BUZZ-Coreweave shares rise as Goldman Sachs upgrades rating to "Buy" after last week's sell-off; bond yields retreat

October 19 - ** Shares of CoreWeave (CRWV.O), backed by Nvidia (also known as NVIDIA), and the focus of last week’s AI sector pullback, rose 5% to $64.27.

** Goldman Sachs upgraded the data center company from “Neutral” to “Buy,” stating that data performance is likely to improve over the next 12 months and that the recent sell-off provides a buying opportunity.

** According to Goldman Sachs, driven by supply constraints, CoreWeave’s annual recurring revenue per megawatt is expected to increase over the next 24 months.

** London Stock Exchange Group (LSEG) data showed the yield on CoreWeave’s 2031 note US21873SAG30=TE dropped about 26 basis points to 14.53%, after reaching nearly 16% last week.

** Goldman Sachs noted that these yields do not reflect the company’s new financing costs, as most of its fundraising is through asset-backed financing.

** However, the broker lowered CoreWeave’s price target from $139 to $106.

** Other new cloud technology stocks (link) and chip stocks (link) rebounded on Monday after last week’s sell-off, part of which stemmed from CoreWeave’s debt woes and competitive threats from China.

** Out of 45 brokers, 32 rate the stock as “Buy” or higher, 11 as “Hold,” and 2 as “Sell” or lower; the median price target is $147.50.

** By last Friday’s close, CoreWeave’s market value had dropped by a quarter last week and is down 67% from its record high of $187 in June 2025.

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