CoreWeave (CRWV) Upgraded: Strong Demand, Supply Shortages Make It a Growth Play

CoreWeave, Inc. (NASDAQ:CRWV) is one of the AI Stocks on Market Radar. On September 23, Wells Fargo analyst Michael Turrin upgraded the stock from Equal Weight to Overweight with a price target of $170.00 (from $105.00).

In an investor note, the analysts highlighted how Coreweave is poised to benefit from the elevated build cycle and hyperscale industry shortages into 2026. These constraints and shortages create the potential for CoreWeave to win market share.

Moreover, CoreWeave is given the opportunity to a “blank check” with Nvidia’s recent backstop to buy all unused capacity through 2032. The firm believes that CRWV’s demand signals are too strong to ignore.

Overall, strong demand,  major customers, supply shortages, and Nvidia’s backing make it a major growth winner.

“While the rest of software is stuck waiting for AI monetization to surface, CRWV stands to benefit from the elevated build cycle today & persistent industry shortages into 2026. Raise FY26/FY27 revs by 5%/9% & upgrade to OW from EW, raise PT to $170. Latent demand ROY likely to boost 2H25, FY26 bookings; NVDA backstop protects downside: Supply constraints continue, w/ hyperscaler shortages continuing through (at least) early-2026. See potential for CRWV to pick up market share in the interim (both MSFT, GOOGL recently expanding w/ CRWV, incl ~$0.5B A/R disclosure from 3rd unnamed customer; we believe GOOGL). Further, NVDA’s recent backstop to buy all unused capacity through 2032 gives CRWV a blank check to build out new capacity for 6+ yrs.”

CoreWeave, Inc. (NASDAQ:CRWV) is a cloud platform provider that provides equipment for AI and other computing purposes.

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.