CoreWeave Inc. (NASDAQ:CRWV) shares are breaking to a new 52-week low Friday, its second fresh low in days, as higher rates keep weighing on the stock.
- CoreWeave stock is testing key support levels. Why is CRWV stock at lows?
At roughly $54.28, CoreWeave trades below the $57.24 low it set earlier this week and about 62% beneath its 52-week high of $141.79. Today’s 1.43% decline adds to a long slide: around 10.72% over five days, 36.93% over a month and 53.32% over six months.
Morgan Stanley and UBS Cut CoreWeave Targets
Morgan Stanley analyst Keith Weiss stayed at Equalweight and reduced the price target to $70 from $99. Weiss credits CoreWeave with solid execution and calls it the “speed and scale leader” among crowded neocloud rivals. Still, financing uncertainty is obscuring how the company will deploy its contracted capacity and eventually reach 8 gigawatts of active capacity.
More news today includes UBS analyst Karl Keirstead, who held Buy and trimmed the price target to $105 from $120. Keirstead noted that CoreWeave has lost 37% in October as neocloud AI infrastructure stocks, Oracle among them, saw confidence erode.
Microsoft and Amazon moved higher instead, a split Keirstead takes as a defensive turn on AI infrastructure, and one UBS broadly shares. The note revisits CoreWeave’s credit story and warns that rebuilding confidence could be a “multi-quarter fix.”
Rising Rates Pressure Debt-Heavy CoreWeave
Higher interest rates are weighing on companies that carry heavy debt, alongside unease over AI spending, and CoreWeave is among them. Rates and AI spending worries have driven this week’s selling.
CNBC reported Wednesday that holders of CoreWeave stock and bonds are both losing confidence as rates climb and AI build-out doubts grow. Investors increasingly view debt-laden neocloud providers, CoreWeave among them, as the most vulnerable corner of AI.
CRWV Shares Are Falling
CRWV Price Action: CoreWeave shares were down 1.13% at $54.97 at the time of publication on Friday. The stock is trading at a new 52-week low, according to Benzinga Pro.
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