Morgan Stanley has begun its coverage of CoreWeave (CRWV, Financial) with an Equal Weight rating, setting a price target of $46. This assessment reflects an awareness of potential challenges faced by the company, including a lack of comparable peers and a potentially volatile macroeconomic environment. Such conditions might restrict investors from broadening their valuation approach, thereby potentially capping short-term stock growth.
Additionally, CoreWeave's financial outlook is heavily reliant on a limited customer base. The firm's analysis reveals that just two clients are projected to account for more than half of the company's anticipated revenue for 2026. This significant customer concentration could pose risks, making it crucial for investors to consider these factors when evaluating the stock's future performance. Consequently, while the company's prospects are noted, the firm advises a cautious approach given the current uncertainties.
