On Monday, Cathie Wood-led Ark Invest purchased shares of CoreWeave Inc. (NASDAQ:CRWV), while trimming its position in Palantir Technologies Inc. (NASDAQ:PLTR).
The CoreWeave Trade
Ark purchased 102,280 CoreWeave shares through the ARK Innovation ETF (BATS:ARKK) and another 30,218 shares through the ARK Next Generation Internet ETF (BATS:ARKW).
The combined purchase totaled 132,498 shares, a trade worth approximately $8.1 million, based on Monday’s closing price of $61.12.
Ark added to its recent CoreWeave purchases. The firm bought 188,665 shares last Wednesday and 192,566 shares last Thursday, worth approximately $12.4 million and $13.4 million, respectively, using each session’s closing price.
Goldman Sachs analyst Gabriela Borges upgraded CoreWeave to Buy from Neutral on Monday, while lowering her price target to $106 from $139.
Borges argued that investors were overestimating CoreWeave’s future cost of capital and underestimating potential improvements in investment returns. Goldman highlighted compute pricing strength, including CoreWeave price increases of 25% in July and another 10% in October, while flagging financing costs and changes in demand as risks.
Separately, Max Frumes, 9fin’s global head of distressed and leveraged finance, warned of broader pressure on AI-linked debt.
“CoreWeave is absolutely the canary in the coal mine,” Frumes told Reuters, predicting more expensive credit and greater investor scrutiny.
Yields on CoreWeave’s 2031 bonds exceeded 16% last week. The company has more than $51 billion in debt and obligations. CEO Mike Intrator defended its finances in an internal memo, saying its backlog more than covered its debt obligations.
The Palantir Trade
Ark sold 15,988 Palantir shares through ARKK and another 2,361 shares through ARKW.
The combined sale totaled 18,349 shares, worth about $3.6 million, at Monday’s closing price of $194.15.
The firm continued trimming Palantir after selling 31,432 shares last Wednesday and 29,957 shares last Thursday. Those transactions were worth approximately $6.3 million and $6 million, respectively, based on the corresponding closing prices.
Palantir announced a partnership with Knox Systems on Monday to accelerate software deployment across U.S. government and defense agencies.
The collaboration focuses on customers operating in FedRAMP and Impact Level 5 environments, helping software providers meet federal security requirements and deploy applications faster.
Knox supports more than 100 AI and enterprise software applications, while Palantir brings experience delivering commercial software through accredited government infrastructure.
Other Key Trades
- Shopify Inc. (SHOP): ARKK and ARKW sold a combined 20,755 shares.
- Personalis Inc. (PSNL): Ark sold 284,063 shares through ARKG.
- Iambic Therapeutics Inc. (IAM): Ark purchased 60,269 shares through ARKG.
- Scribe Therapeutics Inc. (SCTX): Ark bought 19,856 shares through ARKG.
- Freenome Inc. (FRNM): Ark purchased 4,835 shares through ARKG.
- DraftKings Inc. (DKNG): Ark sold 500 shares through ARKW.
- Alibaba Group Holding Ltd. (BABA): Ark sold 200 shares through ARKF.
Benzinga Edge Stock Rankings indicate Coreweave stock has a Momentum score in the 5th percentile.
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Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors
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