CoreWeave stock has more than doubled since its IPO in March, partly because of strong financial results and partly because Nvidia has a major stake in the company.
CoreWeave is a leading provider of artificial intelligence infrastructure services, and the company reported 420% revenue growth in the first quarter.
Only one stock in the S&P 500 would have turned $10,000 into $1 million over the last decade, and only 11 stocks would have made the cut in the last two decades.
CoreWeave(NASDAQ: CRWV) is the hottest new artificial intelligence stock on the market. The company held its initial public offering (IPO) in March 2025. The stock started trading at $39 per share but has since risen 130% to $90 per share.
Those gains are partially due to strong first-quarter financial results, but the company also benefited when Nvidia disclosed its ownership of 24 million shares last week. Its stake is currently worth more than $2 billion and represents about 5% of outstanding shares.
Artificial intelligence promises to created substantial wealth in the coming years. But can CoreWeave stock turn $10,000 into $1 million by 2035? Here's what investors should know.
Image source: Getty Images.
CoreWeave is a leading provider of artificial intelligence infrastructure
CoreWeave provides cloud infrastructure and software services. Whereas hyperscalers like Amazon and Microsoft offer similar solutions, CoreWeave is differentiated because its data centers are purpose-built for artificial intelligence (AI) and other accelerated computing workloads. The company has been very successful with that strategy.
Despite competing against much larger cloud providers, CoreWeave was recently ranked as the best GPU cloud by research company SemiAnalysis. CoreWeave also reported impressive financial results in its first quarter post-IPO. Revenue increased 420% to $981 million and adjusted operating income increased 550% to $162 million.
CoreWeave also announced its acquisition of AI developer platform Weights & Biases. That move extends the utility of its platform. To elaborate, CoreWeave provides the underlying infrastructure needed for AI workloads, while Weights & Biases has the tools developers need to train, evaluate, and monitor AI models.
Importantly, CoreWeave currently trades at 16 times sales, which is neither outrageously expensive nor cheap. For context, cloud services provider Cloudflare trades at 31 times sales, while AI server manufacturer Super Micro Computer trades at 1.2 times sales. The sales multiple a stock commands is usually a function of its earnings capacity. But it is difficult to know how profitable CoreWeave will be in the future because the company is still losing money on a GAAP basis. Investors should be aware of that risk.
Statistically, CoreWeave stock is unlikely to turn $10,000 into $1 million by 2035
Turning $10,000 into $1 million requires a 100-fold return, which is the same as a 9,900% gain. Not many stocks ever generate that much upside, and even fewer do so in a decade. In fact, only one stock in the S&P 500 would have made the cut the past decade. Nvidia shares have advanced 25,400% since May 2015. That 255-fold return would have turned $10,000 into $2.5 million.
However, the odds improve as the holding period lengthens. Three other stocks currently in the S&P 500 generated 100-fold returns in the past 15 years:
Texas Pacific Land gained 15,200%.
Axon Enterprise gained 15,100%.
Broadcom gained 11,400%.
Similarly, if we lengthen the time horizon to two decades, another seven stocks join the list:
Netflix gained 51,700%.
Booking Holdings gained 21,900%.
Apple gained 15,400%.
Amazon gained 11,400%.
Intuitive Surgical gained 10,600%.
Monolithic Power Systems gained 10,500%.
Deckers Outdoor gained 10,000%.
Here's the bottom line: CoreWeave is currently a $42 billion company, which means its market value would need to reach $4.2 trillion for the stock to generate 100-fold returns. History says that outcome is unlikely over any period, especially the next decade. But it's certainly possible, and the odds improve as the time horizon expands.
I think CoreWeave could generate substantial upside in the next decade. And who knows: 100-fold returns may be possible during the next two decades. Regardless, investors should watch this up-and-coming AI company closely. The stock is not cheap, but I think it makes sense to buy a small position today.
Should you invest $1,000 in CoreWeave right now?
Before you buy stock in CoreWeave, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and CoreWeave wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Consider whenNetflixmade this list on December 17, 2004... if you invested $1,000 at the time of our recommendation,you’d have $642,582!* Or when Nvidiamade this list on April 15, 2005... if you invested $1,000 at the time of our recommendation,you’d have $829,879!*
Now, it’s worth notingStock Advisor’s total average return is975% — a market-crushing outperformance compared to172%for the S&P 500. Don’t miss out on the latest top 10 list, available when you joinStock Advisor.
John Mackey, former CEO of Whole Foods Market, an Amazon subsidiary, is a member of The Motley Fool's board of directors. Trevor Jennewine has positions in Amazon and Axon Enterprise. The Motley Fool has positions in and recommends Amazon, Apple, Axon Enterprise, Booking Holdings, Cloudflare, Deckers Outdoor, Intuitive Surgical, Microsoft, and Netflix. The Motley Fool recommends Broadcom and Monolithic Power Systems and recommends the following options: long January 2026 $395 calls on Microsoft and short January 2026 $405 calls on Microsoft. The Motley Fool has a disclosure policy.
