CoreWeave (CRWV) stock has come under scrutiny from Wall Street analysts after the company issued a guidance cut, despite claims from CEO Mike Intrator that operational plans for the quarter were met, barring a delay from a specific data center provider. This update has not alleviated concerns, leading analysts to adjust their price targets in light of a lowered revenue forecast.
Loop Capital analyst Ananda Baruah reiterated a Buy rating, but significantly revised his price target from $165 to $120, suggesting a potential upside of 40.5%. He attributed this revision to ongoing “deployment lumpiness” expected to persist through 2026.
Wells Fargo analyst Michael Turrin also maintained his Buy rating, yet reduced the price target from $170 to $150, indicating a projected 75.6% upside. Similar to Baruah, Turrin points to the delays linked to the third-party data center as a primary reason for the adjustment.
Despite a positive long-term outlook for CoreWeave, analysts are noting near-term obstacles that have led to reduced price targets. The company recently attributed its revenue forecast decrease for 2025—from $5.25 billion to $5.1 billion—to delays caused by an external builder, and simultaneously scaled back capital expenditures by $8.5 billion. This news caused a sharp 19% drop in CRWV stock over two days.
While CoreWeave did not name the delayed operator, speculation by CNBC’s Jim Cramer suggested it could be Core Scientific (CORZ), a firm CoreWeave had previously sought to acquire.
Analysts have provided insights on the underlying reasons for the price target cuts. Baruah explained that uneven deployment timelines could extend through 2026, primarily due to a shortage of powered shells, which has become a more significant bottleneck than power supply itself. He emphasized that these delays stem from logistical challenges rather than a dip in demand or technology issues.
On the other hand, Turrin reassured investors that, while the delay at one data center may hinder short-term progress, the overarching prospects for CoreWeave remain positive. He highlighted the company’s strong GPU economics and its effective strategies for utilizing and profiting from graphics processing units. Furthermore, he noted that the potential for ramped-up capital spending in 2026, alongside CoreWeave’s initiatives to secure power resources and close new deals, supports a growth trajectory in the longer term.
As for whether CoreWeave is a wise investment choice, analysts seem divided on their long-term potential. Data from TipRanks reveals that CRWV currently holds a Moderate Buy consensus rating, supported by 12 Buy ratings, 13 Holds, and one Sell rating. The average price target for CoreWeave stands at $145.75, suggesting a notable upside potential of 70.6% from current trading levels. Year-to-date, CRWV stock has surged more than 130%, indicating significant investor interest amid a market backdrop of uncertainty.
