CoreWeave (NASDAQ:CRWV) Shares Down 3.6% – Here’s Why

CoreWeave Inc. (NASDAQ:CRWV)’s share price dropped 3.6% during trading on Wednesday. The stock traded as low as $87.51 and last traded at $88.45. Approximately 19,655,546 shares traded hands during trading, a decline of 31% from the average session volume of 28,342,736 shares. The stock had previously closed at $91.72.

CoreWeave News Summary

Here are the key news stories impacting CoreWeave this week:

• Positive Sentiment: CoreWeave is expanding internationally through a planned 240-megawatt AI data center in Navi Mumbai, India, in partnership with AdaniConneX. The deal could broaden its customer base and increase long-term capacity, although it also requires substantial capital spending. CoreWeave Makes a 240 MW Bet on India’s AI Infrastructure
• Positive Sentiment: CoreWeave has reportedly raised GPU rental prices by 25% in July and another 10% more recently. UBS viewed the pricing power as evidence that demand for AI computing remains strong and could improve revenue and margins. CoreWeave Can Raise Prices Twice in Three Months
• Positive Sentiment: Institutional ownership has increased to 1,125 holders, with aggregate stakes approaching $40 billion. ARK Investment Management also bought shares after the selloff, providing a potential confidence signal for the high-growth AI thesis. CoreWeave Institutional Holders Climb
• Neutral Sentiment: Northland Securities made mixed changes to its forecasts: estimates improved for first-quarter and fourth-quarter 2027 and fourth-quarter 2026, but worsened for third-quarter 2026, fourth-quarter 2027 and full-year 2027. The firm still expects losses, including negative $3.32 EPS for 2027. CoreWeave analyst estimates
• Neutral Sentiment: CFO Nitin Agrawal sold only three shares under a pre-arranged Rule 10b5-1 plan, leaving him with more than 132,000 shares. The transaction is too small to represent a meaningful change in insider sentiment. CoreWeave insider transaction filing
• Negative Sentiment: CoreWeave shares declined amid broader weakness in AI stocks after reports indicated OpenAI’s annualized revenue was approximately $50 billion, below widely circulated expectations of $68 billion. The news increased concerns about AI-sector valuations and spending assumptions. AI stocks sink on OpenAI revenue report
• Negative Sentiment: CoreWeave carries roughly $35.6 billion of debt, negative free cash flow and elevated execution risk as it finances rapid data center expansion. A reported $2.6 billion loan could require early repayment if serious uptime or customer-contract failures occur. CoreWeave AI loan uptime risk
• Negative Sentiment: Analysts and options traders remain cautious: the stock is considered potentially overvalued, and option activity has turned moderately bearish. Continued losses and a high-beta share price could amplify volatility. Option traders moderately bearish in CoreWeave

Wall Street Analysts Forecast Growth

Several research firms have issued reports on CRWV. Weiss Ratings reiterated a “sell (d-)” rating on shares of CoreWeave in a research note on Monday, September 21st. Btg Pactual set a $125.00 target price on shares of CoreWeave in a research note on Monday, September 21st. William Blair assumed coverage on shares of CoreWeave in a report on Wednesday, September 30th. They issued an “outperform” rating on the stock. Jefferies Financial Group cut shares of CoreWeave from a “buy” rating to a “hold” rating in a research report on Wednesday, July 22nd. Finally, UBS Group assumed coverage on shares of CoreWeave in a report on Tuesday, September 22nd. They set a “buy” rating and a $120.00 price target for the company. Twenty-three research analysts have rated the stock with a Buy rating, nine have issued a Hold rating and three have assigned a Sell rating to the stock. According to data from MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and a consensus target price of $140.64.

CoreWeave Stock Up 0.7%

The firm’s 50-day simple moving average is $88.57 and its 200 day simple moving average is $94.88. The company has a debt-to-equity ratio of 5.53, a quick ratio of 0.46 and a current ratio of 0.46. The stock has a market capitalization of $37.69 billion, a P/E ratio of -22.51 and a beta of 7.36.

CoreWeave (NASDAQ:CRWV) last posted its quarterly earnings results on Tuesday, August 11th. The company reported ($1.14) earnings per share for the quarter, topping the consensus estimate of ($1.52) by $0.38. The firm had revenue of $2.58 billion for the quarter. CoreWeave had a negative return on equity of 47.95% and a negative net margin of 25.41%.The firm’s revenue for the quarter was up 112.5% compared to the same quarter last year. During the same period last year, the firm earned ($0.27) EPS. As a group, research analysts expect that CoreWeave Inc. will post -5.19 EPS for the current year.

Insider Transactions at CoreWeave

In other CoreWeave news, major shareholder Magnetar Financial Llc sold 307,131 shares of the business’s stock in a transaction that occurred on Friday, August 14th. The stock was sold at an average price of $108.75, for a total transaction of $33,400,496.25. Following the transaction, the insider owned 220,810 shares of the company’s stock, valued at $24,013,087.50. The trade was a 58.18% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, CEO Michael N. Intrator sold 200,000 shares of the company’s stock in a transaction that occurred on Tuesday, July 28th. The shares were sold at an average price of $66.62, for a total value of $13,324,000.00. Following the completion of the sale, the chief executive officer owned 2,276,815 shares in the company, valued at $151,681,415.30. This represents a 8.07% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold 5,850,311 shares of company stock valued at $509,880,890 in the last quarter. 24.20% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On CoreWeave

Several institutional investors and hedge funds have recently modified their holdings of the stock. Alyeska Investment Group L.P. grew its stake in CoreWeave by 55.7% in the 2nd quarter. Alyeska Investment Group L.P. now owns 10,891,267 shares of the company’s stock valued at $1,084,117,000 after buying an additional 3,897,741 shares during the last quarter. State Street Corp boosted its holdings in shares of CoreWeave by 139.7% during the second quarter. State Street Corp now owns 7,058,846 shares of the company’s stock worth $702,638,000 after acquiring an additional 4,113,873 shares during the period. Bank of America Corp DE grew its position in shares of CoreWeave by 13.1% in the first quarter. Bank of America Corp DE now owns 5,652,129 shares of the company’s stock valued at $437,870,000 after purchasing an additional 653,398 shares during the last quarter. Clear Street Group Inc. grew its position in shares of CoreWeave by 57.2% in the fourth quarter. Clear Street Group Inc. now owns 4,653,815 shares of the company’s stock valued at $333,260,000 after purchasing an additional 1,692,916 shares during the last quarter. Finally, Deutsche Bank AG increased its stake in shares of CoreWeave by 22,624.0% during the fourth quarter. Deutsche Bank AG now owns 3,812,856 shares of the company’s stock worth $273,039,000 after purchasing an additional 3,796,077 shares during the period.

About CoreWeave

CoreWeave, Inc is a specialized cloud computing provider focused on infrastructure for artificial intelligence, machine learning and other data-intensive workloads. The company offers access to accelerated computing resources, including graphics processing units (GPUs), alongside central processing units, high-performance storage, networking and data center capacity.

Its platform supports AI model training, fine-tuning and inference, as well as visual effects, rendering, scientific computing and other demanding applications.