CoreWeave: Market Continues To Ignore Its Turnaround, That's A Mistake
JR Research·2026-06-11·via All Articles on Seeking Alpha
Summary
CoreWeave faces market skepticism despite rapid scaling, a $100B backlog, and diversified customer commitments, underperforming Nebius due to debt and capital allocation concerns.
CRWV's aggressive asset-backed financing and take-or-pay contracts support infrastructure expansion, but rising interest rates and negative free cash flow projections heighten execution risk.
Revenue is projected to grow from $12.7B in 2026 to $80B by 2030 (60% CAGR), with free cash flow nearing breakeven by FY2030, yet short-term profitability remains elusive.
With debt costs declining and valuation at 5.5x forward revenue (vs. NBIS's 11x), a sub-$100 share price could present a compelling entry point if execution risks are managed.
The market appears to be making a mistake in ignoring its turnaround, providing a massive opportunity for investors to double down now.
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CoreWeave: Credit risks are starting to look less onerous
Things are actually falling into place for CoreWeave (CRWV), but surprisingly the market is not convinced. Why? It's obvious that archrival Nebius (NBIS) has been on a discernible
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