C3is Inc. closes $2 million registered direct offering
Investing.com - Deutsche Bank has added CoreWeave (NASDAQ:CRWV), a $58 billion market cap AI infrastructure company whose stock has surged nearly 20% in the past week, to its Catalyst Call Buy Idea List on Monday, citing several positive factors that could drive significant upward revenue revisions in the coming quarters.
Deutsche Bank highlighted the "almost insatiable" demand for AI infrastructure that currently outstrips supply, noting that CoreWeave has substantial powered shell capacity expected to come online over the next 12-18 months that has not yet been contracted to customers. According to InvestingPro data, analysts project the company’s revenue to grow 174% in fiscal year 2025, though the company remains unprofitable with a net loss of $1.1 billion in the last twelve months.
The bank emphasized CoreWeave’s relationships with industry leaders including OpenAI, Microsoft, Meta, NVIDIA, and another top hyperscaler, suggesting these partnerships and the company’s technical leadership position it to be "a meaningful participant" in major AI initiatives.
Deutsche Bank also pointed to CoreWeave’s demonstrated ability to grow contracted powered shell capacity across multiple sources, beyond its pending Core Scientific acquisition, noting that as contracted capacity increases, forward revenue estimates should rise accordingly.
The bank identified several potential catalysts for CoreWeave, including third-quarter earnings results, announcements of new customer contracts, and incremental datacenter capacity additions.
In other recent news, CoreWeave reported solid Q2 FY2026 results that exceeded both analyst forecasts and management guidance. This performance prompted Freedom Capital Markets to upgrade CoreWeave’s stock rating from Sell to Hold, with a revised price target of $430.00. The company achieved an acceleration in subscription revenue growth and met its annual recurring revenue expansion targets ahead of schedule. Additionally, CoreWeave announced the launch of CoreWeave Ventures, a new initiative to support startups in the AI ecosystem by providing investment resources, technical expertise, and computing power.
In a significant move to enhance its AI capabilities, CoreWeave has entered into a definitive agreement to acquire OpenPipe Inc., a company known for its reinforcement learning technology. This acquisition is expected to expand CoreWeave’s capabilities in training AI agents. Meanwhile, several CoreWeave executives, including Director Jack D. Cogen, have sold substantial amounts of Class A common stock, with Cogen’s transaction totaling approximately $104.3 million. Furthermore, the company’s largest shareholder, Magnetar Financial, sold a significant number of shares following the expiration of the post-IPO lockup period and implemented a protective trading strategy.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.