CoreWeave (NASDAQ: CRWV), a neocloud provider of AI infrastructure services, went public at $40 per share on March 28, 2025. By June 20, it had reached a record high of $183.58. But as of this writing, it trades at about $82. Let’s see if that pullback is a good buying opportunity.
Missed Nvidia in 2009? This Rare Signal Is Flashing Again. In 2009, a “Double Down” signal flashed for a little-known chipmaker called Nvidia. For the first time in years, that same “Total Conviction” signal is flashing for a company 1/100th the size of Nvidia. Continue »
What does CoreWeave do?
CoreWeave was originally an Ethereum miner, but it repurposed its GPUs to remotely process AI tasks after the crypto market crashed in 2018. It subsequently expanded its data center count from just three centers at the end of 2022 to 49 centers today, and it supports that infrastructure with more than 250,000 Nvidia (NASDAQ: NVDA) GPUs.
CoreWeave’s AI-optimized servers can handle advanced AI workloads 35 times faster and 80% cheaper than larger cloud infrastructure platforms like Amazon Web Services (AWS) and Microsoft Azure. Its largest customers include Microsoft, Meta (NASDAQ: META), OpenAI, Anthropic, Nvidia, and the quantitative trading firm Jane Street.
How fast is CoreWeave growing?
CoreWeave’s revenue surged from $16 million in 2022 to $5.1 billion in 2025. Its backlog swelled to $99.4 billion at the end of the first quarter of 2026, and analysts expect its annual revenue to grow at a three-year CAGR of 99% to $40.3 billion in 2028. That’s a jaw-dropping growth rate for a stock that trades at just 3.5 times this year’s sales.
However, CoreWeave’s net loss also widened from $31 million in 2022 to $1.2 billion in 2025, and analysts expect it to nearly double to $2.2 billion by 2028. It also ended its latest quarter with $50.8 billion in total liabilities, giving it a high debt-to-equity ratio of 10.8. When we include that debt in its enterprise value of $86.3 billion, it looks a bit pricier at 6.8 times this year’s sales.
Is CoreWeave’s pullback a buying opportunity?
CoreWeave has plenty of growth potential, but investors aren’t sure it can execute its expansion without breaking the bank. When CoreWeave’s stock hit a record high last summer, investors were expecting the Fed to cut interest rates, making it cheaper for the company to expand.
But today, more analysts expect interest rate hikes in the second half of 2026 if inflation doesn’t cool off. That’s why investors backed away from unprofitable, high-growth companies like CoreWeave. Competition from other neocloud companies and Meta, which recently decided to sell some of its excess cloud computing power, is exacerbating that pressure. However, CoreWeave should become appealing again as interest rates stabilize, it locks in more customers, and economies of scale kick in. So if you’re looking for an AI stock to hold for a few years instead of a few quarters, CoreWeave’s latest pullback could be a golden buying opportunity.
