CoreWeave Share Rally Gains Momentum as Analysts See Upside

The artificial intelligence trade fell this week after Anthropic reported slowing revenue growth despite rising AI capital spending, fueling a broader sell‑off in AI‑focused server providers, known as neoclouds, with CoreWeave bearing the brunt. While the stock is down roughly 11% at midday, several analysts are voicing confidence. Brent Thill of Jefferies reiterated a $150 price target, implying about 115% upside from the prior close, and described the sell‑off as overblown. He noted CoreWeave’s growing pricing power even as debt‑service costs rise, warning that higher rates on future financing are a realistic risk. Meanwhile, expectations for a Federal Reserve rate hike have eased, with futures pricing in just a 17% chance of a quarter‑point increase after Fed Governor Kevin Warsh offered no clear guidance. JPMorgan’s Samik Chatterjee also upgraded the stock to overweight, emphasizing that data‑center demand remains strong and that CoreWeave’s capacity is largely locked in via long‑term take‑or‑pay contracts. Nevertheless, some analysts caution that the contractual certainty of these agreements is not guaranteed and that backlogs should not be equated with guaranteed revenue. Attorneys specializing in the sector anticipate potential disputes over these arrangements. Rival neoclouds have also fallen, with Nebius down 9% and IREN down 8% in Friday trading. Cantor Fitzgerald’s Brett Knoblauch called the recent bond‑yield spike “false narratives” and recommended the current environment as an attractive entry point for CRWV investors, citing consistent business improvement.

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