CoreWeave Stock Gains Momentum as Wall Street Bets on Long-Term Demand

CoreWeave (CRWV) drew a notable endorsement from Chinese brokerage GF Securities, which initiated coverage on the U.S.-based neocloud company with a “Buy” rating, citing long-term demand for AI infrastructure, strong ties with major hyperscalers, and a path to profitability by 2028. The brokerage said CoreWeave’s first-mover advantage in GPU deployment, AI-only focus, operating efficiency, and long-term agreements with large AI customers position it well for the ongoing AI infrastructure boom. The stock has already gained 47.8% year to date, reflecting investor optimism around the company’s growth prospects.

CoreWeave has evolved from its origins as a cryptocurrency mining business into one of the largest specialized cloud providers focused on AI workloads. Its rise has been fueled by deep relationships with some of the biggest names in technology. Microsoft was among the first major companies to see value in CoreWeave’s infrastructure, and by 2024 it accounted for about 62% of annual revenue, giving the company a major source of stability as it expanded data center capacity and bought high-end hardware.

The company’s customer base has broadened substantially. In March 2025, OpenAI signed a five-year deal worth $11.9 billion, later expanded twice to roughly $22.4 billion in total commitments. CoreWeave also deepened its relationship with Meta through an expanded agreement running through December 2032, valued at about $21 billion and bringing total Meta-related commitments to roughly $35.2 billion. These long-term contracts provide revenue visibility and support continued investment in next-generation AI infrastructure, including Nvidia’s Vera Rubin platform.

Demand is also coming from outside traditional Big Tech. In April 2026, Jane Street signed a $6 billion AI cloud deal with CoreWeave, underscoring growing interest from financial institutions for specialized AI computing. CoreWeave’s financial services backlog now stands at $10 billion. The company has also begun integrating more closely with Google Cloud through new interconnect and orchestration services announced in April 2026, suggesting a shift toward a broader multi-cloud role in the AI ecosystem.

Despite rapid growth, CoreWeave remains unprofitable. In the first quarter of 2026, the company reported revenue of $2.08 billion, up 111.6% year over year, but posted a loss of $1.40 per share, wider than analysts expected. Operating loss margins also increased to 7% from 3%, showing that scaling costs are rising. Still, cash generation improved sharply, with net cash from operating activities reaching about $3 billion, helped by a major reduction in accounts receivable.

The balance sheet remains a concern, with $2.2 billion in cash against $8.1 billion in short-term debt. Valuation is mixed as well: CoreWeave trades at a forward price-to-sales multiple above the sector median, but its forward price-to-cash-flow ratio is well below peers, suggesting efficiency in cash generation. Analysts currently rate the stock a “Moderate Buy,” with a mean target price of $133.26, implying 23.9% upside.