CoreWeave (NASDAQ: CRWV), a cloud-based GPU-as-a-Service provider, shook the AI data center landscape a few days back when it clinched a formal agreement to acquire the crypto miner, Core Scientific, unlocking synergistic efficiencies in the process, not to mention a sizable increase in its power capacity available for HPC and AI workloads.
Now, H.C. Wainwright analyst, Kevin Dede, has taken a stab at CoreWeave's overarching investment thesis, employing a hefty dose of appreciation for the company's unique advantages, albeit tempered by an overall prudent tone.
To wit, Dede has reiterated his 'Neutral' rating on CoreWeave shares, while declaring:
"Announcements and activity within a six-day week both irrevocably alter the CoreWeave tale while confirming best attributes—interestingly, the stock has drifted closer to Earth since."
As we detailed in a previous post, Core Scientific's acquisition would allow CoreWeave to significantly add to its existing total contracted power capacity of ~2GW by incorporating Core Scientific's ~840MW in HPC contracts-related power capacity, and a further 500MW worth of crypto mining-related electricity capacity, leaving around 1GW in power capacity for potential expansion.
Dede, however, goes beyond the Core Scientific deal to highlight CoreWeave's unique partnership with NVIDIA, one that allows the GPU-as-a-Service provider to be the first to give its customers access to NVIDIA's latest hardware at scale:
"CoreWeave is the first to deploy the GB300, a first that follows a related first of running the GB200, the latter now at scale."
Of course, CoreWeave now gives it's customers a choice between GB300 NVL72 and RTX PRO 6000 Blackwell systems, with the former better suited for developing AI models while the latter targets creative AI workloads with a hefty visual component.
Dede believes that this pairing highlights CoreWeave's unique strength, one that centers around bringing the "latest and greatest compute to [the] market, forcing competitors to its shadows."
Dede also takes pains to reference anecdotal reports, where NVIDIA hardware, when paired with CoreWeave's software, outcompetes other competitive solutions.
For the benefit of those who might not be aware, CoreWeave uses a take-or-pay model, where its customers provide a predictable cash stream regardless of their utilization of the underlying compute resources. In fact, around 96 percent of CoreWeave's revenue stream consists of committed contracts.
What's more, CoreWeave also requires its customers to prepay a significant sum of money upfront, which is then used to partially fund the requisite infrastructure build out for contractual performance.
CoreWeave also uses its sizable stash of NVIDIA GPUs as collateral to obtain debt financing.
CoreWeave shares are down around 20 percent over the past month. So far this year, however, the stock is up a shocking 214 percent.
About the author: Writing is my one incontrovertible passion. Over the past six years, he has authored over 2,200 distinct articles on financial and tech-related topics, spanning nearly 1 million words. And he has been a member of Wcctech mobile team since 2025. As an alumnus of the University of Toronto, Rotman Commerce Program, I bring nuance, in-depth knowledge, and a unique perspective to every topic that I cover. When I'm not writing, I'm traveling the world, exploring hidden confectionaries and restaurants as an aspiring food connoisseur.
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