AI infrastructure provider CoreWeave (CRWV) has been one of the most explosive winners of the AI boom. The stock has surged roughly 105% over the past year, fueled by massive demand for computing power required to train and run advanced AI models. However, after such a spectacular run, investors are now wondering whether it can still soar to hit its high price estimate of $180 or if the AI enthusiasm has already been priced in.
Let’s take a closer look.
AI Demand Is Still Accelerating
The AI enthusiasm seems to have softened this year with broader market volatility amid the U.S.-Iran war. However, if you ignore the market noise, you will notice that demand for AI infrastructure continues to intensify as companies build larger models and deploy AI across more applications.
Valued at $44 billion, CoreWeave rents massive AI computing power to businesses that need it to train and run AI models. The company reported exceptional growth in fiscal 2025. Total revenue surged an extraordinary 168% year-over-year (YoY) to $5.1 billion, highlighting the massive demand for AI computing infrastructure. CoreWeave’s contracted revenue backlog surged to $66.8 million, giving a clear picture of future growth. The company says this backlog shows long-term commitments from hyperscalers, AI startups, and enterprise companies that rely on its specialized AI cloud platform.
In the quarter, several well-known AI companies adopted CoreWeave’s infrastructure, including Midjourney, Runway, Cursor, Cognition, and Mercado Libre (MELI). To meet the surge in demand, CoreWeave has taken some concrete steps. At the end of 2025, the company had 850 megawatts of active power capacity, 43 operational data centers (up from 32 at the start of the year), and 3.1 gigawatts of contracted capacity, which is expected to be operational by 2027.
Interestingly, CoreWeave even deepened its partnership with Nvidia (NVDA) this quarter. The chip giant invested $2 billion into the company to integrate CoreWeave’s software stack into Nvidia’s broader cloud architecture. If Nvidia eventually integrates these technologies into its larger ecosystem, CoreWeave will have the opportunity to begin licensing its cloud stack to other cloud providers and enterprises. This could create a new high-margin revenue stream that is not included in current guidance, implying significant upside in the coming years.
Heavy Investment Today, Huge Growth Tomorrow
CoreWeave is currently investing aggressively to build the infrastructure needed for AI. The company spent $14.9 billion in capital expenditures during 2025, including $8.2 billion in the fourth quarter alone. These investments, however, weighed on profitability. The company reported an adjusted net loss of $606 million for the full fiscal year. Management anticipates investments to skyrocket in fiscal 2026. Capital expenditures are expected to range between $30 billion and $35 billion as CoreWeave builds out new AI data centers. While this heavy spending is pressuring short-term profits, the company argues it is necessary to support the massive demand already locked in through customer contracts. Notably, CoreWeave’s average contract length increased from four years to five years, providing greater revenue stability and visibility.
In fiscal 2026, CoreWeave expects another year of explosive growth with revenue ranging between $12 billion and $13 billion, which represents a 140% increase YoY, in line with consensus estimates. Analysts predict revenue to increase by 86% to $23.17 billion in fiscal 2027.
The company also expects its active power capacity to double to more than 1.7 gigawatts by the end of 2026. Furthermore, management projects annualized run-rate revenue of $17 billion to $19 billion by the end of 2026, eventually exceeding $30 billion by the end of 2027.
What Is Wall Street Saying About CRWV Stock?
Overall, analysts have rated CRWV stock a consensus “Moderate Buy.” Out of 32 analysts covering the stock, 17 have a “Strong Buy” rating, one suggests a “Moderate Buy,” 13 rate it a “Hold,” and one says it is a “Strong Sell.”
The stock has an average target price of $118.17, indicating a 39.3% expected upside from current levels of $84.80. Its high target price is $180, which implies the stock could rally 112.3% over the next 12 months.
Can CoreWeave Stock Reach $180?
CoreWeave's stock can climb to $180 if AI infrastructure demand remains strong and if it successfully executes its massive data center expansion, which involves complex supply chains and enormous capital investment. Furthermore, its deep relationship with Nvidia could prove a major catalyst over the long term.
With $66.8 billion in contracted backlog, strong revenue visibility, and accelerating AI demand, I believe CRWV stock’s path towards $180 is not far-fetched.
On the date of publication, Sushree Mohanty did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
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