CoreWeave (NASDAQ:CRWV) Stock Price Down 2.9% – Here’s Why

CoreWeave Inc. (NASDAQ:CRWV)’s stock price traded down 2.9% during mid-day trading on Wednesday . The company traded as low as $95.10 and last traded at $95.61. 17,331,074 shares changed hands during mid-day trading, a decline of 38% from the average session volume of 28,171,275 shares. The stock had previously closed at $98.45.

Trending Headlines about CoreWeave

Here are the key news stories impacting CoreWeave this week:

• Positive Sentiment: CoreWeave’s recent $6 billion AI cloud agreement with Jane Street, which includes a $1 billion equity investment, reinforces demand for its GPU cloud infrastructure and supports the long-term growth narrative. CoreWeave Jane Street AI Cloud Pact Reframes Growth And Valuation Story
• Positive Sentiment: Analysts remain broadly constructive on CoreWeave, with many rating the stock a Buy and pointing to upside versus current levels, reflecting optimism around its AI infrastructure role. Why CoreWeave (CRWV) is a Strategically Important firm in AI Infrastructure?
• Neutral Sentiment: Despite the recent volatility, CoreWeave still has a large AI-related backlog and strong revenue growth, which helps support the bull case over the longer term. CoreWeave Stock Tumbles 34% in a Year: What Should Investors Do Now?
• Negative Sentiment: Reports that CoreWeave is exploring euro- and dollar-denominated high-yield bonds suggest the company may be leaning on debt markets to fund expansion, which can worry investors about leverage and future interest costs. CoreWeave Considers High Yield Bonds As Insider Sales And Volatility Mount
• Negative Sentiment: News that CoreWeave co-founders have sold roughly $2.3 billion of stock since the IPO is weighing on sentiment, as investors often view heavy insider selling as a lack of confidence at current prices. CoreWeave founders sold $2.3B in planned stock sales since IPO: report

Analyst Ratings Changes

Several research analysts have recently weighed in on CRWV shares. Wells Fargo & Company upped their target price on CoreWeave from $135.00 to $155.00 and gave the stock an “overweight” rating in a research note on Friday, May 8th. HC Wainwright reiterated a “buy” rating and set a $180.00 price target on shares of CoreWeave in a research report on Monday, March 2nd. Weiss Ratings restated a “sell (e+)” rating on shares of CoreWeave in a report on Monday, May 4th. Deutsche Bank Aktiengesellschaft reiterated a “buy” rating and set a $135.00 price target on shares of CoreWeave in a report on Friday, May 8th. Finally, Needham & Company LLC reiterated a “hold” rating on shares of CoreWeave in a report on Friday, February 27th. Twenty research analysts have rated the stock with a Buy rating, twelve have issued a Hold rating and two have given a Sell rating to the company. According to data from MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and a consensus target price of $131.52.

CoreWeave Stock Down 2.9%

The company has a debt-to-equity ratio of 3.68, a quick ratio of 0.31 and a current ratio of 0.31. The company has a market cap of $42.79 billion, a price-to-earnings ratio of -30.74 and a beta of 7.14. The business has a 50-day simple moving average of $106.51 and a 200-day simple moving average of $92.00.

CoreWeave (NASDAQ:CRWV) last posted its quarterly earnings results on Thursday, May 7th. The company reported ($1.40) earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of ($1.17) by ($0.23). CoreWeave had a negative net margin of 25.57% and a negative return on equity of 43.07%. The company had revenue of $2.08 billion during the quarter. During the same quarter in the prior year, the company earned ($0.60) earnings per share. CoreWeave’s quarterly revenue was up 111.6% compared to the same quarter last year. On average, equities analysts anticipate that CoreWeave Inc. will post -4.57 earnings per share for the current fiscal year.

Insider Buying and Selling at CoreWeave

In related news, Director Jack D. Cogen sold 271,153 shares of the firm’s stock in a transaction that occurred on Friday, May 29th. The stock was sold at an average price of $106.97, for a total transaction of $29,005,236.41. Following the transaction, the director owned 8,769,676 shares in the company, valued at $938,092,241.72. This trade represents a 3.00% decrease in their position. The transaction was disclosed in a filing with the SEC, which is available through the SEC website. Also, major shareholder Magnetar Financial Llc sold 112,111 shares of the firm’s stock in a transaction that occurred on Tuesday, June 2nd. The stock was sold at an average price of $130.56, for a total value of $14,637,212.16. Following the transaction, the insider owned 241,920 shares in the company, valued at $31,585,075.20. This represents a 31.67% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. In the last ninety days, insiders have sold 27,161,017 shares of company stock worth $3,069,845,030.

Institutional Trading of CoreWeave

Several hedge funds have recently modified their holdings of CRWV. NewEdge Advisors LLC raised its holdings in CoreWeave by 22.2% during the first quarter. NewEdge Advisors LLC now owns 59,155 shares of the company’s stock worth $4,583,000 after purchasing an additional 10,731 shares during the last quarter. CTC Alternative Strategies Ltd. acquired a new position in CoreWeave during the first quarter worth $852,000. Liontrust Investment Partners LLP raised its holdings in CoreWeave by 24.1% during the first quarter. Liontrust Investment Partners LLP now owns 127,752 shares of the company’s stock worth $9,897,000 after purchasing an additional 24,843 shares during the last quarter. SOA Wealth Advisors LLC. raised its holdings in CoreWeave by 79.0% during the first quarter. SOA Wealth Advisors LLC. now owns 886 shares of the company’s stock worth $69,000 after purchasing an additional 391 shares during the last quarter. Finally, Pathway Wealth Management LLC raised its holdings in CoreWeave by 2.9% during the first quarter. Pathway Wealth Management LLC now owns 3,593 shares of the company’s stock worth $278,000 after purchasing an additional 100 shares during the last quarter.

CoreWeave Company Profile

CoreWeave is a U.S.-based provider of GPU-accelerated cloud infrastructure designed to support compute-intensive workloads such as artificial intelligence, machine learning, visual effects rendering and other high-performance computing applications. The company supplies access to large fleets of modern GPUs and complementary infrastructure that enable customers to train and deploy large models, run inference at scale, and process graphics-heavy workloads with low latency and high throughput.

CoreWeave’s product offering includes on-demand and dedicated GPU instances, bare-metal servers, private clusters and managed services tailored for enterprise and developer use.