CoreWeave, Inc.

Based on a comprehensive analysis of CRWV, the stock presents an exceptionally high-risk profile that appears unsuitable for most investors.

While CRWV shows strong revenue growth and a healthy gross margin, these positives are overwhelmingly negated by severe fundamental weaknesses. The company is unprofitable, carries a dangerously high debt load with poor liquidity, and exhibits extreme price volatility coupled with significant illiquidity risk. The negative valuation metrics further suggest the stock is overvalued relative to its current financial performance.

Recommendation: Not a Buy. The combination of extreme volatility, poor financial health, and ongoing net losses creates an untenable risk-reward profile. Investors should consider this stock only if they have a very high tolerance for risk and a speculative view on a future turnaround, which is not currently supported by the fundamentals. For the vast majority, safer alternatives with proven profitability and stable financials are strongly advised.

*Note: This is not investment advice, for reference only.*

RockFlow Model Forecast: Three Scenarios for 2026

Based on the comprehensive analysis, the 12-month outlook for CRWV is decidedly negative. Key catalysts for improvement are virtually absent, as the company's severe financial distress, including ongoing losses and dangerous debt levels, overshadows any positive operational metrics like revenue growth. The primary risks are extreme—liquidity crisis, potential dilution, or even bankruptcy—which are amplified by the stock's high volatility and illiquidity. Without any supportive analyst targets and given the fundamentally weak profile, the stock is more likely to experience significant downside pressure, making any price prediction speculative; investors should anticipate high volatility with a strong potential for the price to trade significantly below its current level of $95.72.

Wall Street Consensus

Most Wall Street analysts are optimistic about CoreWeave, Inc.'s 12-month outlook, with consensus target around $97.14, indicating expected upside potential.

Overall, CRWV has investment potential but also faces challenges. Here are key factors to weigh before investing.

CRWV demonstrated volatile but ultimately strong performance over the past year despite significant downside risk. The stock remains highly volatile with a beta of 21.65, indicative of extreme price swings relative to the market.

Short-term performance shows recent weakness, with the stock down 5.44% over the past month, but it has outperformed the market significantly over the last quarter with a 12.04% gain and 11.58% in relative strength. This suggests underlying momentum despite recent pullbacks.

Currently trading at $95.72, CRWV sits at approximately the midpoint of its 52-week range ($33.52-$187), recovering from the maximum observed drawdown of -64.84%. This middle-ground position suggests the stock is neither clearly overbought nor oversold at current levels.

Revenue & Profitability CRWV demonstrates strong revenue growth with quarterly revenue increasing from $1.21 billion to $1.36 billion quarter-over-quarter, though profitability remains challenged with a net loss of $110 million in Q3. While the company maintains a healthy gross profit margin of approximately 73%, high interest expenses of $311 million and significant other expenses have resulted in negative operating income margins below 4% and continued net losses.

Financial Health The company's financial health appears strained with a high debt-to-equity ratio of 4.85 and a concerning current ratio of 0.49, indicating potential liquidity challenges. Interest coverage remains minimal at 0.17, while the cash flow to debt ratio of 0.09 suggests limited capacity to service debt obligations from operating cash flows.

Operational Efficiency Operational efficiency metrics reveal significant challenges, with negative return on equity of -2.8% and low asset turnover of 0.04. The company demonstrates poor working capital management with days sales outstanding of 109 days, though it benefits from extended payment terms to suppliers. Fixed asset turnover remains weak at 0.05, indicating suboptimal utilization of long-term assets.

Valuation Level: CRWV exhibits fundamentally negative valuation metrics across all measures, with both TTM and forward PE ratios deeply in negative territory at -57.73 and -154.68 respectively. These negative ratios indicate the company is currently unprofitable, which makes traditional PE-based valuation assessments impossible. The elevated PB ratio of 12.23 and negative earnings foundation suggest significant overvaluation relative to the company's current financial performance.

Peer Comparison: Unfortunately, no industry average data is available to contextualize CRWV's valuation metrics against sector peers. The company's negative earnings and high multiples would typically be benchmarked against industry norms to determine relative positioning. Without this comparative framework, the assessment remains limited to absolute valuation measures that uniformly indicate substantial financial distress.

Volatility Risk: CRWV exhibits extreme volatility risk, as evidenced by its astronomical Beta of 21.65, indicating it is over 21 times more volatile than the broader market. This immense sensitivity is further confirmed by a punishing maximum drawdown of -64.84% over the past year, signaling a high potential for significant capital erosion during market downturns.

Other Risks: The stock presents a severe liquidity risk, which is a primary concern given the absence of any reported short interest; this often signifies extremely low trading volume and a highly illiquid market for the shares. This lack of market depth can lead to drastic price swings on minimal trading activity and poses a substantial challenge for investors attempting to enter or exit a position.