Is CoreWeave (CRWV) Stock a Buy After Nvidia’s Latest Move?
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TLDR Nvidia adds $2 billion to its CoreWeave investment, raising ownership to 11.5% of the GPU rental provider CoreWeave revenue jumped to $1.3 billion in the latest quarter, more than doubling year-over-year The company holds $55.6 billion in customer contracts but faces rising debt costs of $841.4 million CoreWeave plans to build 5 gigawatts of AI data center capacity by 2030 with Nvidia’s support Operating income fell to $43.6 million as interest expenses quadrupled compared to last year Nvidia just made its biggest bet on CoreWeave even bigger. The chip giant invested another $2 billion in the company, pushing its ownership stake to 11.5%. CoreWeave, Inc. Class A Common Stock, CRWV CoreWeave now represents Nvidia’s largest investment holding. The fresh capital will fund the company’s aggressive data center expansion plans targeting 5 gigawatts of capacity by 2030. The GPU rental business model is paying off in a big way. CoreWeave’s revenue more than doubled to $1.3 billion in the most recent quarter. Companies are lining up for access to Nvidia’s chips without the headache of building their own infrastructure. CoreWeave lets customers rent GPU power by the hour or lock in longer commitments. The stock soared over 300% after its March 2025 IPO before cooling off. Shares finished 2025 up 79% despite late-year worries about AI spending. Why Nvidia Keeps Writing Checks CoreWeave built its entire business around Nvidia’s GPUs. These chips remain the top choice for AI training and deployment. The partnership goes beyond simple vendor relationships. Nvidia committed to paying for unused CoreWeave capacity through April 2032, up to $6.3 billion total. That backstop gives CoreWeave room to build without worrying about empty data centers. It also signals Nvidia’s long-term confidence in the business model. The new investment guarantees CoreWeave gets first access to Nvidia’s newest tech. This…
Filed under: News - @ February 2, 2026 6:23 pm