Latest news with #MichaelIntrator
Yahoo
12-06-2025
- Business
- Yahoo
Could This High-Flying Artificial Intelligence Stock Be the Next Nvidia?
Nvidia's high valuation could mean limited returns for investors who buy the stock today. A more compelling option recently has been to invest in CoreWeave, a recently listed artificial intelligence stock. It has been taking off in recent months and it reported 420% growth last quarter. 10 stocks we like better than CoreWeave › Nvidia (NASDAQ: NVDA) is one of the most valuable companies in the world, with a market cap north of $3 trillion. It's a big name in artificial intelligence (AI) due to its high-powered chips, which are used in developing AI models and chatbots. They have proven to be essential for tech companies looking to capitalize on the latest AI trends and who don't want to fall behind their rivals. For investors, however, buying Nvidia may not seem as alluring anymore, given its high valuation. A more tantalizing option is to look at what may be the next Nvidia stock, which can have the potential to deliver significant returns. One stock that has been scorching hot this year and that may be able to benefit from the AI hype is a company that Nvidia has also invested in: CoreWeave (NASDAQ: CRWV). CoreWeave went public back in March, and it has amassed gains of more than 300% since then, as of this week. But at a market cap of around $80 billion, it's still relatively modest in size, at least when compared to tech giants like Nvidia. What puts CoreWeave in the front and center of the AI revolution is that the company rents out GPU computing capacity. It gives customers access to Nvidia's chips and the resources and infrastructure they need to test and train AI models without having to make the costly infrastructure investments themselves. Its close ties with Nvidia give CoreWeave an advantage by providing customers with access to cutting-edge chips. That has resulted in some incredible growth for CoreWeave's business. During the first three months of 2025, CoreWeave's sales totaled $981.6 million, which was a 420% year-over-year increase from the $188.7 million it generated in the same period of 2024. That's an incredible rate of growth. CEO Michael Intrator said that "demand for our platform is robust and accelerating as AI leaders seek the highly performant AI cloud infrastructure required for the most advanced applications." The problem is that with such a capital-intensive business, it's not going to be easy for CoreWeave to turn a profit. Amid all that recent growth, its net loss also jumped significantly -- from $129.2 million a year ago to $314.6 million this past quarter. The tech company's operating expenses totaled more than $1 billion, and its interest costs were sizable at $263.8 million. There's plenty of growth here, but investors should look beyond just the top line, as there are some serious question marks about the company and its prospects for profitability and if staying out of the red can even be possible anytime soon. CoreWeave's incredible growth has made it a hot new AI stock to own. But that alone isn't going to make it the next Nvidia, as CoreWeave will also need to show a strong bottom line as well. Until that changes, this will be a risky investment, as a lot will depend on its growth rate and how strong it proves to be in future quarters. If there's a slowdown in the economy and tech companies scale back on AI-related spending, CoreWeave could be among the most vulnerable AI stocks to be holding, given its dependence on that strong growth. Although CoreWeave's stock is performing incredibly well in just its first few months as a public company, investors should temper expectations as this can be a highly volatile investment, even if you're bullish on AI's long-term growth. This is a stock that will primarily appeal to investors with a high risk tolerance, and it's not one I'd buy today as there are many cheaper AI companies to consider right now. Before you buy stock in CoreWeave, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the for investors to buy now… and CoreWeave wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $649,102!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $882,344!* Now, it's worth noting Stock Advisor's total average return is 996% — a market-crushing outperformance compared to 174% for the S&P 500. Don't miss out on the latest top 10 list, available when you join . See the 10 stocks » *Stock Advisor returns as of June 9, 2025 David Jagielski has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Nvidia. The Motley Fool has a disclosure policy. Could This High-Flying Artificial Intelligence Stock Be the Next Nvidia? was originally published by The Motley Fool
Yahoo
12-06-2025
- Business
- Yahoo
Could This High-Flying Artificial Intelligence Stock Be the Next Nvidia?
Nvidia's high valuation could mean limited returns for investors who buy the stock today. A more compelling option recently has been to invest in CoreWeave, a recently listed artificial intelligence stock. It has been taking off in recent months and it reported 420% growth last quarter. 10 stocks we like better than CoreWeave › Nvidia (NASDAQ: NVDA) is one of the most valuable companies in the world, with a market cap north of $3 trillion. It's a big name in artificial intelligence (AI) due to its high-powered chips, which are used in developing AI models and chatbots. They have proven to be essential for tech companies looking to capitalize on the latest AI trends and who don't want to fall behind their rivals. For investors, however, buying Nvidia may not seem as alluring anymore, given its high valuation. A more tantalizing option is to look at what may be the next Nvidia stock, which can have the potential to deliver significant returns. One stock that has been scorching hot this year and that may be able to benefit from the AI hype is a company that Nvidia has also invested in: CoreWeave (NASDAQ: CRWV). CoreWeave went public back in March, and it has amassed gains of more than 300% since then, as of this week. But at a market cap of around $80 billion, it's still relatively modest in size, at least when compared to tech giants like Nvidia. What puts CoreWeave in the front and center of the AI revolution is that the company rents out GPU computing capacity. It gives customers access to Nvidia's chips and the resources and infrastructure they need to test and train AI models without having to make the costly infrastructure investments themselves. Its close ties with Nvidia give CoreWeave an advantage by providing customers with access to cutting-edge chips. That has resulted in some incredible growth for CoreWeave's business. During the first three months of 2025, CoreWeave's sales totaled $981.6 million, which was a 420% year-over-year increase from the $188.7 million it generated in the same period of 2024. That's an incredible rate of growth. CEO Michael Intrator said that "demand for our platform is robust and accelerating as AI leaders seek the highly performant AI cloud infrastructure required for the most advanced applications." The problem is that with such a capital-intensive business, it's not going to be easy for CoreWeave to turn a profit. Amid all that recent growth, its net loss also jumped significantly -- from $129.2 million a year ago to $314.6 million this past quarter. The tech company's operating expenses totaled more than $1 billion, and its interest costs were sizable at $263.8 million. There's plenty of growth here, but investors should look beyond just the top line, as there are some serious question marks about the company and its prospects for profitability and if staying out of the red can even be possible anytime soon. CoreWeave's incredible growth has made it a hot new AI stock to own. But that alone isn't going to make it the next Nvidia, as CoreWeave will also need to show a strong bottom line as well. Until that changes, this will be a risky investment, as a lot will depend on its growth rate and how strong it proves to be in future quarters. If there's a slowdown in the economy and tech companies scale back on AI-related spending, CoreWeave could be among the most vulnerable AI stocks to be holding, given its dependence on that strong growth. Although CoreWeave's stock is performing incredibly well in just its first few months as a public company, investors should temper expectations as this can be a highly volatile investment, even if you're bullish on AI's long-term growth. This is a stock that will primarily appeal to investors with a high risk tolerance, and it's not one I'd buy today as there are many cheaper AI companies to consider right now. Before you buy stock in CoreWeave, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the for investors to buy now… and CoreWeave wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $649,102!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $882,344!* Now, it's worth noting Stock Advisor's total average return is 996% — a market-crushing outperformance compared to 174% for the S&P 500. Don't miss out on the latest top 10 list, available when you join . See the 10 stocks » *Stock Advisor returns as of June 9, 2025 David Jagielski has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Nvidia. The Motley Fool has a disclosure policy. Could This High-Flying Artificial Intelligence Stock Be the Next Nvidia? was originally published by The Motley Fool Sign in to access your portfolio
Yahoo
23-05-2025
- Business
- Yahoo
Analysts double price target of new AI stock backed by Nvidia
Investors have been searching for the next breakout stock following the success of names like Palantir () and Nvidia () . Now, one under-the-radar AI infrastructure firm has quietly surged onto the scene, delivering explosive growth and winning support from Nvidia and OpenAI just weeks after its IPO. That company is CoreWeave, now Nvidia's largest holding, making up more than 78% of its disclosed portfolio. 💵💰Don't miss the move: Subscribe to TheStreet's free daily newsletter 💰💵 CoreWeave Inc. () is a cloud infrastructure company specializing in GPU-accelerated computing for artificial intelligence and machine learning workloads. Founded in 2017, the company transitioned from cryptocurrency mining to providing AI-focused cloud services. On March 28, CoreWeave launched its initial public offering, pricing shares at $40 each — below its anticipated range of $47 to $55. Still, the IPO raised $1.5 billion, making it one of the largest AI-related listings since 2021. Since then, the stock is up more than 150%. Its data centers are equipped with Nvidia GPUs, and Nvidia holds approximately a 7% stake in CoreWeave. On May 14, CoreWeave reported better-than-expected revenue on Wednesday in the company's first earnings release since going public. CoreWeave reported a 420% year-over-year revenue increase to $981.6 million for the first quarter. Despite this growth, the company's net loss widened to $314.6 million from $129.2 million a year earlier, partly driven by $177 million in stock-based compensation linked to its IPO. 'Demand for our platform is robust and accelerating as AI leaders seek the highly performant AI cloud infrastructure required for the most advanced applications,' Chief Executive Officer Michael Intrator said in a statement. CoreWeave expects revenue of $4.9 billion to $5.1 billion in 2025, which implies a growth of 363% and surpasses Wall Street forecasts. It also projects capex of $20 billion to $23 billion for the year. In the first quarter, OpenAI signed a five-year deal with CoreWeave worth up to $11.9 billion. In addition, the two companies signed another $4 billion contract after the quarter ended, Intrator told CNBC. Nvidia has been invested in CoreWeave since April 2023. In the first quarter this year, Nvidia bought 24,182,460 shares after the company's IPO, according to data from WhaleWisdom based on 13F filings. Alongside CoreWeave, Nvidia's investment portfolio includes several other bets in technology and of the first quarter of 2025, Nvidia also owns shares in British semiconductor company Arm Holdings () , U.S. data center firm Applied Digital () , AI drug firm Recursion Pharmaceuticals () , Russian tech firm Yandex () , and Chinese autonomous driving company WeRide () . Nvidia's backing can send a stock soaring, but it doesn't always last. In February 2024, Nvidia disclosed a stake in SoundHound AI () , sending shares up 567% that year. But by early 2025, Nvidia revealed it had sold out completely, and SoundHound has been sliding since, down more than 50% year-to-date. Citi analysts led by Tyler Radke more than doubled the firm's price target for CoreWeave stock to $94 from $43, while reiterating a "Neutral/High Risk" rating, according to a research report on May 21. The firm said it updated the CoreWeave model following a "strong Q1 out-of-the-gate," which is "a solid start for CoreWeave as a public company.""Overall we think the print reinforces CoreWeave's high-growth status, especially with recent $4B OpenAI expansion deal, and likely assuages investor concerns around AI capex/infrastructure slowing," the analysts wrote. Citi said it sees "significant increase in near-term demand," "some new enterprise customer adoption," and "high customer concentration." The analysts raised Q2 and full-year revenue forecasts for CoreWeave to the high end of guidance, expecting strong near-term beats. They also lifted estimates for the company's interest expenses and capital spending in Q2 and full-year 2025. Still, the analysts warned of 'high risks.' More Nvidia: Will Nvidia get hit hard by AI capex risk? Analysts revise Nvidia price target on chip demand Surprising China news sends Nvidia stock tumbling "We reiterate our Neutral/High Risk rating as we'd like to see more progress on profitability and more customer diversification," the analysts added. CoreWeave closed at $100.16 on May 22, putting Citi's already-doubled $94 price target below the current price. Meanwhile, data from TipRanks shows an average target of $47.42, pointing to a potential 55% downside double price target of new AI stock backed by Nvidia first appeared on TheStreet on May 23, 2025
Miami Herald
23-05-2025
- Business
- Miami Herald
Analysts double price target of new AI stock backed by Nvidia
Investors have been searching for the next breakout stock following the success of names like Palantir (PLTR) and Nvidia (NVDA) . Now, one under-the-radar AI infrastructure firm has quietly surged onto the scene, delivering explosive growth and winning support from Nvidia and OpenAI just weeks after its IPO. That company is CoreWeave, now Nvidia's largest holding, making up more than 78% of its disclosed portfolio. Don't miss the move: Subscribe to TheStreet's free daily newsletter CoreWeave Inc. (CRWV) is a cloud infrastructure company specializing in GPU-accelerated computing for artificial intelligence and machine learning workloads. Founded in 2017, the company transitioned from cryptocurrency mining to providing AI-focused cloud services. On March 28, CoreWeave launched its initial public offering, pricing shares at $40 each - below its anticipated range of $47 to $55. Still, the IPO raised $1.5 billion, making it one of the largest AI-related listings since 2021. Since then, the stock is up more than 150%. Its data centers are equipped with Nvidia GPUs, and Nvidia holds approximately a 7% stake in CoreWeave. On May 14, CoreWeave reported better-than-expected revenue on Wednesday in the company's first earnings release since going public. CoreWeave reported a 420% year-over-year revenue increase to $981.6 million for the first quarter. Despite this growth, the company's net loss widened to $314.6 million from $129.2 million a year earlier, partly driven by $177 million in stock-based compensation linked to its IPO. "Demand for our platform is robust and accelerating as AI leaders seek the highly performant AI cloud infrastructure required for the most advanced applications," Chief Executive Officer Michael Intrator said in a statement. CoreWeave expects revenue of $4.9 billion to $5.1 billion in 2025, which implies a growth of 363% and surpasses Wall Street forecasts. It also projects capex of $20 billion to $23 billion for the year. In the first quarter, OpenAI signed a five-year deal with CoreWeave worth up to $11.9 billion. In addition, the two companies signed another $4 billion contract after the quarter ended, Intrator told CNBC. Nvidia has been invested in CoreWeave since April 2023. In the first quarter this year, Nvidia bought 24,182,460 shares after the company's IPO, according to data from WhaleWisdom based on 13F filings. Alongside CoreWeave, Nvidia's investment portfolio includes several other bets in technology and AI. Related: Veteran fund manager unveils bold Nvidia stock price target after rally As of the first quarter of 2025, Nvidia also owns shares in British semiconductor company Arm Holdings (ARM) , U.S. data center firm Applied Digital (APLD) , AI drug firm Recursion Pharmaceuticals (RXRX) , Russian tech firm Yandex (YNDX) , and Chinese autonomous driving company WeRide (WRD) . Nvidia's backing can send a stock soaring, but it doesn't always last. In February 2024, Nvidia disclosed a stake in SoundHound AI (SOUN) , sending shares up 567% that year. But by early 2025, Nvidia revealed it had sold out completely, and SoundHound has been sliding since, down more than 50% year-to-date. Citi analysts led by Tyler Radke more than doubled the firm's price target for CoreWeave stock to $94 from $43, while reiterating a "Neutral/High Risk" rating, according to a research report on May 21. The firm said it updated the CoreWeave model following a "strong Q1 out-of-the-gate," which is "a solid start for CoreWeave as a public company." Related: Billionaire Stanley Druckenmiller quintuples stake in top semiconductor stock "Overall we think the print reinforces CoreWeave's high-growth status, especially with recent $4B OpenAI expansion deal, and likely assuages investor concerns around AI capex/infrastructure slowing," the analysts wrote. Citi said it sees "significant increase in near-term demand," "some new enterprise customer adoption," and "high customer concentration." The analysts raised Q2 and full-year revenue forecasts for CoreWeave to the high end of guidance, expecting strong near-term beats. They also lifted estimates for the company's interest expenses and capital spending in Q2 and full-year 2025. Still, the analysts warned of "high risks." More Nvidia: Will Nvidia get hit hard by AI capex risk?Analysts revise Nvidia price target on chip demandSurprising China news sends Nvidia stock tumbling "We reiterate our Neutral/High Risk rating as we'd like to see more progress on profitability and more customer diversification," the analysts added. CoreWeave closed at $100.16 on May 22, putting Citi's already-doubled $94 price target below the current price. Meanwhile, data from TipRanks shows an average target of $47.42, pointing to a potential 55% downside risk. Related: Veteran fund manager unveils eye-popping S&P 500 forecast The Arena Media Brands, LLC THESTREET is a registered trademark of TheStreet, Inc.
Bloomberg
15-05-2025
- Business
- Bloomberg
Inference Use Is ‘Most Important' AI Trend: CoreWeave
CoreWeave CEO Michael Intrator discusses the company's expanded $4 billion cloud deal with OpenAI and its first earnings report since going public. He joins Caroline Hyde and Ed Ludlow on 'Bloomberg Technology.' (Source: Bloomberg)
