Cathie Wood Is Buying the Dip in CoreWeave Stock. Should You?

CRWV +4.21%

Famed investor Cathie Wood has loaded up on another 437,345 shares of CoreWeave (CRWV) as they tumbled amid valuation concerns and macroeconomic uncertainty driven selloff in AI stocks.

The transaction was split across two of her flagship exchange-traded funds (ETFs). In total, Wood now owns nearly 0.79 million shares of the artificial intelligence infrastructure company.

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At the time of writing, CoreWeave stock is down roughly 50% versus its high in late October.

Should You Also Buy CoreWeave Stock?

Wood’s decision to scoop up CRWV shares following a massive selloff signals confidence in the company’s long-term prospects.

According to Bank of America estimates, global hyperscale spending will surge 67% in 2025, and another 31% to handily surpass $600 billion next year.

And CoreWeave, which operates high-performance computing data centers and provides GPU-as-a-Service solutions, sits directly in the path of this massive capital deployment wave.

Investors should also note that the AI infrastructure firm’s relative strength index (14-day) is below 26 currently, suggesting bearish momentum is finally exhausting.

This further bolsters the case for owning CoreWeave stock heading into 2026.

CRWV Shares Are Now Trading at an Attractive Valuation

CoreWeave shares remain worth owning due to the structural shortage of AI infrastructure capacity as well.

Major tech companies are now committing about 30% of their sales to AI infrastructure investments, triple the historic norms.

More importantly, the artificial intelligence stock, following recent weakness, is trading at a more attractive valuation of less than 9x sales.

CoreWeave’s partnerships with major AI developers and hyperscale cloud firms desperately racing to expand their computational capabilities make up for another great reason to own its shares.

According to Barchart, options pricing also currently signals CRWV could be trading at about $92 by late February.

What’s the Consensus Rating on CoreWeave?

Wall Street analysts also agree that the selloff in CRWV shares has gone a bit too far.

The consensus rating on CoreWeave stock currently sits at “Moderate Buy” with the mean target of about $131 indicating potential upside of more than 85% from here.

This article was generated with the support of AI and reviewed by an editor. On the date of publication, the editor did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. This article was originally published on Barchart.com