CRWV, NBIS Edge Up Overnight After Selloff: Cathie Wood's ARK Buys Coreweave, Rosenblatt Starts Nebius At 'Buy'

• ARK Invest added about $19 million worth of CoreWeave shares on Wednesday.
• Rosenblatt initiated Nebius at 'Buy' with a $304 target, citing strong contracted capacity and rising AI infrastructure demand.
• Despite broad analyst optimism, Stocktwits retail sentiment for both stocks turned bearish as investors took profits after sharp rallies.

The neocloud trade is getting fresh bullish signals, with Cathie Wood's ARK Investment Management adding to its CoreWeave (CRWV) position and Rosenblatt initiating coverage of smaller rival Nebius (NBIS) with a 'Buy' rating and $304 price target. CRWV and NBIS shares advanced about 0.3% each in overnight trading late Wednesday.

ARK bought roughly 215,000 CoreWeave shares – worth about $19 million –  adding to the bullish case around the AI cloud provider even as the stock fell 3.6% to $88.45 on Wednesday. The decline came amid a broader pullback in AI stocks, with investors taking some profits after a strong run.  

Nebius stock also dropped 5.1% to $237.20, despite Rosenblatt's bullish rating. Analyst John McPeake said Nebius sits just below CoreWeave at the top of the neocloud food chain and should benefit from massive spending on AI training and inference.

Rosenblatt estimates Nebius has about one-sixth of CoreWeave's 1.5GW of active, revenue-generating power, while Nebius has 3.5GW of contracted capacity.  

Meanwhile, Northland raised its price target on CoreWeave to $200 from $165, maintained an 'Outperform' rating, and named the stock a top pick. The research firm highlighted CoreWeave Forge, a suite of proprietary software tools designed to help AI developers build, deploy and improve models and agents across different models, frameworks and clouds.

AI Demand Continues To Translate Into Capacity And Revenue

CoreWeave announced a 240MW AI data-center deployment in India with AdaniConneX on Tuesday and recently brought Nvidia's Vera Rubin NVL72 into production, with Cognition as its first customer.  

Its second-quarter revenue rose 112% to $2.58 billion, while backlog reached $104.2 billion, excluding more than $25 billion of additional commitments secured early in Q3.  

Nebius, meanwhile, acquired inference-optimization company Inferize last week to improve GPU utilization and token economics. Its Q2 revenue surged 454% to $582.3 million, with an adjusted EBITDA of $236.2 million.  

Hyperscaler capital spending is expected to approach $800 billion in 2026, with a significant chunk directed toward building new data centers. The surge in cloud and AI demand is also fueling growth for neocloud platforms, which help supplement hyperscaler capacity and provide customers with on-demand computing power.

Retail, Analyst View On CRWV, NBIS

On Stocktwits, the retail sentiment for CRWV and NBIS shifted to 'bearish' from 'neutral' on Wednesday.

Nebius stock has climbed about 60% from a recent low in July and 183% year to date. Nebius is among the newer players on the block, having recently pivoted its business toward cloud computing and currently building capacity to fulfill the first major orders it has secured. 

For the company, the key yardstick is how quickly and efficiently they can deliver on those commitments - compared to the top and bottom lines for CoreWeave. CRWV shares have gained 23.5% year to date.

“$IREN $CRWV These names are getting crushed in a high rate low risk environment. Keep looking for good entry points for 2027 and beyond. If you're already in like me, HOLD and don't average down yet,” said a trader.

Currently, 31 of 42 analysts have a 'Buy' or higher rating for CoreWeave stock and eight of 10 analysts have the same ratings for Nebius shares, per Koyfin data. On average, they forecast CRWV to gain 60% and NBIS to rise 19%.

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