Barclays Downgrades CoreWeave (CRWV) to Equal Weight, Lifts PT

On Tuesday, Barclays analyst Raimo Lenschow downgraded CoreWeave Inc. (NASDAQ:CRWV) from Overweight to Equal Weight but increased the price target from $70 to $100. This adjustment comes after a 157% rally in the stock since its IPO in March 2025, which was priced at $40 per share.

A technician at a sophisticated computer hardware rig, emphasizing the company’s chip-manufacturing capabilities.

Despite the downgrade, CoreWeave shares traded over 13% higher on Tuesday morning, reaching a fresh high of $116.95. Barclays continues to recognize CoreWeave’s role in the GenAI world. However, the firm believes that the stock’s valuation could be stretched to move higher off fundamentals in the near term, especially given the absence of close comparable peers in the AI infrastructure sector. Barclays also cautions that the current valuation may not be sustainable without continued performance.

CoreWeave’s performance is partly attributed to its strategic partnerships, including Nvidia, which owns ~7% of the company, and other contracts with major clients like OpenAI and Microsoft. In Q1 2025, CoreWeave reported a 420% year-over-year revenue growth and reached $981 million. For Q2, the company projected sales of $1.06 to $1.1 billion. CoreWeave Inc. (NASDAQ:CRWV) operates a cloud platform that scales, supports, and accelerates GenAI. It builds the infrastructure that supports compute workloads for enterprises.

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Disclosure: None. This article is originally published at Insider Monkey.