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CoreWeave Rallies on Nvidia Beat, Then Retreats as Execution Risks Keep Shares Unsteady

Investor focus centers on near-term facility deliveries plus capital needs despite sizable contracted demand.

Overview

  • The company reported Q3 revenue of $1.36 billion with a $55.6 billion backlog and about $50 billion in performance obligations.
  • Management trimmed near-term guidance tied to a third-party data-center delay that shifted roughly $200 million of revenue timing rather than demand.
  • Nvidia posted $57.0 billion in Q3 revenue, up 62% year over year, briefly lifting CoreWeave before broader market weakness cooled the rally.
  • CoreWeave’s dependence on Nvidia remains tight as the chipmaker supplies its GPUs and holds roughly a 7% equity stake.
  • Shares are down about 50% over a month even as analysts stay generally constructive, with recent targets ranging from $105 (Neutral) to $150 (Buy), and the firm launched Zero Egress Migration on Nov. 13 to eliminate egress fees for dataset transfers from AWS, Google Cloud, Azure, IBM and Alibaba.