Oppenheimer initiated coverage of CoreWeave with an Outperform rating and a $140 price target, calling the AI-focused cloud provider a "Gigawatt-Sized Engine for an AI Future." Analyst Param Singh sees strong long-term growth potential tied to surging demand for artificial intelligence infrastructure and specialized cloud services.

CoreWeave's investment case centers on the rapid expansion of AI computing and the "outsized TAM opportunity for AI-optimized IaaS," according to Oppenheimer. The firm believes CoreWeave is well positioned to compete against both major hyperscale providers and emerging "neo-cloud" operators thanks to its infrastructure specifically designed for AI workloads.

The bullish outlook comes despite investor concerns about CoreWeave's elevated capital spending and debt during its expansion phase. Oppenheimer argues these worries are "short-sighted," noting the company remains in rapid growth mode. The firm expects CoreWeave's financial profile to strengthen as expansion moderates.