Goldman Sachs analyst Gabriela Borges upgraded the stock to Buy from Neutral with a revised price target of $106, down from $139, implying 73% upside from the Friday close of $61.39. The upgrade follows a 43% plunge in share price since Aug. 11 and a 24% drop over the last five sessions. Borges argues the market has overestimated CoreWeave's future cost of capital while underestimating returns, noting that new long-term contracts are starting at $13M per megawatt compared to a $10M per megawatt blended rate.
Tuesday, October 20, 2026
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CoreWeave Shares Close Lower Despite Goldman Sachs Upgrade to Buy
US Markets1 day ago
Investor concerns over the high cost of financing AI hardware outweighed the impact of a rating shift from Goldman Sachs on Oct. 19. CoreWeave shares finished the trading session in negative territory, reversing an early rally as the market focused on the company's credit risk. The firm's 2031 bonds are currently trading at a yield of around 15%, a level that analysts suggest reflects broader credit market volatility and anxiety over the cost of expanding AI infrastructure.
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