As CRWV Stock Comes Under Pressure, Cantor Fitzgerald Gives CoreWeave a Thumbs Up

Shares of neocloud provider CoreWeave (CRWV) have come under pressure as the Federal Reserve raises interest rates and the company's capital expenditures increase. Investors are getting spooked by the specter of higher interest expenses on the company's significant debt burden. Moreover, the downward adjustment of a key customer's revenue to $50 billion from $70 billion did not help matters either. Thus, its shares are down more than 30% in less than a fortnight.

Yet, that has not deterred Wall Street firm Cantor Fitzgerald's bullishness about CoreWeave. Assigning an “Overweight” rating on the stock, analyst Brett Knoblauch said, “CRWV has the public support of NVDA — the most influential company when it comes to AI. CRWV also already sold out nearly all of the capacity coming online for 2027. NVDA also has an agreement to backstop any unsold capacity."