CoreWeave is gearing up to release its second-quarter earnings report on August 11, a highly anticipated event for investors and analysts alike. The stock has shown impressive resilience, gaining approximately 27-30% year-to-date despite hovering about 35% below its highs earlier this year.
Options traders are preparing for a volatile reaction, with predictions of a potential swing of up to 15% in either direction following the earnings announcement. Such a movement could see CRWV trading above $102 or sliding down toward $79.
This recent volatility can be attributed to concerns surrounding delays in data center construction and escalating costs, which have prompted some investors to adopt a cautious stance. Nevertheless, demand for GPU compute capacity remains robust, suggesting that the underlying business continues to thrive.
Analyzing the Numbers
Wall Street analysts are projecting revenue for Q2 to range between $2.55 and $2.56 billion, representing a staggering year-over-year growth of approximately 111%. This anticipated figure underscores the company’s strong performance, even as it navigates a challenging landscape.
On the flip side, losses are expected to widen, with estimates indicating a loss per share between $1.22 and $1.40, a significant increase from the $0.27 loss reported in the same quarter last year. These losses are primarily attributed to substantial investments in hardware as CoreWeave scales its compute infrastructure to meet increasing demand.
Operating margins will be a focal point for analysts. Michael Turrin from Wells Fargo predicts that operating margins will improve, forecasting 3% in Q2, 6% in Q3, and a robust 13% by Q4. However, the lack of significant new contracts during Q2 raises questions about sustained momentum.
Despite these concerns, Turrin estimates remaining performance obligations to be around $107 billion as of June 30, suggesting that CoreWeave secured approximately $10 billion in bookings during the quarter.
Analyst Sentiment and Price Targets
As analysts prepare for the earnings reveal, Deutsche Bank’s Brad Zelnick has reiterated a Buy rating, increasing his price target for CoreWeave to $150 from $135. He believes the recent pullback in the stock price presents a compelling buying opportunity, although he notes that near-term pressures may linger due to margin concerns and ongoing financing needs.
Wells Fargo’s Turrin also maintains a Buy rating, setting a price target of $155. He anticipates that CoreWeave will achieve low-to-mid single-digit revenue upside relative to consensus estimates.
Oppenheimer has characterized concerns regarding capacity delays as “overblown,” while Bank of America has shifted the debate from demand to execution, specifically focusing on how swiftly CoreWeave can bring new compute capacity online.
Among the 14 analysts monitored by Visible Alpha, 11 maintain a Buy rating for CRWV, with three neutral ratings. The average price target hovers around $147, indicating an upside of more than 60% from current levels.
On TipRanks, the consensus remains a Moderate Buy, supported by 13 Buys, four Holds, and one Sell, with an average target of $129.63, pointing to a potential upside of 43%.
CoreWeave made its public debut in March 2025 and has since been added to the Nasdaq 100 index. The company has secured key partnerships with industry giants like Meta Platforms and Nvidia, which holds an equity stake in CoreWeave, further solidifying its position in the market.
