Compass Point Initiates CoreWeave (CRWV) at Buy, Citing Strong AI Infrastructure Demand

CoreWeave, Inc. (NASDAQ:CRWV) is one of the AI Stocks Investors Are Watching. On November 13, Compass Point started coverage on the stock with a Buy rating and a $150 price target.

The firm is bullish on the stock as it sees a durable growth profile for CoreWeave driven by a boost in AI-driven data center spending and secured contracts from blue-chip clients.

According to analyst Michael Donovan, the rising tide of investment in AI infrastructure not only offers a massive tailwind for the company but also positions it to ride the wave “as a leader in GPU cloud computing.”

Albeit a relatively new company, the firm highlighted how CoreWeave already serves Microsoft and has secured major commitments both from OpenAI and Meta.

“We are initiating coverage of CoreWeave (CRWV) with a Buy. Though a relatively new public company—listed March 28, 2025—CoreWeave already serves Microsoft and has captured long-term demand: revenue backlog reached $55.6B at the end of 3Q25, up 85% sequentially from $30.1B in 2Q25; backlog consists of $50.0B remaining performance obligations plus $5.6B of additional amounts expected under committed contracts, supported by clients like OpenAI with $22.4B committed and Meta with a $14.2B deal through 2031.”

The firm also highlighted Nvidia, a 7% shareholder, which has provided a $6.3B GPU capacity backstop to ensure revenue on unused inventory through 2032.

“Nvidia, a 7% shareholder, agreed to a $6.3B capacity backstop to ensure any unused GPUs continue to generate revenue through 2032. This demand profile—essentially locked-in, multi-year revenues—strengthens our conviction that CoreWeave’s growth is durable.”

CoreWeave, Inc. (NASDAQ:CRWV) is a cloud platform provider that provides equipment for AI and other computing purposes.

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