analyst rating on (CRWV) stock is a Hold with a $118.00 price target. To see the full list of analyst forecasts on CoreWeave stock, see the CRWV Stock Forecast page.

CoreWeave, Inc. Reports Robust Q2 Growth Amid Challenges
Sep 1, 2025

CoreWeave, Inc. Class A’s recent earnings call painted a picture of robust growth and strategic expansion, despite some financial challenges. The sentiment was largely positive, driven by significant revenue growth and a strong contracted backlog. However, the company also faced an adjusted net loss and increased interest expenses due to infrastructure scaling, reflecting the complexities of its rapid expansion.

CoreWeave Reports Strong Q2 2025 Results Amid AI Demand
Aug 13, 2025

CoreWeave, Inc., known as the AI Hyperscaler™, provides advanced cloud solutions for accelerated computing, catering to enterprises and AI labs globally. The company has reported a robust second quarter for 2025, showcasing significant growth in revenue and strategic partnerships. CoreWeave’s revenue for the second quarter of 2025 reached $1.21 billion, a substantial increase from $395.37 million in the same period last year, driven by high demand for AI infrastructure and strategic deals, including a $4 billion expansion with OpenAI. Despite the impressive revenue growth, the company reported a net loss of $290.51 million, though this was an improvement from the previous year’s loss of $323.02 million. The company’s adjusted EBITDA stood at $753.17 million, reflecting strong operational performance. CoreWeave continues to expand its AI infrastructure capabilities, highlighted by the completion of a major acquisition and the development of a new data center campus. Looking ahead, CoreWeave remains optimistic about its growth trajectory, focusing on scaling its platform to meet the increasing demand for AI solutions.

Business Operations and StrategyPrivate Placements and Financing
CoreWeave Secures $2.6 Billion Loan for AI Expansion
Positive
Jul 31, 2025

On July 28, 2025, CoreWeave, Inc. announced the closing of a $2.6 billion delayed draw term loan facility (DDTL 3.0 Facility) to finance capital expenditures for a customer contract with OpenAI. This facility, led by Morgan Stanley and MUFG, aims to enhance CoreWeave’s AI cloud infrastructure and reduce its cost of capital, thereby strengthening its market position as a leader in AI cloud services. The facility, which matures on August 21, 2030, is part of CoreWeave’s broader strategy to support growing customer demand, following a recent $1.75 billion Senior Notes offering.

The most recent analyst rating on (CRWV) stock is a Hold with a $91.00 price target. To see the full list of analyst forecasts on CoreWeave, Inc. Class A stock, see the CRWV Stock Forecast page.

Business Operations and StrategyPrivate Placements and Financing
CoreWeave, Inc. Issues $1.75 Billion in Senior Notes
Positive
Jul 28, 2025

On July 25, 2025, CoreWeave, Inc. successfully issued $1,750 million in 9.000% Senior Notes due 2031, with the proceeds intended for general corporate purposes, including debt repayment. The Notes, guaranteed by certain subsidiaries, are aimed at enhancing CoreWeave’s financial flexibility and market positioning, reflecting its strategic focus on supporting its growth and operational needs.

The most recent analyst rating on (CRWV) stock is a Hold with a $46.00 price target. To see the full list of analyst forecasts on CoreWeave, Inc. Class A stock, see the CRWV Stock Forecast page.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Oct 23, 2025