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High NVIDIA evaluation can mean limited return for investors who buy shares today.
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A more captivating option was recently to invest in Coreweave, a recently listed stock of artificial intelligence.
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It has taken off in recent months and reported 420% growth in the last quarter.
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10 shares we like better than Coreweave ›
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Nvidia (Nasdaq: NVDA) is one of the most valuable companies in the world, with a market cap north of $ 3 trillion. This is a big name in artificial intelligence (AI) because of its powerful chips used in the development of AI models and chatbots. They proved to be essential for technology companies who want to take advantage of the most AI trends and who do not want to fall behind their rivals.
For investors, however, buying NVIDIA may not seem as attractive given its high rating. A more tingling option is to look at what it might be Then NVIDIA stocks that can have the potential to bring considerable returns.
An action that is hot this year and this can be able to benefit from AI Hype is a company where Nvidia has also invested in: Coreweave (Nasdaq: crwv)S
Coreweave has become public in March and has gained profits of over 300% this week since. But with a market cap of about $ 80 billion, it is still relatively modest in size, at least compared to technology giants like NVIDIA.
What puts Coreweave in front and center of AI Revolution is that the company gives GPU a GPU computational capacity. It gives customers access to NVIDIA chips and the resources and infrastructure they need to test and train AI models without having to make expensive investments in infrastructure themselves. His close relationships with NVIDIA give an advantage to Coreweave by providing customers with access to avant -garde chips. This has led to incredible growth for Coreweave’s business.
In the first three months of 2025, Coreweave sales amounted to $ 981.6 million, which is an increase of 420% compared to the year compared to $ 188.7 million, which generated in the same period of 2024. This is an incredible growth rate.
Executive Director Michael Intor said “the demand for our platform is stable and accelerated as AI leaders are looking for the highly effective AI cloud infrastructure required for the most modern applications.”
The problem is that in such a capital intensive business it will not be easy for Coreweave to make a profit. Against the background of all recent growth, its net loss also jumped significantly – from $ 129.2 million a year ago to $ 314.6 million in the past quarter. The operating costs of the technology company amount to over $ 1 billion, and interest costs were significant to $ 263.8 million.