Jim Cramer Calls CoreWeave's Acquisition of Core Scientific "Very Positive"

CoreWeave, Inc. (NASDAQ:CRWV) is one of the 13 stocks recently discussed by Jim Cramer. Discussing the company’s recent acquisition decision, Cramer said:

“This morning, we got some big news from CoreWeave, the data center operator that we've championed. It makes its money by renting out computing power, especially for artificial intelligence. The stock came public with a whimper in March before going on to become one of the best performers of the year. Today, it got hit after CoreWeave announced that it's buying Core Scientific, another data center infrastructure play, for $9 billion in an all-stock deal.

These two companies are already longstanding partners. CoreWeave has been paying to lease Core Scientific's infrastructure for years. So now they own it outright, very positive. And hey, given that this stock's up almost 300% from where it came public, they should be using it to pay for acquisition. That's smart. Of course, the market didn't love the transaction.

CoreWeave fell more than 3% today. Core Scientific plunged almost 18% in part because we've been hearing rumors of this deal for a week and a half. So Core Scientific shares had already run, and the… price tag was a little lower than expected. When it comes to this company, I'm a believer and you know that…”

CoreWeave (NASDAQ:CRWV) delivers cloud infrastructure designed for high-performance workloads such as AI training, rendering, and compute-heavy processes. It offers GPU and CPU compute resources, storage, networking, and management tools for large-scale enterprise use.

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Disclosure: None. This article is originally published at Insider Monkey.