Rothschild Redburn Initiates Coverage on CoreWeave with Sell Rating
Rothschild & Co Redburn has initiated coverage of AI cloud operator CoreWeave (NASDAQ: CRWV) with a 'Sell' rating and a $54 price target, implying 33.6% downside from the prior close. The firm cited concerns over off-balance-sheet commitments potentially limiting financial flexibility for hyperscalers like CoreWeave. Despite strong quarterly revenue growth of 112% to $2.575 billion and a current stock price below its moving averages, Redburn's bearish stance contrasts with the broader market sentiment that includes 21 'Buy' ratings and an average target of $139.37. CoreWeave reported significant capital expenditures in Q2, including $6.422 billion on property and equipment, alongside a net loss of $626 million despite generating $1.51 billion in adjusted EBITDA.
Tickers: $CRWV
Topics: AI cloud infrastructure CoreWeave Rothschild Redburn stock ratings