CoreWeave (CRWV) Soars 16.88% on New AI-Linked Venture

We recently published AI Frenzy: 10 Stocks Crushing the Market, 6 Climb to Fresh Highs. CoreWeave Inc. (NASDAQ:CRWV) is one of the top performers on Wednesday.

CoreWeave extended its winning streak to a fourth straight day on Wednesday, surging 16.88 percent to end at $117.14 apiece as investors cheered its establishment of a new subsidiary aimed at backing companies supporting the AI ecosystem.

In a statement, CoreWeave Inc. (NASDAQ:CRWV) said it launched CoreWeave Ventures, a program that aims to support startups through investments, providing its AI cloud and technical guidance, as well as connecting them with firms already using AI.

“Our aim with CoreWeave Ventures is to give other audacious, like-minded founders the support they need to drive technical advancements and bring to market the next class of innovation,” said CoreWeave Inc. (NASDAQ:CRWV) founder and Chief Development Officer Brannin McBee.

According to the company, the new subsidiary is already working with a diverse group of innovators, from foundational model developers building novel large language models to pioneers in vertical AI applications and infrastructure.

In other developments, CoreWeave Inc. (NASDAQ:CRWV) earned a higher price target of $430 from Freedom Capital Markets, from $410 previously, while upgrading it to “hold” from “sell” previously.

While we acknowledge the potential of CRWV as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an extremely cheap AI stock that is also a major beneficiary of Trump tariffs and onshoring, see our free report on the best short-term AI stock.

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