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Jefferies cut its target to $90 from $150 on a lower valuation multiple, despite calling it a “nice beat-and-raise” quarter.
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CoreWeave’s revenue backlog rose 138% year-over-year to about $132.5 billion.
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CEO Michael Intrator expects about $9 billion in customer prepayments and deposits over the next three months.
CoreWeave (CRWV) stock surged in Wednesday’s premarket trading, putting it on track for its biggest one-day gain since August, as Citi raised its price target after the AI cloud provider beat expectations in its fiscal third-quarter earnings.
Citi raised its price target on CRWV to $149 from $128 and maintained a ‘Buy’ rating, according to TheFly. The firm cited CoreWeave’s strong operational performance and said the quarter provided reassurance about financing and data center issues.
Citi also highlighted improving pricing and contract economics. At the previous closing price, Citi’s revised target implies around 205% upside. As of this writing, CRWV stock was up nearly 14% and was among the top-trending tickers on Stocktwits.
Citizens Maintains Target, Jefferies Cuts Outlook
Citizens reiterated its ‘Market Outperform’ rating and $180 price target, implying a nearly 270% upside potential, according to Investing.com. The firm said demand for computing capacity remains well ahead of supply.
Citizens also highlighted rising prices for new and previous-generation infrastructure but cautioned that capital requirements and financing costs remain substantial.
Meanwhile, Jefferies lowered its price target to $90 from $150 while maintaining a ‘Buy’ rating, per TheFly. The firm described the results as a “nice beat-and-raise” quarter and increased its earnings before interest and taxes (EBIT) estimates.
However, Jefferies lowered its target because it assigned a lower valuation multiple to the shares.
What CoreWeave’s Latest Quarter Shows
CoreWeave’s fiscal third-quarter revenue surged 168% year-over-year to $3.66 billion, exceeding consensus estimates of $3.54 billion, according to Fiscal.ai. However, its net loss widened to $709 million from $110 million a year earlier.
Adjusted operating income reached $379 million, above the company’s $200 million to $260 million guidance. Adjusted operating margin increased to 10% from 5% in the previous quarter.
The neocloud company’s revenue backlog rose 138% year-over-year to about $132.5 billion.
CoreWeave raised its 2026 revenue guidance to $13 billion to $13.3 billion and adjusted operating income guidance to $1.27 billion to $1.37 billion.
