CoreWeave (NASDAQ:CRWV) Shares Down 6.1% on Insider Selling

CoreWeave Inc. (NASDAQ:CRWV)’s stock price fell 6.1% during mid-day trading on Thursday after an insider sold shares in the company. The stock traded as low as $88.73 and last traded at $89.12. Approximately 27,461,850 shares traded hands during mid-day trading, a decline of 3% from the average session volume of 28,225,547 shares. The stock had previously closed at $94.94.

Specifically, EVP Chen Goldberg sold 22,424 shares of the stock in a transaction dated Tuesday, September 8th. The shares were sold at an average price of $95.91, for a total value of $2,150,685.84. Following the completion of the sale, the executive vice president owned 50,550 shares in the company, valued at approximately $4,848,250.50. This represents a 30.73% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Michael N. Intrator sold 107,692 shares of the firm’s stock in a transaction that occurred on Tuesday, September 8th. The stock was sold at an average price of $100.08, for a total transaction of $10,777,815.36. Following the completion of the transaction, the chief executive officer directly owned 1,282,969 shares in the company, valued at $128,399,537.52. This trade represents a 7.74% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In other news, CEO Michael N. Intrator sold 200,000 shares of the business’s stock in a transaction that occurred on Tuesday, September 8th. The stock was sold at an average price of $100.08, for a total transaction of $20,016,000.00. Following the transaction, the chief executive officer directly owned 1,087,129 shares in the company, valued at $108,799,870.32. The trade was a 15.54% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.

Analysts Set New Price Targets

A number of research firms have recently issued reports on CRWV. Cantor Fitzgerald set a $176.00 price target on CoreWeave and gave the company an “overweight” rating in a research report on Wednesday, August 12th. BTIG Research initiated coverage on CoreWeave in a research report on Wednesday, July 22nd. They set a “buy” rating on the stock. Jefferies Financial Group lowered CoreWeave from a “buy” rating to a “hold” rating in a research note on Wednesday, July 22nd. Roth Capital set a $145.00 target price on CoreWeave in a report on Thursday, August 13th. Finally, Citigroup raised their target price on CoreWeave from $142.00 to $159.00 and gave the stock a “buy” rating in a research note on Friday, August 14th. Twenty-one equities research analysts have rated the stock with a Buy rating, ten have assigned a Hold rating and three have assigned a Sell rating to the company. According to data from MarketBeat.com, CoreWeave currently has a consensus rating of “Moderate Buy” and a consensus price target of $141.90.

Key Headlines Impacting CoreWeave

Here are the key news stories impacting CoreWeave this week:

• Positive Sentiment: CoreWeave’s backlog continues to expand, strengthening the long-term revenue outlook and attracting additional investor support. The company is benefiting from sustained demand for GPU cloud capacity as hyperscalers and AI developers increase spending. CoreWeave’s backlog keeps growing
• Positive Sentiment: CoreWeave launched Physical AI Field Engineering, using expertise acquired from Monolith AI to help industrial customers build, validate and deploy AI across research, engineering and field operations. The initiative could diversify revenue beyond basic GPU infrastructure and increase customer value. CoreWeave Launches Physical AI Field Engineering
• Positive Sentiment: Oracle’s reported $664 billion cloud backlog and strong AI spending outlook helped lift sentiment across the AI cloud sector, including CoreWeave and other GPU infrastructure providers. Oracle AI cloud backlog lifts CoreWeave
• Positive Sentiment: Leopold Aschenbrenner’s Situational Awareness reportedly purchased options linked to CRWV, potentially signaling bullish interest and adding speculative support to the shares. Situational Awareness active in options market
• Neutral Sentiment: Michael Burry reportedly reduced bearish positions tied to CoreWeave and NVIDIA, removing a prominent source of negative sentiment, although the transaction does not change CoreWeave’s fundamentals. Michael Burry reduces bearish bets
• Negative Sentiment: Several insiders, including CEO Michael Intrator, EVP Chen Goldberg and Kristen McVeety, sold substantial amounts of stock under pre-arranged Rule 10b5-1 plans. The planned nature reduces the signal’s significance, but the combined selling can weigh on investor sentiment. CoreWeave insider stock sales
• Negative Sentiment: CoreWeave remains financially risky: it is unprofitable, carries a debt-to-equity ratio of 5.53 and has a current ratio of 0.46. Rising interest rates or slower customer spending could make its capital-intensive GPU expansion harder to fund. Risks facing neocloud companies

CoreWeave Price Performance

The stock’s fifty day moving average price is $85.69 and its 200-day moving average price is $94.35. The firm has a market cap of $40.83 billion, a price-to-earnings ratio of -24.38 and a beta of 7.45. The company has a current ratio of 0.46, a quick ratio of 0.46 and a debt-to-equity ratio of 5.53.

CoreWeave (NASDAQ:CRWV) last released its quarterly earnings data on Tuesday, August 11th. The company reported ($1.14) EPS for the quarter, beating analysts’ consensus estimates of ($1.52) by $0.38. The firm had revenue of $2.58 billion for the quarter. CoreWeave had a negative return on equity of 47.95% and a negative net margin of 25.41%.The company’s revenue was up 112.5% on a year-over-year basis. During the same quarter in the prior year, the company posted ($0.27) earnings per share. As a group, equities research analysts forecast that CoreWeave Inc. will post -5.19 earnings per share for the current fiscal year.

Hedge Funds Weigh In On CoreWeave

Several large investors have recently modified their holdings of CRWV. The Manufacturers Life Insurance Company grew its holdings in shares of CoreWeave by 7.0% during the 2nd quarter. The Manufacturers Life Insurance Company now owns 23,616 shares of the company’s stock worth $2,351,000 after purchasing an additional 1,536 shares during the period. Sequoia Financial Advisors LLC raised its holdings in CoreWeave by 3.6% in the 2nd quarter. Sequoia Financial Advisors LLC now owns 4,128 shares of the company’s stock valued at $411,000 after buying an additional 145 shares during the period. Bienville Capital Management LLC boosted its stake in CoreWeave by 72.6% during the second quarter. Bienville Capital Management LLC now owns 145,183 shares of the company’s stock worth $14,452,000 after buying an additional 61,083 shares during the period. National Pension Service boosted its stake in CoreWeave by 1,194.7% during the second quarter. National Pension Service now owns 524,854 shares of the company’s stock worth $52,244,000 after buying an additional 484,314 shares during the period. Finally, Engineers Gate Manager LP boosted its stake in CoreWeave by 42.9% during the second quarter. Engineers Gate Manager LP now owns 36,570 shares of the company’s stock worth $3,640,000 after buying an additional 10,981 shares during the period.

CoreWeave Company Profile

CoreWeave, Inc is a specialized cloud computing provider focused on infrastructure for artificial intelligence, machine learning, high-performance computing and other data-intensive workloads. The company provides access to accelerated computing resources, particularly graphics processing units (GPUs), through a cloud platform designed for large-scale training, inference, rendering and scientific computing.

Its offerings include on-demand and reserved GPU instances, cloud storage, high-speed networking, Kubernetes-based container orchestration and managed services for deploying and scaling workloads.