CoreWeave (CRWV) Stock Gets a Vote of Confidence From JPMorgan

TLDR

• JPMorgan upgraded CoreWeave to Overweight from Neutral and raised its price target to $125 from $120.
• The new target implies roughly 44% upside from CoreWeave’s current price near $86.90.
• Analyst Samik Chatterjee pointed to stronger compute pricing, including a 25% price increase across products in July.
• Short-term contracts at rivals are pricing near three times CoreWeave’s longer-term rates, supporting margin growth.
• Contracted power capacity grew from 3.1 gigawatts at the end of 2025 to 4.2 gigawatts by August 11.

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CoreWeave (CRWV) stock traded near $86.90 on Thursday after JPMorgan raised its rating on the company. The bank moved CoreWeave to Overweight from Neutral and lifted its price target to $125 from $120. That target points to about 44% upside from current levels.

CoreWeave, Inc. Class A Common Stock, CRWV

Analyst Samik Chatterjee said the upgrade comes down to pricing power. Demand for computing capacity has strengthened this year, pushing prices higher across the board.

He noted that CoreWeave raised prices by 25% across its products back in July. Rival Nebius has also been increasing prices frequently.

Short-term compute contracts at some competitors are running close to three times what CoreWeave charges on its longer-term deals. That gap gives CoreWeave room to adjust pricing without losing customers.

Margins Getting a Boost

CoreWeave’s newest contracts, signed in its fiscal third quarter, came in around $40 million per megawatt. Management says the stronger pricing is adding 5 to 10 percentage points to contribution margins on new deals.

Chatterjee said this pattern is “dispelling any concerns that the higher price is purely a pass-through of higher costs.” In other words, the company appears to be capturing real margin, not just passing along expenses.

He also addressed investor worries about how much money CoreWeave needs to keep expanding. Chatterjee believes the pricing gains and margin improvement will outweigh the added debt tied to funding its buildout.

JPMorgan pointed out that CoreWeave stock has traded in a tight range this year. That’s despite the company raising every part of its 2026 outlook so far.

Contracted power capacity has climbed steadily too. It went from 3.1 gigawatts at the end of 2025 to 4.2 gigawatts as of August 11.

Recent Analyst Activity

JPMorgan isn’t alone in its bullish stance. UBS started coverage this week with a Buy rating and a $120 price target, citing strong AI-compute demand.

TD Cowen upgraded CoreWeave to Buy back in July. Mizuho and Goldman Sachs have both raised their price targets in recent months, though both kept neutral ratings.

Of the 34 analysts covering the stock, one rates it Strong Buy, 21 rate it Buy, nine rate it Hold, and three rate it Sell. MarketBeat lists the average rating as Moderate Buy with a consensus price target of $138.78.

CoreWeave’s last earnings report, released August 11, showed revenue of $2.58 billion. That’s up 112.5% year over year, though the company posted a net loss for the quarter.

Some insider selling has occurred recently. CFO Nitin Agrawal sold 66,576 shares on September 14, and EVP Chen Goldberg sold 22,424 shares on September 8.

CoreWeave also completed an upsized convertible notes offering of about $4.2 billion this month. That was larger than the initial $3 billion proposal and will help fund its data center expansion plans.