Key Takeaways
- Wells Fargo maintains its Overweight stance on CoreWeave (CRWV) stock with a $125 price objective as Q4 results approach on Feb 26
- The firm’s Q4 revenue projection of $1.57B edges past the Street’s $1.56B estimate and approaches the upper bound of company guidance
- The cloud infrastructure provider has surpassed revenue expectations in each quarter post-IPO, albeit with progressively smaller beats
- More than 1 gigawatt of secured capacity awaits deployment, with the Poolside partnership alone projected to generate approximately $1B yearly
- Roth Capital maintains a Buy recommendation at $110, highlighting Meta/OpenAI infrastructure expansion and GB300 deployment as positive drivers
CoreWeave prepares to unveil its fourth-quarter fiscal 2025 financial performance following the close on February 26, drawing significant attention from the investment community.
CoreWeave, Inc. Class A Common Stock, CRWV
Wells Fargo’s Michael Turrin maintained his Overweight recommendation alongside a $125 price objective on the shares before the quarterly report. His central thesis: existing projections might understate the strength of underlying demand.
Turrin’s Q4 revenue model points to approximately $1.57 billion. This figure edges slightly above the Street’s consensus of $1.56 billion and positions near the upper boundary of CoreWeave’s provided guidance spanning $1.49 billion to $1.59 billion.
The GPU cloud provider has exceeded revenue projections in each reporting period following its public debut. However, the magnitude of these outperformances has been declining — from 15% in the first quarter to 10% in the second, then approximately 5% in the third. Turrin anticipates a comparable outcome for this period.
Shares currently change hands around $89.25, while the analyst community’s average price objective stands at $118.57, suggesting roughly 33% appreciation potential from present levels. Over the trailing twelve months, CRWV has surged more than 140%.
Capacity Pipeline and Customer Agreements Under Scrutiny
A critical data point for market participants will be remaining performance obligations, or RPO — essentially a gauge of contracted revenue yet to be recognized.
CoreWeave’s chief executive has already disclosed that the organization exceeded its previous 850-megawatt power objective. During the Q3 earnings discussion, leadership indicated that over 1 gigawatt of its 2.9 gigawatts of secured capacity remained unsold to customers, with deployment anticipated across the coming 12 to 24 months.
This capacity reserve carries significance. Additional available infrastructure creates opportunity for fresh contract signings.
Throughout the fourth quarter, CoreWeave unveiled partnerships with artificial intelligence companies Runway and Poolside. The Poolside arrangement encompassed more than 40,000 GPUs. Wells Fargo’s analysis suggests this single contract represents approximately $1 billion in yearly revenue and consumes 80 megawatts of power.
Should this assessment prove accurate, it implies demand dynamics may not be fully reflected in present forecasts — contributing to Turrin’s consideration of whether projections warrant upward revision.
Additional Wall Street Perspectives
Roth Capital also expresses optimism heading into the earnings release. The firm retained its Buy recommendation alongside a $110 price objective, referencing Meta and OpenAI infrastructure developments, GB300 cluster deployment, and prospective software announcements surrounding Nvidia’s GTC conference as immediate positive factors.
Citizens carries a Market Outperform recommendation with a $180 objective, emphasizing CoreWeave’s GPU-as-a-Service model and a revenue backlog reportedly surpassing $56 billion.
Dissenting views exist. HSBC holds a Reduce recommendation and reduced its price objective to $41, citing escalating interest expenses and expanding credit default spreads as risk factors.
Wells Fargo noted that recent Friday news reports generated uncertainty regarding 2027 demand dynamics that leadership will likely need to clarify during the earnings discussion.
CoreWeave’s overall analyst consensus on TipRanks registers as Moderate Buy, derived from nine Buy recommendations and eight Hold ratings.
The fourth-quarter financial report arrives following market closure on February 26.
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