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CoreWeave Rallies After DOE Genesis Mission Nod and Citigroup Buy

The move signals federal demand despite unresolved buildout or financing pressures.

Overview

  • Shares jumped 22.6% on Friday to close at $83 after Citigroup issued a buy rating, even as it lowered its price target from prior levels.
  • Two days earlier, the Department of Energy selected CoreWeave for its Genesis Mission, positioning the GPU cloud provider for potential work with national labs and security-focused AI compute.
  • CoreWeave reported third-quarter revenue of about $1.36 billion and a revenue backlog of $55.6 billion, supported by long-term agreements with major AI customers.
  • Management and reports highlight execution risks from data-center buildouts, including delays at a 260-megawatt Texas facility that have shifted some revenue and capex into early 2026.
  • Despite rapid growth, the company remains unprofitable with substantial debt and high interest expense, and the stock is still down more than 60% from its June peak of $187.