Key Takeaways
- CRWV shares climbed more than 10% Monday following a 10.87% surge Friday
- DA Davidson boosted its price target by 40%, moving from $125 to $175
- Wall Street views CoreWeave as the emerging neocloud leader for AI companies
- The company serves nine out of the ten largest AI model developers
- Pro-forma backlog has reached approximately $87.8 billion
CoreWeave’s shares enjoyed a remarkable run through the end of last week and into Monday’s trading session. Following Friday’s nearly 11% jump, CRWV climbed another 10%+ as analysts showered the company with positive commentary after announcing two significant partnerships.
CoreWeave, Inc. Class A Common Stock, CRWV
The driving force: a long-term cloud infrastructure partnership with Anthropic, disclosed shortly after the company announced a $21 billion expansion with Meta.
DA Davidson’s Alex Platt described the Anthropic partnership as compelling evidence that “CoreWeave is becoming the neocloud of choice” among top-tier AI enterprises. His firm lifted its price target by 40%, climbing from $125 to $175, suggesting nearly 60% potential upside from recent trading levels.
Cantor Fitzgerald maintained its bullish stance following the Meta announcement, reaffirming an Overweight rating with a $149 price target. Analyst Brett Knoblauch left his position unchanged, highlighting the magnitude and timeline of Meta’s commitment as encouraging indicators.
The Meta arrangement represents a significant milestone. The $21 billion pledge covers fresh computing infrastructure through December 2032 and incorporates the execution of a prior option for supplementary capacity extending through April 2032. Combined, CoreWeave’s total Meta commitments now reach $35.2 billion.
The Anthropic agreement introduces another prestigious client to CoreWeave’s portfolio. The firm now claims nine of the industry’s top ten AI model developers as active customers. Computing infrastructure associated with the Anthropic partnership is anticipated to launch later this year.
Wall Street Momentum Grows
Macquarie’s Paul Golding joined the optimistic sentiment, noting that the Anthropic collaboration demonstrates CoreWeave’s “ecosystem is becoming structural.” This characterization suggests analysts view these arrangements as foundational long-term relationships rather than transactional agreements.
Wall Street’s overall rating on CRWV stands at Moderate Buy, reflecting 14 Buy ratings, eight Hold ratings, and one Sell rating from 23 analysts surveyed over the previous three months. The consensus price target of $120.10 indicates approximately 9% potential appreciation from present levels — although multiple individual targets now exceed that benchmark considerably.
Shares have surged 133% during the past year and recently surpassed $102. InvestingPro values the stock at $98.09 fair value, suggesting current trading slightly above that assessment.
Challenges and Context
The path forward hasn’t been entirely without obstacles. CoreWeave encountered earlier skepticism from investors questioning its scalability. Litigation claimed the company exaggerated its technical capabilities while minimizing dependence on external developers for data center construction.
These worries seem to have faded as major contracts continue materializing.
CoreWeave generated $5.1 billion in revenue over the trailing twelve months, representing 168% year-over-year expansion. Wall Street projects 144% revenue growth for the current year, although profitability remains elusive.
The organization recently completed a $3.5 billion private placement of convertible senior notes maturing in 2032, increased from an original $3 billion proposal.
CoreWeave’s comprehensive pro-forma backlog currently totals approximately $87.8 billion.
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