New York, Jan 27, 2026, 5:10 PM EST — After-hours
- CoreWeave shares jumped roughly 10.7% to $108.86 in after-hours trading.
- CoreWeave sold $2 billion worth of stock to Nvidia, priced at $87.20 per share, according to an SEC filing.
- Nvidia revealed in another filing that it has increased its stake in CoreWeave to 11.5%, prompting Wall Street to raise price targets.
CoreWeave shares rose for a second day Tuesday, closing up roughly 10.7% at $108.86 and staying close to that mark after hours. During the session, the stock touched a high of $111.75.
The rally is significant because CoreWeave operates at the heart of a squeezed, costly market: data-center capacity loaded with top-tier chips designed for training and running artificial intelligence. When the chip supplier injects new capital, traders usually see it as a signal about demand—and which players will secure hardware priority.
A more straightforward bottleneck has emerged: land and power. Investors have shifted focus from chip supply concerns to the pace at which AI data centers can be constructed and powered up. This deal aims squarely at closing that gap.
A recent filing revealed CoreWeave offloaded 22,935,780 Class A shares to Nvidia at $87.20 each, raising $2 billion in cash. The transaction was part of a securities purchase agreement dated Jan. 23.
A different Schedule 13G filing showed Nvidia as the beneficial owner of 47,213,353 CoreWeave shares, representing 11.5% of the class.
In a joint press release tied to the filing, the companies said the expanded partnership is designed to fast-track CoreWeave’s plan to develop over 5 gigawatts of “AI factories” by 2030. They’ll also leverage Nvidia’s financial muscle to speed up acquisitions of “land, power and shell.” Nvidia CEO Jensen Huang called it “the largest infrastructure buildout in human history.” CoreWeave CEO Michael Intrator noted the deal mirrors a shift toward “large-scale production.” SEC
CoreWeave has pushed back against rumors that the funding will circle back into chip buys. A company spokesperson told Reuters the cash is earmarked for other data-center projects, research and development, and expanding staff — not for snapping up Nvidia processors.
Analysts wasted no time. Alex Platt at D.A. Davidson bumped the stock to a buy and pushed his price target up to $100, saying it’s “hard to believe” Nvidia would increase its stake and support a 5-gigawatt plan without solid confidence in customer funding. At the same time, Brad Zelnick from Deutsche Bank also upgraded to buy, raising his target to $140, pointing to the Nvidia partnership and the accelerated capacity timeline. The Motley Fool
The stock surged past Nvidia’s $87.20 buy price after a two-day rally. CoreWeave climbed 5.7% on Monday when the investment was revealed and extended those gains on Tuesday, ending up roughly 17% higher over the two days.
CoreWeave, among the “neocloud” providers—specialized cloud companies leasing GPU computing to AI labs and businesses—is locked in a tough fight with larger competitors for both clients and power capacity. The Nvidia deal bolsters CoreWeave’s claim that it can secure early access to future platforms, not just the current generation of chips.
Still, the setup isn’t without its pitfalls. Critics point to concerns over “circular financing” when a chipmaker juggles roles as supplier, investor, and customer. Plus, Nvidia’s pledge to take on unused capacity through 2032 could backfire if demand falls short. MarketWatch
Traders are shifting focus to execution: how quickly CoreWeave can secure sites, power, and construction schedules, and if it will require additional funding beyond Nvidia’s investment. Attention will also fall on Nvidia’s GTC conference in San Jose from March 16–19, where CoreWeave is an elite sponsor and the partnership is expected to take center stage.
