Evercore ISI reiterates CoreWeave stock rating on Anthropic deal By Investing.com

Investing.com - Evercore ISI reiterated an Outperform rating and $120.00 price target on CoreWeave (NASDAQ:CRWV) following the company's announcement of a multi-year cloud infrastructure agreement with Anthropic. The stock traded at $102.69, posting an 11.87% gain over the past week, though shares remain down 33.5% over the past six months.

CoreWeave announced today a multi-year agreement to provide Anthropic with cloud infrastructure to support the development and deployment of the Claude family of AI models. The company did not disclose specific details related to size or timing but indicated the deal will commence later this year.

Anthropic will use CoreWeave's cloud platform to run workloads at production scale. The collaboration will begin with a phased roll-out with potential to expand over time.

The Anthropic agreement follows a $21 billion expansion with Meta announced yesterday. CoreWeave stated that nine out of ten leading AI companies run their infrastructure on its platform.

Evercore ISI views the deal as providing customer diversification and validation of CoreWeave's platform and its ability to secure data center powered shell capacity.

In other recent news, CoreWeave announced a significant expansion of its contract with Meta, adding $21 billion to its existing commitments, which now total $35.2 billion through 2032. This new agreement boosts CoreWeave's pro-forma backlog to approximately $87.8 billion, with Meta accounting for about 40% of it. Additionally, CoreWeave has priced a $3.5 billion convertible notes offering with a 1.75% interest rate due in 2032, an increase from the initially planned $3 billion. The company has also priced a $1.75 billion bond offering at a 9.75% yield, with the notes maturing in 2031.

CoreWeave recently entered a multi-year agreement with Anthropic to support the development and deployment of Anthropic's Claude AI models. The compute resources for this partnership are anticipated to become available later this year. In light of these developments, Stifel has maintained its Hold rating on CoreWeave, with a price target of $110. These recent activities highlight CoreWeave's strategic expansions and financial maneuvers as it strengthens its position in the market.

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