Cantor Fitzgerald Initiates Buy on CoreWeave (CRWV), Citing AI Growth

CoreWeave, Inc. (NASDAQ:CRWV) is one of the best tech stocks to buy according to hedge funds. On August 27, Cantor Fitzgerald initiated coverage of CoreWeave, Inc. (NASDAQ:CRWV) with a Buy rating along with a price target of $116.

The firm noted the cloud company’s “significant AI market opportunity” despite the 131% run since its IPO on March 28, 2025. That said, the stock has retreated by a little over 50% since topping at $187 on June 20.

CoreWeave, a pioneer in specialized AI cloud services provider has benefited from huge, long-term partnerships with companies like Nvidia and Microsoft, with the latter accounting for a huge portion of its revenue. This year, the company has been spreading its wings in AI data centers across the U.S. and Europe, including a $6 billion data center in Pennsylvania.

However, the company has raised substantial debt in order to fuel its growth. As of Q2 2025, the company had a total debt of $11.05 billion on its balance sheet. Also, the company’s valuation remains a concern for some analysts, with the TTM price-to-sales ratio standing at 12.85x. That said, Wall Street expects the company’s revenue to grow to nearly $12 billion in 2026.

While we acknowledge the potential of CRWV as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

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Disclosure: None.