Mizuho has raised its price target on CoreWeave (NASDAQ:CRWV) to $100.00 from $92.00, while retaining a Neutral rating on the company.
The adjustment follows a joint announcement that CoreWeave and NVIDIA will expand their collaboration with plans to accelerate deployment of 5 gigawatts of capacity and that NVIDIA will make an incremental $2 billion equity investment in CoreWeave. NVIDIA is currently valued at $4.54 trillion and is described as maintaining excellent financial health according to InvestingPro data.
The companies also outlined the potential for CoreWeave to commercialize its software stack by selling it to other cloud partners and enterprise customers. CoreWeave indicated management sees this as a potentially meaningful, margin-accretive opportunity over the long term.
Mizuho’s analysts said the company appears well-positioned to capture a significant share of an AI cloud provider market that is expanding rapidly. Nonetheless, the firm kept its Neutral stance, a view it initially adopted last July when it downgraded the stock.
In the firm’s assessment, NVIDIA’s continued momentum - including an impressive 65% revenue increase over the last twelve months - is a primary catalyst for the broader AI expansion that benefits infrastructure providers such as CoreWeave.
Despite the positive signals from the new agreement, Mizuho flagged caution around how much revenue upside CoreWeave can realize in the near term. The firm described the current market as a "highly capacity-constrained environment," and said those limits could cap incremental revenue gains over the next few quarters. At the same time, the expanded partnership and investment provide incremental confidence in CoreWeave’s longer-term trajectory.
Additional recent developments cited alongside the CoreWeave news
- NVIDIA’s $2 billion investment in CoreWeave aims to support AI infrastructure development, with a stated objective of establishing over 5 gigawatts of AI "factories" by 2030.
- Raymond James has estimated that the NVIDIA investment could potentially generate $60 billion to $90 billion for NVIDIA between 2026 and 2030.
- NVIDIA introduced Earth-2 open models intended for AI-driven weather forecasting, aimed at making climate prediction more accessible globally.
- NVIDIA’s venture arm, NVentures, participated in a $200 million funding round for Synthesia, a company focused on AI video technology; that company now holds a $4 billion valuation.
- Microsoft announced the launch of its Maia 200 AI chip, which did not materially affect NVIDIA’s stock.
- NVIDIA’s board of directors experienced a change with the resignation of Persis Drell, who stepped down to pursue other opportunities.
Context and implications
The combination of a large strategic equity infusion and the acceleration of planned capacity could materially influence CoreWeave’s positioning within AI cloud infrastructure markets over the medium to long term. Mizuho’s move to lift its price target signals growing confidence in CoreWeave’s prospects, even as the broker stops short of an upgrade in rating given short-term execution and capacity considerations.
Investors seeking additional research and financial metrics on NVIDIA and related ecosystem participants are directed to InvestingPro’s Pro Research Reports and tools.