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A new deal with Nvidia bolsters CoreWeave’s long-term case as it heads into its upcoming earnings, according to Deutsche Bank. Analyst Brad Zelnick upgraded the artificial intelligence infrastructure provider to buy from hold. He also raised his target price to $140 from $100, implying upside of 42%. Nvidia on Monday said it had invested $2 billion into CoreWeave, which will help it accelerate its buildout of “5 gigawats of AI factories by 2030,” the companies said. Zelnick said this deal strengthened CoreWeave’s long-term case by helping to further validate its technical leadership. “We don’t claim to be able predict with confidence how AI evolves over CY26 but all the signal we see today suggests demand growth continuing to outpace new capacity,” Zelnick added. “Until that changes and based on our favorable view of the setup, healthy GPU-level economics, and the asset quality of CoreWeave, this leave us comfortable upgrading the shares.” CRWV 1Y mountain CRWV 1Y chart The deal successfully leverages Nvidia’s financial strength to secure access to additional resources to help realize CoreWeave’s goal, while also deepening technical integration that allows CoreWeave to remain among the very first to market with new Nvidia compute architectures, Zelnick wrote. It also increases the potential for Nvidia to include CoreWeave’s SUNK and Mission Control software in its reference architectures, which opens up “a sizeable and high margin standalone hybrid and multi-cloud SW opportunity over time.” Zelnick said that CoreWeave’s valuation has “returned to very reasonable levels” and adopted a bullish stance heading into the company’s next earnings report. “Amid dynamic swings in narrative and stock performance over the past several months, the fundamental medium-term outlook appears solid for CoreWeave heading into 4Q25 results and initial CY26 guidance, which we expect to be released in the coming weeks,” he wrote. “This will be mgmt.’s first time initiating full year ahead guidance as a public company, and while the novelty creates a wider range of potential targets in our mind, our analysis suggests consensus revenue forecasts can move meaningfully higher over the course of the year if the company in fact delivers capacity on plan to its contracted customers.” CoreWeave has surged 146% since going public in March, although it is down 46% from its all-time high last June.
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