CoreWeave Gains 1.5% Premarket After BofA Boosts Target to $100
CoreWeave shares rose about 1.5% in premarket trading after Bank of America reinstated coverage with a Buy rating and $100 price target, citing improving diversification and strong demand in the $79 billion AI infrastructure market. The analyst forecasts supply shortages persisting until 2029, supporting capacity-constrained providers.
1. Bank of America Raises Rating
CoreWeave shares jumped around 1.5% in early trading following the reinstatement of a Buy rating and a $100 price target, signaling renewed institutional interest.
2. AI Infrastructure Market Opportunity
The analyst highlighted CoreWeave's potential to capture a larger share of the $79 billion AI infrastructure-as-a-service market, driven by its broadened customer mix and partnerships with major AI players.
3. Enduring Supply Constraints
Capacity shortages in compute, power and related resources are expected to persist until 2029, creating a favorable environment for providers with available infrastructure.
4. Long-Term Demand Drivers
Sustained demand from agentic AI workloads and strong diversification across customer segments are projected to support revenue growth and underpin the premium valuation.