
CoreWeave Inc (NASDAQ:CRWV) shares are trading higher on Thursday. Here’s what you need to know.
What To Know: CoreWeave shares appear to be getting a boost from Nvidia Corp (NASDAQ:NVDA) earnings on Thursday. The stock traded higher in after-hours Wednesday following the report before seeing momentum build on Thursday. CoreWeave provides access to Nvidia GPUs for large technology and AI-focused companies.
Nvidia beat analyst estimates on the top and bottom lines in the second quarter and issued strong third-quarter revenue guidance of $52.92 billion to $55.08 billion versus Benzinga Pro estimates of $52.96 billion.
Nvidia founder and CEO Jensen Huang said demand for Blackwell is “extraordinary” as the platform sits at the center of the AI race. On the earnings call following the print, the Nvidia CEO suggested that Nvidia chips are irreplaceable and dismissed concerns that competitors could erode the company’s lead in AI.
CoreWeave’s business model is built around renting out Nvidia GPUs for AI and high-performance computing. The continued demand that Nvidia said it’s seeing for AI infrastructure appears to be benefitting CoreWeave shares on Thursday.
Trading volume in CoreWeave has already crossed 23 million shares on Thursday, above the 100-day average volume, indicating strong interest and conviction in the current price movement. This uptick in volume supports the recent price increase, suggesting buyers are stepping in.
Support levels are clearly defined at $99.90, which aligns with the recent low, while resistance is set at $105.50, the recent high. A break above this resistance could signal further upside potential.
The RSI is calculated at 70.12, indicating that the stock is nearing overbought territory, which could lead to a pullback if momentum shifts. The MACD shows a bullish crossover, but the lines are beginning to converge, suggesting that momentum may be slowing.
Analyst sentiment remains positive, with Cantor Fitzgerald maintaining an Overweight rating with a $116 price target on Wednesday, suggesting shares could rally on the back of AI demand. HC Wainwright & Co. maintained a Buy rating with a $180 price target on Aug. 21 and MoffettNathanson maintained a Neutral rating with a $65 price target on Aug. 19.
CoreWeave reported mixed results for the second quarter earlier this month with revenue of $1.21 billion beating estimates of $1.08 billion, but a quarterly loss of 27 cents per share, missing estimates for a loss of 17 cents per share.
CRWV Price Action: CoreWeave shares were up 6.44% at $103.17 at the time of publication Thursday, according to Benzinga Pro.
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