CoreWeave Stock Tumbles Again -- Cantor Fitzgerald Sees a $176 Comeback Nauman Khan Fri, October 16, 2026 at 1:37 PM EDT CRWV -11.06% NVDA -0.60% Explore stocks on Coinbase Trading disclosure Trading disclosure The above button links to Coinbase. Yahoo Finance is not a broker-dealer or investment adviser and does not offer securities or cryptocurrencies for sale or facilitate trading. Coinbase pays us for certain activity generated through this link. Prices displayed are informational.
The outlook for independent AI cloud providers is becoming a concern for investors, with Gartner projecting that 80% could lose their independence by 2030. Cantor Fitzgerald, however, sees improving economics at CoreWeave as a reason to remain bullish.
CoreWeave (NASDAQ:CRWV) fell more than 7% in Friday morning trading, following a decline of over 15% on Wednesday. Rising borrowing costs have intensified market scrutiny of companies spending heavily to build AI computing capacity.
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Cantor analyst Brett Knoblauch retained his Overweight rating and $176 price target. He estimates that almost all CoreWeave capacity scheduled to come online in 2027 has already been booked, while Nvidia has agreed to cover capacity that remains unsold.
The company's estimated revenue per megawatt has increased to about $20 million from $10 million to $11 million around its public listing. Knoblauch also estimates deal contribution margins have climbed to 25% to 30% from roughly 15%, shortening the time needed to recoup chip costs to 2 to 2.5 years from four years.
CoreWeave relies on asset-backed financing, with repayments supported by cash generated from its chips. Investors must weigh those improving returns against the borrowing needed to fund further expansion.
