Citigroup Issues Pessimistic Forecast for CoreWeave (NASDAQ:CRWV) Stock Price

CoreWeave (NASDAQ:CRWV) had its price objective lowered by equities research analysts at Citigroup from $159.00 to $128.00 in a report released on Wednesday, Benzinga reports. The firm currently has a “buy” rating on the stock. Citigroup‘s price target suggests a potential upside of 164.35% from the company’s previous close.

A number of other brokerages have also weighed in on CRWV. Wells Fargo & Company boosted their target price on CoreWeave from $155.00 to $160.00 and gave the stock an “overweight” rating in a research report on Wednesday, August 12th. Truist Financial lifted their target price on CoreWeave from $155.00 to $165.00 and gave the company a “buy” rating in a research report on Monday, August 24th. HSBC reiterated a “reduce” rating and issued a $39.00 price target on shares of CoreWeave in a research report on Tuesday, October 20th. Rosenblatt Securities reiterated a “buy” rating and set a $250.00 target price on shares of CoreWeave in a research report on Thursday, October 1st. Finally, Barclays lifted their price target on shares of CoreWeave from $90.00 to $105.00 and gave the company an “equal weight” rating in a report on Thursday, August 13th. Twenty-seven research analysts have rated the stock with a Buy rating, seven have assigned a Hold rating and four have given a Sell rating to the company. According to MarketBeat.com, CoreWeave presently has a consensus rating of “Moderate Buy” and an average price target of $129.41.

CoreWeave Stock Down 9.9%

Shares of NASDAQ CRWV traded down $5.32 during midday trading on Wednesday, hitting $48.42. The stock had a trading volume of 59,354,680 shares, compared to its average volume of 31,722,889. CoreWeave has a 52 week low of $48.02 and a 52 week high of $138.25. The company has a market cap of $22.22 billion, a P/E ratio of -13.27 and a beta of 7.71. The business’s 50 day moving average is $78.05 and its 200-day moving average is $90.65. The company has a quick ratio of 0.46, a current ratio of 0.46 and a debt-to-equity ratio of 5.53.

CoreWeave (NASDAQ:CRWV) last posted its earnings results on Tuesday, August 11th. The company reported ($1.14) EPS for the quarter, topping analysts’ consensus estimates of ($1.52) by $0.38. The business had revenue of $2.58 billion during the quarter. CoreWeave had a negative return on equity of 47.95% and a negative net margin of 25.41%. The firm’s revenue for the quarter was up 112.5% on a year-over-year basis. During the same period in the previous year, the business posted ($0.27) EPS. As a group, analysts predict that CoreWeave will post -4.97 EPS for the current year.

Insider Transactions at CoreWeave

In other CoreWeave news, CFO Nitin Agrawal sold 22,579 shares of the business’s stock in a transaction dated Monday, October 12th. The shares were sold at an average price of $80.13, for a total value of $1,809,255.27. Following the completion of the sale, the chief financial officer directly owned 110,017 shares of the company’s stock, valued at $8,815,662.21. The trade was a 17.03% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CRO Jonathan Jones sold 21,569 shares of the business’s stock in a transaction that occurred on Tuesday, October 13th. The shares were sold at an average price of $77.42, for a total value of $1,669,871.98. Following the completion of the sale, the executive owned 5,392 shares of the company’s stock, valued at $417,448.64. The trade was a 80.00% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. In the last 90 days, insiders sold 4,211,804 shares of company stock valued at $382,310,687. Company insiders own 24.20% of the company’s stock.

Institutional Inflows and Outflows

A number of institutional investors have recently added to or reduced their stakes in the business. Syntax Research Inc. purchased a new position in shares of CoreWeave during the third quarter worth $139,000. Fulcrum Asset Management LLP boosted its position in CoreWeave by 1,552.4% during the third quarter. Fulcrum Asset Management LLP now owns 47,606 shares of the company’s stock worth $4,091,000 after purchasing an additional 44,725 shares in the last quarter. Allspring Global Investments Holdings LLC purchased a new position in shares of CoreWeave during the 3rd quarter valued at approximately $206,000. Means Investment CO. Inc. grew its position in shares of CoreWeave by 44.3% in the third quarter. Means Investment CO. Inc. now owns 18,359 shares of the company’s stock valued at $1,599,000 after purchasing an additional 5,640 shares during the period. Finally, Brighton Jones LLC boosted its holdings in CoreWeave by 56.0% in the 3rd quarter. Brighton Jones LLC now owns 12,328 shares of the company’s stock worth $1,074,000 after buying an additional 4,425 shares during the last quarter.

CoreWeave News Roundup

Here are the key news stories impacting CoreWeave this week:

• Positive Sentiment: CoreWeave’s roughly $104 billion revenue backlog and rapid growth offer a counterpoint to the selloff, though fulfilling those contracts depends on the company’s ability to build and finance capacity. Article: CoreWeave More Than Halved Over the Past 6 Months
• Neutral Sentiment: Some analysts see substantial potential in the backlog, but the outlook depends on execution and access to capital. Article: Counterparty Concentration and Depreciation Define CoreWeave Now
• Negative Sentiment: Election results prompted fears that new state leaders could pursue data-center moratoriums or other restrictions. Texas is estimated to account for a substantial share of planned U.S. data-center power capacity, making possible delays there a particular concern for infrastructure providers. Article: Texas Blue Wave Could Threaten Planned Data-Center Power
• Negative Sentiment: CoreWeave shares and bonds sold off as investors reassessed whether political resistance could slow data-center construction and weaken growth prospects. Article: CRWV Stock Drops and Bonds Tumble After Election Results
• Negative Sentiment: Coverage also highlighted CoreWeave’s high debt burden, interest costs, and reliance on a concentrated customer base. Those risks may amplify concerns about funding its expansion, while reports of insider selling added pressure. Article: CoreWeave’s Bond Yield Is a Warning for AI Debt

CoreWeave Company Profile

CoreWeave, Inc is a specialized cloud computing company that provides infrastructure designed for artificial intelligence (AI), machine learning, and other high-performance computing workloads. Its platform gives customers access to accelerated computing resources, including graphics processing units (GPUs), along with the networking, storage, and software tools needed to develop, train, and deploy demanding applications.

The company offers cloud services for AI model training and inference, visual effects and rendering, scientific computing, and other data-intensive workloads.