Overview
- Shares fell nearly 8% after an SEC filing showed CEO Michael Intrator sold 82,456 Class A shares for about $7.2 million under a pre-set Rule 10b5-1 plan.
- Bank of America reinstated coverage with a Buy rating and a $100 target, arguing AI compute shortages could persist through 2029 and citing ties to Nvidia and OpenAI.
- CoreWeave plans $30 billion to $35 billion of 2026 spending to build out AI data centers to meet demand.
- The company reports a $66.8 billion contracted backlog, yet revenue depends on new capacity coming online and on customer ramp schedules.
- Execution and financing loom as key risks given $21.4 billion of debt, rising depreciation, and heavy interest costs that could worsen if competitors pressure pricing.